trading volumes

Trend analysis. The market may move upward from the level of 1.0724 (closing of Friday's daily candle) with the target of 1.0758, the 14.6% pullback level (red dotted line). When testing this level, the price may move downward with the target of 1.0737, the 61.8% pullback level (yellow dotted line).       Comprehensive analysis: Indicator analysis - up; Fibonacci levels - up; Volumes - up; Candlestick analysis - up; Trend analysis - down; Bollinger bands - down; Weekly chart - up.     Today, the price may move upward from the level of 1.0724 (closing of Friday's daily candle) with the target of 1.0758, the 14.6% pullback level (red dotted line). When testing this level, the price may move downward with the target of 1.0737, the 61.8% pullback level (yellow dotted line). Alternatively, the price may move upward from the level of 1.0724 (closing of Friday's daily candle) with the target of 1.0758, the 14.6% pullback level (red dotted line). When testing this level, the price may continue to move upwards with the target of 1.0794, the 23.6% pullback level (red dotted line).  

Market picture Cryptocurrency market capitalisation fell 1.8% over the last 24 hours to $1.136 trillion. After failing to build on Wednesday's gains, the cryptocurrency market came under pressure during the Asian session on Wednesday morning as sellers moved into defensive assets.   Bitcoin plunged to $27K, losing more than 2.7% since the start of the day and erasing all of Sunday's gains. Technically, the selling intensified after the pair failed to break above the 50-day moving average, which turned from support to resistance in May. Market participants should now brace for another test of local support around $26K.   According to CoinShares, investments in crypto funds fell by $39 million last week, the sixth consecutive week of outflows. Bitcoin investments were down $12 million, and Ethereum investments were down $6 million.   Weekly trading volumes remain low, at 58% of this year's average, which also mirrors the broader crypto market, with trading volumes at just 38% of this year's average, CoinShares noted.     New background According to Dune Analytics, the number of Bitcoin Ordinals-based tokens issued on the network has surpassed 10 million. Approximately 200,000 tokens are being issued daily, including NFTs.   US presidential candidate Robert Kennedy Jr. reiterated his support for Bitcoin and said that the SEC should not have people who oppose cryptocurrencies.   Crypto exchange BKEX said it had suspended customer withdrawals while a police investigation into possible money laundering by several users is underway.   Major stablecoin issuer Tether announced plans to invest in mining capacity in Uruguay, South America.   Renowned cryptocurrency analyst Michaël van de Poppe believes that Litecoin is gearing up for a "pre-halving rally" that will begin in early August.

The previous trading week became one of the most volatile in the past month. Bitcoin made a bullish breakout beyond the range of $26.6k–$27.5k, but later experienced a price retracement to familiar levels. The previous week ended with another attempt by the asset to break the upper boundary of the $26.6k–$27.5k range.       The price increase occurred against the backdrop of synergy between Asian and American investors who were opening long positions. Despite consolidated efforts, Bitcoin failed to break through, resulting in a decline in the asset. BTC begins the new trading week with a retest of the lower boundary of the channel at $26.6k.     Fundamental background The attempt to achieve a bullish breakthrough at the $27.5k level can also be attributed to positive macroeconomic statistics. It is reported that the unemployment rate in the United States reached 3.7% against expectations of 3.5%. This is an indirect consequence of the Federal Reserve's policy of raising key rates and withdrawing liquidity from the global economy.     BBG reports that macro data have instilled optimism in investors regarding the Federal Reserve's policy.   The majority on the CME expects a pause in key rate hikes in June, which could have a positive impact on liquidity. The resolution of the situation with the national debt can also instill confidence in the crypto and other markets.       It is reported that an agreement to increase the debt ceiling is already awaiting the signature of the U.S. President. Once the agreement comes into effect, the U.S. Treasury will receive a stimulus of about $4 trillion. Considering that USDT market capitalization has reached an all-time high, June could become a month of bullish movement.   BTC investors continue to accumulate A classic pause in active BTC trading is accompanied by massive accumulation, which is a bullish signal. Over the past three weeks, BTC daily trading volumes have not exceeded $20 billion, and the number of unique addresses fluctuates around 700k-800k. These figures are insufficient for significant price movements, and thus BTC remains within the $26.6k–$27.5k range.     Meanwhile, almost all categories of investors are accumulating BTC volumes en masse, creating a strong foothold for further price increases. It is reported that BTC miners accumulated cryptocurrencies worth $540 million in the last week. Glassnode reports that "whales" continue to aggressively increase their Bitcoin holdings.     It is important to note that cryptocurrency trading started on the Hong Kong Exchange last week, which can lead to even more rapid accumulation and increased liquidity. Taking into account on-chain metrics and fundamental factors, it can be concluded that BTC will resume its upward movement in the near future.   BTC/USD Analysis Over the past 24 hours, Bitcoin has retested the upper boundary of the $26.6k–$27.5k channel. Due to increased selling pressure and successful defense of the $27.5k level, the cryptocurrency's price started a sharp decline and reached the lower boundary of the channel at $26.6k. Bulls need to maintain the price within the current range to stabilize the situation.       Technical metrics on the daily chart indicate a continuation of the downward price movement. The stochastic oscillator is still in a bearish crossover, and the RSI has broken below the 45 level. There is some activation of buyers; however, the current volume is insufficient to protect the level.     On the 4-hour timeframe, the main technical metrics have started to turn upwards. However, bears still have the advantage, and there is a possibility of further decline towards the $26.4k–$26.5k zone. That area is where the second order block is located, which sellers need to surpass to reach $25.5k.   Conclusion Bitcoin continues to consolidate within the range of $26.6k-$27.5k with active accumulation. If the current dynamics are maintained, there is a high probability of the resumption of an upward movement for Bitcoin. As for short-term targets, buyers need to hold the $26.5k level to achieve the potential bullish scenario.  

