Gravity goes both ways in forex...
- Joined Feb 2006 | Status: Blah blah blah | 1,410 Posts
The breaking of a wave cannot explain the whole sea.
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DislikedCraig beat me to the smart ass reply, so I'll give you the real answer. A basket refers to trading multiple instruments. It could be a bunch of currencies, stocks, bonds, etc. The idea is to smooth out the volatility in equity swings. If you trade enough things, some are always winning, others are losing, some are neutral. It will give smaller returns over time, but a much smoother equity curve.Ignored