The process of taking one currency and converting it to another currency only to convert it back to original currency. This method of forex trading is done to capitalize on gains in one currency versus another currency. For example, if the dollar is ahead of the euro, a trader may conduct a triangular arbitrage to receive a larger return for the exchange.
Related information about triangular arbitrage:
- Triangular arbitrage - Wikipedia, the free encyclopedia
Triangular arbitrage (also referred to as cross currency arbitrage or three-point arbitrage) is the act of exploiting an arbitrage opportunity resulting from a pricing ...
- Triangular Arbitrage Step-by-Step - YouTube
Jun 3, 2011 ... Step-by-step understanding of the triangular arbitrage concept in currency markets.
- Triangular Arbitrage - YouTube
Dec 26, 2009 ... A brief demonstration on Triangle Arbitrage between currencies.
- Triangular Arbitrage with Bid - Ask Quotes - YouTube
Feb 17, 2010 ... A demonstration on conducting Triangular Arbitrage using the Bid - Ask FOREX quotes.
- Triangular Arbitrage Definition | Investopedia
The process of converting one currency to another, converting it again to a third currency and, finally, converting it back to the original currency within a short ...
- Triangular Arbitrage - Financial Dictionary - The Free Dictionary
Striking offsetting deals among three markets simultaneously to obtain an arbitrage profit. Triangular Arbitrage. A series of three currency trades in which the ...
- How to Calculate Arbitrage in Forex - wikiHow
May 16, 2012 ... In order to have a triangular arbitrage, you must compare the exchange rate of three ... Each triangular arbitrage must have this structure. 2 ...
- Currency Cross Rates And Triangular Arbitrage In The FX Spot Market
A complete, but concise, illustrated tutorial about how foreign exchange rates are related and maintained. Additional topics: Foreign Exchange Rate ...