Volume and Open Interest with FOREX Trading
Volume and open interest statistics are not available on the spot market, as there is no centralized clearinghouse or exchange to collect the data. It is available for currency futures. Volume is the total number of transactions over a fixed period of time, usually one trading session. Open interest is the total number of outstanding futures contracts. If a new long buys from a new short, open interest increases by one. If a new long or new short buys or sells to an old short or old long, open interest does not change. If an old long offsets to an old short, open interest decreases by one. Many technical traders in the futures market consider volume and open interest to be useful forecasting information.