Yesterday, on the hourly chart, the GBP/USD pair experienced a rebound from the corrective level of 127.2% (1.2777), then dropped nearly to 1.2676 and returned to the 1.2777 level. Another rebound from this level will favor the American currency, leading to a decline toward the Fibonacci level of 100.0% (1.2676). If the pair's rate closes above 1.2777, it increases the likelihood of further growth towards the next corrective level of 161.8% (1.2905).   Trading volumes have been sufficiently high recently, and trader sentiment remains bullish. In a few hours today, the Bank of England will announce its decision on the interest rate.   According to forecasts, the rate will increase by 0.25% again, with 7 out of 9 MPC committee members voting in favor of the hike. This decision has already been factored into current prices, but bullish traders are currently very strong and can accommodate the same rate hike twice.   There is no scheduled speech by Andrew Bailey in the economic events calendar; we must rely on meeting minutes and accompanying letters. Despite yesterday's weak inflation report, the market does not expect a 0.50% rate increase today. As a result, Powell's second speech may have an even greater impact on the pair's movement, but the issue is that these two events almost coincide. When the Fed President's speech begins, it will be difficult to determine whether or not the market pays attention to it.     Therefore, we should anticipate active trading today, but it doesn't necessarily mean the pair will move in one direction. It could be a situation similar to yesterday. On the 4-hour chart, the pair has reversed in favor of the British pound and resumed upward toward the 1.2860 level after two bullish divergences were formed in the RSI and CCI indicators. There are no new emerging divergences observed in any indicators today. If the pair's rate rebounds from the 1.2860 level, it would indicate a reversal in favor of the US dollar, resulting in a decline toward the Fibonacci level of 100.0% (1.2674).  

