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A foreign exchange derivative is a financial derivative whose payoff depends on the foreign exchange rate s of two or more currencies. These instruments are . This forex trading article briefly covers some of the financial instruments that have their values derived from forex rates. Learn about currency .Use of Derivatives in Forex Trading. Much of currency trading is done on what is called the spot, or cash, market where currency pairs are bought and sold at .Definition of foreign exchange derivatives: Any financial instrument that locks in a future foreign exchange rate. These can be used by currency or .
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A foreign exchange derivative is a financial derivative whose payoff depends on the foreign
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