Exchange rate: The exchange rate is the price at which one currency can be exchanged for another. It represents the value of one country's currency relative to another.
Appreciation: Appreciation occurs when the value of a currency increases relative to other currencies. This can happen due to factors such as increased demand or improved economic conditions.
Depreciation: Depreciation happens when the value of a currency decreases relative to other currencies. This can occur due to factors such as decreased demand or worsening economic conditions.