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October 31, 2006

Market Liquidity: Foreign Exchange vs The Stock

The Foreign Exchange market is the largest market in the World. The average daily volume of somewhere between $1.8 and $2 Trillion ensures excellent market liquidity. This liquidity is present 24 hours a day as trading follows the daylight hours around the globe. By comparison average daily volume of around $50 Billion for the World's stock markets conjures up thoughts of poor liquidity and therefore many more problems with slippage, partial fills and order execution speed. But is the issue of liquidity necessarily such a big

From Market Liquidity: Foreign Exchange vs The Stock

Posted by Doug at October 31, 2006 11:28 AM