After breaking the key resistance level of 21,700 in March, Bitcoin pulled the quotes of popular altcoins into the bull market zone. In the middle of last month, the BTC/USDT pair again became the driving force behind the positive dynamics of the digital currency market. In just two days, on June 20 and 21, the BTC/USDT exchange rate grew by 12%, and at the end of June, the pair updated its 12-month high at the 31,443 mark. The sharp growth of Bitcoin, which Ethereum later joined, occurred amid several positive news for the crypto market.     In particular, the U.S. Securities and Exchange Commission (SEC) in June received applications from five major asset management companies: WisdomTree Inc., Invesco Ltd., Valkyrie Funds, Fidelity Investments, and BlackRock Inc. to create a new investment product (spot Bitcoin ETF). Companies Citadel, Fidelity, and Charles Schwab launched their own decentralized crypto exchange. At the end of the month, another of the world's largest investment companies, Invesco, applied to launch a spot Bitcoin ETF.   The rapid growth of interest from large corporations in cryptocurrencies may also be due to the anticipation of their approval by global regulators as a means of payment. Thus, after the Fed meeting that ended on June 14, Chairman Jerome Powell announced the need for the Fed to be involved in the regulation of the stablecoin market, which he called a "form of money," not securities. If the Fed approves stablecoins as a means of payment, they will become a real alternative to fiat money. At the end of last month, the largest U.S. asset management company, BlackRock, also filed an application for a spot Bitcoin ETF to the SEC. After these reports, trading volumes in the crypto market began to grow and, at the beginning of last week, already amounted to 19.5 billion dollars. Buyer interest in stablecoins is supported, among other things, by an unstable geopolitical situation in the world, remaining tense amid a military conflict in Ukraine and a brewing conflict in Taiwan, threatening a direct clash between the U.S. and China.   Negative points for the crypto market include the continued pressure from the Securities and Exchange Commission (SEC) on leading digital platforms Binance and Coinbase, which is also spreading in European countries. In the UK, the Binance branch (Binance Markets Limited) will no longer be able to operate in the country, as it lost its license from British regulators. Binance branches in Germany and Belgium are also in a difficult position. At the end of last month, it also became known that U.S.   President Joe Biden promised to reform the tax system, "eliminating loopholes for Bitcoin and crypto traders." This could specifically refer to the short-term trading operations of crypto traders, who sell and buy ba ck cryptocurrencies in a short period of time, allowing them to avoid higher tax rates. Moreover, speaking at the European Central Bank Forum last week, Fed Chair Powell confirmed the possibility of further interest rate hikes, which could support the U.S. dollar, including in relation to cryptocurrencies (in pairs with the USDT stablecoin).   Therefore, despite the bullish sentiment of Bitcoin buyers, a somewhat contradictory situation has developed in the digital currency market, not allowing Bitcoin and other popular altcoins to develop a more confident upward trend.  

In the ever-changing landscape of global finance, the decisions made by central banks play a crucial role in shaping currency movements. In this article, we shift our focus to Poland and examine the recent interest rate decision by the National Bank of Poland (NBP) and its implications for the Polish zloty (PLN). We are joined by Michael Stark, an expert from Exness, who provides valuable insights into the forecast for the PLN in light of the NBP's decision.   The NBP's recent monetary policy meeting held on July 6 resulted in the decision to keep the reference rate unchanged at 6.75%, aligning with market expectations. Looking ahead, there is increasing anticipation of a potential shift in the NBP's stance next quarter, as inflation is projected to return to single digits, possibly as early as October.   The euro-zloty (EURPLN) exchange rate holds a relatively high carry symbol, especially when compared to other tradable European currencies. This, coupled with Poland's strong quarterly GDP performance compared to many other OECD/G20 countries, suggests that EURPLN may continue its downward trajectory in the coming weeks. However, it is important to note that the summer season and associated holiday periods tend to have a clear impact on European symbols, resulting in lower trading volumes.     FXMAG.COM: Please comment on the NBP / MPC decision on interest rates in Poland and the forecast for the PLN.   Michael Stark, Exness: The National Bank of Poland kept its reference rate on hold on 6 July at 6.75% as almost universally expected. Participants increasingly seem to expect the beginning of a pivot by the NBP next quarter as inflation is likely to return to single digits, possibly as early as October. Euro-zloty remains a relatively high carry symbol, certainly as far as tradable European currencies go, so between that and strong quarterly GDP from Poland compared to many other OECD/G20 countries, EURPLN might continue downward in the next few weeks. Conversely, markets have now entered summer, and this season of holidays tends to have the most clear effect on European symbols in terms of lower volume. The focus for the zloty in the next few days is inflation from Poland on 14 July. Monthly non-core is expected to be nil while the annual figure is seen declining to 11.5%. If the rate of inflation slows more than that, there might be some positivity for EURPLN and possibly the current bounce could continue as traders price in a possible faster pivot by the NBP.

