Quote:
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Originally Posted by mishak
spot
majors
no
non-pegged currencies trend better  |
Lol Mish - slightly mischievous answer. And actually in terms of liquidity not strictly correct. Swap liquidity is in fact far deeper than directional liquidity (i.e. spot and forwards). No bank will bat an eyelid when you ask them for an even swap in EUR/USD in EUR 100 Million, but they will definitely widen their spread from normal market size if you ask them for straight spot in that size.
So regardless of whether you define liquidity in terms of average daily market size, or impact of a given sized trade on the price, swaps are far deeper than any other forex market.
GJ