A buy order is the instruction to a broker (or bank, market maker, or financial institution) to buy a currency, commodity, or security. |
In FX, every time you place a trade you are buying one currency and selling another. When you BUY A CURRENCY PAIR, you are buying the first currency in the pair (the base currency) and selling the second currency (the counter or quote currency).
Easy example, if a trader buys EURUSD, they are using Dollars to buy Euros, effectively selling US Dollars.
If a trader were to sell EURUSD, they are using Euros to buy US Dollars, effectively selling Euros.
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