FX Daily: ECB hawkish pushback to face key inflation test The ECB hawks have stepped in to revive depressed rate expectations, but markets are opting for data dependency, and EUR/USD is set to face two key risk events with eurozone inflation figures before the US payrolls this week. We expect core inflation will prove resilient enough to trigger another ECB hike, so see upside room for the pair.   USD: Things will get hectic this week It has been a slow start to the week for FX markets. Yesterday’s closure of the UK’s markets for a national holiday meant much thinner trading volumes, and the key data calendar was quite light. In the US, the only release to note was the Dallas Fed Manufacturing Index, which dropped slightly more than expected into contraction territory, confirming the slack in the manufacturing territory already signalled by other surveys (ISM, PMIs). Still, the slowdown in manufacturing activity is hardly a US-only story. We have seen a deterioration in global forward-looking economic indicators in many developed economies recently, especially in Europe. The difference now is how the US service sector is appearing more resilient than the eurozone’s, despite significantly tighter monetary policy in the US. The relative strength in US activity indicators – compared to the rest of the world and to expectations – is what has kept the dollar in demand over the past few weeks, and should remain the number one driver of USD moves into year-end. That is because the disinflationary process appears to be cementing, allowing the Fed to halt hikes and focus on growth: until data turn for the worst, however, markets will not be pricing in more cuts, and a favourable real rate (the highest in the G10) will keep a floor under the dollar. This week presents some important risk events for the dollar from this point of view. Today, the JOLTS job openings for July will be watched closely in search for signs that the labour market has started to cool off more drastically. The Conference Board consumer confidence index is also published, and expected to come in only marginally changed compared to July. Later in the week, we’ll see ADP jobs numbers (they move the market, but tend to be unreliable), and the official payrolls report. Remember that payrolls through March were revised lower (although that is a preliminary revision) by 306,000, which probably adds extra heat to this week’s release. DXY is trading around the May-June 104.00 high area. Investors may want to wait for confirmation from jobs data to push the dollar significantly higher from these levels, and a wait-and-see, flat (or moderately offered) dollar environment could dominate FX markets into Friday’s payrolls.

Analysis of transactions and tips for trading EUR/USD Further decline became limited because the test of 1.0681 coincided with the sharp downward move of the MACD line from zero. This happened even though several Fed representatives hinted at the possible continuation of the rate hike cycle and the lesser chance of a reduction in borrowing costs. Today, CPI data for Germany and retail sales report for the eurozone will come out, but it will not have much impact on the market. Instead, the speech of ECB Executive Board member Philip Lane will generate interest, as well as the speech of Fed Chairman Jerome Powell.     For long positions: Buy when euro hits 1.0700 (green line on the chart) and take profit at the price of 1.0730. Growth will occur after protecting the support at 1.0680. However, when buying, make sure that the MACD line lies above zero or rises from it. Euro can also be bought after two consecutive price tests of 1.0681, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0700 and 1.0730. For short positions: Sell when euro reaches 1.0681 (red line on the chart) and take profit at the price of 1.0656. Pressure will increase after an unsuccessful attempt to hit the daily high, as well as weak data from the eurozone. However, when selling, make sure that the MACD line lies under zero or drops down from it. Euro can also be sold after two consecutive price tests of 1.0700, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0681 and 1.0656.     What's on the chart: Thin green line - entry price at which you can buy EUR/USD Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely. Thin red line - entry price at which you can sell EUR/USD Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely. MACD line- it is important to be guided by overbought and oversold areas when entering the market   Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

FX Daily: Hard to get excited by the same story Fed minutes once again reiterated the cautious approach to interest rates but for the US dollar, this seems to be a non-event. Expect trading volumes to fall away into Thursday's US Thanksgiving holiday, and look out for US jobless claims today instead of tomorrow. Meanwhile, the NBH delivered another 75bp rate cut, which is good news for FX.   USD: Consolidation continues Federal Reserve minutes once again reiterated the cautious approach to interest rates, which did not excite the markets much. US equity markets broke a five-day winning streak and Treasuries ended a little lower again. For EUR/USD, this seems to be more of a non-event. Looking ahead, expect trading volumes to fall away into tomorrow’s US Thanksgiving holiday but the holiday means we get to see US initial jobless claims earlier than usual. Here, continued claims are expected to climb, reflecting a softening labour market. Today’s US calendar also sees durable goods orders and the latest readings on US consumer confidence - the latter is expected to stabilise at the lowest levels since May. In terms of the bigger picture, we tend to think it is a little too early to expect the dollar bear trend to run a lot further just yet. That will require some substantially weaker US data or the Fed formally taking an additional rate hike off the table.  

