Glossary
R
Rally
A recovery in price after a period of decline.
Range
The difference between the highest and lowest price of a future recorded during a given trading session.
Rate
The price of one currency in terms of another, typically used for dealing purposes.
Recession
A decline in business activity. Often defined as two consecutive quarters with a real fall in GNP.
Reserves
Funds held against future contingencies, normally a combination of convertible foreign currency, gold, and SDRs. Official reserves are to ensure that a government can meet near term obligations. They are an asset in the balance of payments.
Resistance
A term used in technical analysis indicating a specific price level at which analysis concludes people will sell.
Retail Price Index
Measurement of the monthly change in the average level of prices at retail, normally of a defined group of goods.
Revaluation
Daily calculation of potential profits or losses on open positions based on the difference between the settlement price of the previous trading day and the current trading day.
Risk
Exposure to uncertain change, most often used with a negative connotation of adverse change
Risk management
The identification and acceptance or offsetting of the risks threatening the profitability or existence of an organization. With respect to foreign exchange involves among others consideration of market, sovereign, country, transfer, delivery, credit, and counterparty risk
Risks
There are risks associated with any market. It means variance of the returns and the possibility that the actual return might not be in line with the expected returns. The risks associated with trading foreign currencies are: market, exchange, Interest rate, yield curve, volatility, liquidity, forced sale, counter party, credit, and country risk.
Roll-Over
Process whereby the settlement of a deal is rolled forward to another value date. The cost of this process is based on the interest rate differential of the two currencies. | 
