Bid price and sell price
Brokers in forex trading earn their commissions from the ask/bid spread instead of the trading volumes that take place. They make their commission from the higher sale price of currencies compared to the rate at which they were bought. The spread amount may vary from one broker to the other and the system is absolutely legal. If you are trading in forex, it is customary to buy at the bid price and then sell at the ask price.
The bid is the first listed price in forex quote and the second listed price is the ask price. Spread is the difference between the two which is the commission of the forex broker. They make their profit in brokerage from the difference. By checking out the bid and the ask price, you can always clearly get to know how much commission the broker would be charging you. The difference or the pips go to the broker as commission.
Quote locator
The knowledge of the quote will make it easier for you to work with a forex trading company and understanding the nuances take time and some experience over the years. The best bet for a newbie would be to trade in a demo account with a broker for practice and honing his or her skills. These are simple knowledge that is essential to take the next steps with the various forex strategies and the use of software.
You can also trade better with the understanding of the quotes and their functioning as currency prices are prone to wild fluctuations. There are several free online forex sites that can keep you updated with their systems. Some better trading sites have a quote locator to enable forex traders to develop their custom forex quote list.