The bid is the price at which a market maker (real-time Forex) is willing to buy (and clients can sell) the base currency in exchange for the counter currency. The ask is the price at which a market maker (real-time Forex) will sell (and clients can buy) The base currency in exchange for the counter currency. The difference between the bid and the ask price is referred to as the spread Technical and fundamental analysis Technical analysis is generally based on historical graph. This is good for short term prediction 0-90days Fundamental analysis is based on war discovery and change of government . This is good for long term above a year. Psychology of trading Expectation and sentiments