FX Market_4. Remnant Supply and Demand

Lesson 4: Remnant Supply and Demand

Remnant Supply and Demand

Rather than pursue the market, institutional traders from banks, hedge funds, and
multinational's main concern is to have their orders filled at the price they wanted.
Their analyses follow the market's possible direction in the following month or
following year. If the market took a step back from a level that they traded today,
their orders will not be cancelled and their positions will stay open until the market
returns.
These remaining open orders shape the foundations of the market, prompting the
price to revisit.