Notes from a slow year-end morning By Ipek Ozkardeskaya, Senior Analyst | Swissquote Bank  The last PCE print for the US was perfect. Core PCE, the Federal Reserve's (Fed) favourite gauge of inflation, printed 0.1% advance on a monthly basis – it was softer than expected, core PCE fell to 3.2% on a yearly basis – it was also softer than expected, and core PCE fell to 1.9% on a 6-month basis, and that's below the Fed's 2% inflation target.   Normally, you wouldn't necessarily cheer a slowdown in 6-month inflation but because investors are increasingly impatient to see the Fed cut its interest rates, all metrics are good to justify the end of the Fed's policy tightening campaign. So here we are, cheering the fact that the 6-month core PCE fell below the Fed's 2% target in November. The US 2-year yield is preparing to test the 4.30% to the downside, the 10-year yield makes itself comfy below the 4% mark – and even the 3.90% this morning, and the stocks joyfully extend their rally. The S&P500 closed last week a few points below a ytd high, Nasdaq100 and Dow Jones consolidated near ATH levels and the US dollar looks miserable. The dollar index is at the lowest level since summer and about to step into the February to August bearish trend.   There is not much data left to go before this year ends. We have a light economic calendar for the week, and the trading volumes will be thin due to the end-end holiday.   Morning notes from a slow morning  Major central banks reined in on inflation in 2023 – the inflation numbers are surprisingly, and significantly lower than the expectations. Remember, we though – at the start of the year - that the end of China's zero-Covid measures was the biggest risk to inflation. Well, we simply have been served the exact opposite: China's inability to rebound, and inability to generate inflation simply helped getting the rest of us out of inflation. China did not contribute to inflation but to disinflation instead.  The Fed sounds significantly more dovish than its European peers – even though inflation in Europe and Britain have come significantly down, and their sputtering economies would justify softer monetary policies, whereas the US economy remains uncomfortably strong. Released last Friday, the US durables goods orders jumped 5.4% in November! The diverging speed between the US and the European economies makes the policy divergence between the dovish Fed and the hawkish European central banks look suspicious. Yes, the EURUSD will certainly end this year above that 1.10 mark, nonetheless, the upside potential will likely remain limited.   Elsewhere, everyone I talk to is short USDJPY, or short EURJPY, or GBPJPY. But the bullish sentiment in the yen makes the yen stronger and a stronger yen will help inflation ease in Japan, and slow inflation will allow the Bank of Japan (BoJ) to remain relaxed about normalizing policy. And indeed, released this morning, the BoJ core inflation fell more than expected to 2.7%. Bingo! Therefore, it looks like the USDJPY's downside potential may be coming to a point of exhaustion near the 140 – in the absence of fresh news.   In energy, oil is having such a hard time this year. The barrel of American crude couldn't break the $74pb resistance and there is now a death cross formation on a daily chart. Yet the oil bulls have all the reasons on earth to push this rally further: the tensions in Suez Canal are mounting, the war in the Middle East gets uglier, Iran looks increasingly involved in the conflict, OPEC restricts production, and central banks are preparing to cut rates. But interestingly, none has been enough to strengthen the back of the bulls. Failure to clear the $74/75 resistance will eventually weaken the trend and send the price of a barrel below $70pb. If that's the case, there will be even more reason to be confident about a series of rate cuts next year.  

