mrsiddle Posted August 4 Report Share Posted August 4 I've got a question regarding calculating P/L for a given forex pair. When calculating floating P/L, you are given an amount in terms of the quote currency for a given pair. When converting this back into the base currency of the same pair, do you use the bid or ask price, and why? Algo related because I'm building a back tester and this is confusing me. Link to comment Share on other sites More sharing options...
mrsiddle Posted August 4 Author Report Share Posted August 4 I've got a question regarding calculating P/L for a given forex pair. When calculating floating P/L, you are given an amount in terms of the quote currency for a given pair. When converting this back into the base currency of the same pair, do you use the bid or ask price, and why? Algo related because I'm building a back tester and this is confusing me. Link to comment Share on other sites More sharing options...
early birds Posted August 4 Report Share Posted August 4 just my thoughts, not some rulls or anything . AUD/USD------ the profit will rest on USD [secondary currency], so when you convert the P/L to AUD then your broker will charge you the spreads for USD/AUD . but it just for your P/L parts that is my understanding. not sure if it can help! Link to comment Share on other sites More sharing options...
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