Mark-to-Market in Forex
A clear definition of Mark-to-Market, with practical context for reading markets and making better trading decisions.
Definition
Mark-to-market is the practice of revaluing positions or financial items using current market values. In trading accounts, it helps update equity and unrealized profit or loss as the market moves.
How It Works
Electronic markets separate the price you see, the instruction you send, and the final execution you receive. Available liquidity, order type, venue rules, and market movement can all affect what happens between those steps.
Why It Matters
This vocabulary lets you read a broker or platform screen accurately. The goal at Level 2 is mechanical literacy - knowing what a displayed price, order status, or execution record means - rather than predicting the market.
Key Takeaway
Mark-to-market is the practice of revaluing positions or financial items using current market values.
Practical forex example
Why Mark-to-Market matters
Understanding Mark-to-Market helps traders interpret market information, plan decisions, and manage risk with more context.
Related forex terms
Turn the definition into trading skill.
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