FX Daily: A dollar rally to start the New Year The dollar jumped yesterday as investors started to return from the long Christmas break. Markets are unwinding some dovish bets, and questioning stretched equity valuations, ultimately favouring defensive bets in FX. The dollar also tends to seasonally outperform at the start of the year. Today, the focus moves back to data, as well as the FOMC minutes.   USD: Dollar seasonally strong in January and February Defensive bets dominated in global markets as investors returned from the long Christmas break. This was particularly evident in the FX market, as the dollar corrected sharply higher yesterday to the detriment of European currencies. The tendency of dollar selling and European FX buying that emerged in December was triggered by the dovish pivot at the December FOMC, but seasonal factors also played a role. The dollar tends to underperform at the end of the year, likely due to some tax-related flows from US corporations: DXY weakened in December in each of the past seven years. While the seasonality factor isn’t as strong, January tends to be a good month for the dollar, with DXY having risen on average 0.4% in the past 20 years. February has shown a stronger positive seasonality pattern, with DXY having appreciated in each of the past seven years. The dollar strength in the early part of the year is often associated with the December tax flows by US corporates being reverted, and while expectations of a firmer dollar at the start of the year (which we agree with) could have exacerbated yesterday’s USD buying, the key factor remains Federal Reserve dovish bets against the backdrop of stretched equity valuations after a strong year for US stocks, in particular in the tech sector. We have observed some tentative unwinding of dovish bets as trading resumed: interestingly, the Fed Funds futures curve no longer fully prices in a March cut (21bp at the moment). As trading volumes pick back up this week, US calendar events will also offer direction to investors. Today, the Fed releases the minutes of the December FOMC, which should shed some light on the reasoning behind the dovish revision of the Dot Plot. Given the strong dovish reception by the market after the December Fed announcement, there is a risk of the minutes preventing further dovish bets as some conditionality (in terms of economic data developments) for easing policy emerges in the minutes. Today also sees the release of JOLTS job openings for November and the December ISM manufacturing, and consensus is positioned for a good print in both releases. We are inclined to think that the dollar can hold on to most of yesterday’s gains in the next couple of days, as data may prove benign and investors favour defensive positions ahead of Friday’s US payrolls – which are expected to print a respectable 170k. DXY may hover around the 102 gauge into the payrolls. Beyond the very short term, we still expect a further dollar decline to materialise this year as the deterioration in the economic outlook forces large Fed cuts, but the pace of USD depreciation should be more moderate in 1H24 compared to November/December 2023.  

In the world of forex trading, it's essential to grasp the concepts of lots, mini lots, and micro lots before diving into the market. Let's break down these fundamental terms to provide a comprehensive understanding for both novice and experienced traders. What is a Lot? Forex trading involves currency pairs, such as EUR/USD. The value of a currency pair, say EUR/USD at 1.1500, implies that to hold 1 euro, you need to spend 1.15 dollars. Transactions involve buying one currency while selling the other. Lots are units used to measure the amount of money invested in a specific currency pair. One lot equals 100,000 units of the base currency. For instance, buying 100,000 euros against dollars is referred to as purchasing 1 lot of EUR/USD. It's crucial to note the existence of leverage in forex trading, allowing investors to trade more significant amounts than the funds available. With a 1:100 leverage, possessing only 1,000 USD enables trading with 100,000 USD. Mini Lots and Micro Lots While a standard lot is the basic trading unit, traders have the flexibility to open positions in smaller increments. This leads us to the concepts of mini lots and micro lots. Mini Lot: One-tenth of a standard lot, equal to 10,000 units of the base currency. Micro Lot: The smallest tradable amount at most brokers, constituting 1/100 of a lot or 1,000 units of the base currency. Especially for beginners, starting with micro lots is advisable before advancing to mini and standard lots. Lot in Trading Practice With this knowledge, let's delve into a practical example of buying and selling currencies. Consider the EUR/USD pair, assuming an upward trend. Opting to buy 1 lot of EUR/USD at a rate of 1.1505/1.1537 with a target at 1.1880 and a protective stop order at 1.1450, we can calculate the potential profit. In summary: EUR/USD: 1.1505/1.1537 Ask: 1.1537 Take Profit: 1.1880 Stop Loss: 1.1450 Calculating potential profit for 1 lot: (1.1880−1.1537)×10���=3430���(1.1880−1.1537)×10USD=3430USD For a mini lot, the profit would be 343 USD, and for a micro lot, it would be 34.30 USD. Considering potential loss in this example: (1.1537−1.1505)×10���=320���(1.1537−1.1505)×10USD=320USD The loss for a mini lot would be 32 USD, and for a micro lot, it would be 3.20 USD. As illustrated, trading volume significantly impacts both potential gains and losses. Beginning with smaller volumes allows traders to consider not only potential profits but also potential losses, fostering a prudent approach to forex trading.