The effect of exchange rate fluctuations on the indicators market of foreign investor trading in the financial markets

The effect of exchange rate fluctuations on the indicators market of foreign investor trading in the financial markets

(Analytical study in the Iraqi financial market from the year 2008-2019)

A Thesis Submitted By

Ayah A. Al-Tammie

To the Board of the College of Administration and Economics – University of Karbala, which is part of the requirements for obtaining a master’s degree in banking and finance sciences

Under the supervision of

Asst. Prof. Dr. Kamal K. Jawad Al-Shammari

Abstract

The study dealt with the subject of the impact of exchange rate fluctuations on the indicators of foreign investor trading in the financial market and sought to achieve the most prominent goals. The effects of the exchange rate in the short and long term on the indirect foreign investor trading indicators, and then shedding light on some of the methods used by traders to predict the direction of transaction prices, the number of traded shares and the value of traded shares.

After reviewing the various theoretical aspects related to the exchange rate and indicators of foreign investor trading in the Iraqi financial market, the research worked on the practical side to try to reveal the impact of the exchange rate on some foreign investor indicators (number of deals, value of traded shares, number of traded shares), through A study and application of the foreign investor’s exchange rate and indicators in the Iraqi financial market for the period 8-200 2019 over a period of 12 years, then the study worked and was tested on 12 months of the year 2019. It is the result of buying and selling orders and the increase in the number of investors in the financial market according to the fluctuations in exchange rates followed by the monetary policy in the Central Bank of Iraq, and it gives many signals, the most important of which is to warn traders of a reversal of the price trend. The research ended with recommendations, the most important of which is that the foreign trader who wants to maximize his returns and profits and rationalize his investment decisions in the Iraqi capital market should take into consideration after he has finished knowing the basics of trading for the foreign investor in the Iraqi capital market, as the foreign investor alone can It determines the amount of buying or selling, and directing the foreign investor to increase his knowledge and awareness of its indicators and the need to diversify in the use of indirect investment methods before making an investment decision, but it is accompanied by full knowledge of the basics of stock prices traded in the Iraqi Stock Exchange.