Samir 1 Posted August 22, 2020 Share Posted August 22, 2020 Hello, I would like to know more about currencies in Forex. Quote Link to comment Share on other sites More sharing options...
0 Tarik Posted August 22, 2020 Share Posted August 22, 2020 Hello Samir, thanks for asking! There’s not one Forex pair that you can say is the most profitable currency pair. In general, the most popular and liquid pairs are EUR/USD, GBP/USD, and USD/JPY. These three currency pairs show the highest amount of trading activity and volume. Quote Link to comment Share on other sites More sharing options...
0 Harry Clark Posted August 25, 2020 Share Posted August 25, 2020 Hi Samir, thank you for your question! Currency pairs that are most profitable for trade in Forex usually include a combination between the United States dollar and other economically developed countries and zones such as Japan, Great Britain, Switzerland, Australia, Canada, or European Union. These combinations amount to around 70% of currencies traded on Forex, which leads to their high liquidity. When considering which currency to choose it is important to take notice of their volatility, spread, and trading strategy. In addition to this popular combination between the United States dollar and other countries’ currencies, traders trade in combinations between the Australian dollar and currencies of Canada, New Zealand, and Japan. Canadian dollar and Japanese Yen are traded as well, the European Union’s Euro and Australian, Canadian, Switzerland’s, British and Japanese currencies combinations present a popular option as well. The British Pound is often associated with Australian, Swiss, and Japanese currencies. From this, we can draw a trend that currency combinations are usually based on the geographical proximity of countries or their good economic and trade relations. Quote Link to comment Share on other sites More sharing options...
0 Emma Smith Posted August 28, 2020 Share Posted August 28, 2020 Hello, thanks for your question! Best currency pairs for trading in Forex are usually combinations between the U.S. dollar and a currency that belongs to another major country (Australia, Great Britain, Canada, or the European Union). They make up most of the currencies traded in Forex, with some other smaller currencies coming up second. Quote Link to comment Share on other sites More sharing options...
0 Clark Kenneth Posted August 31, 2020 Share Posted August 31, 2020 Hi, thanks for asking! When trading currencies in Forex, you can opt to trade in major currencies, minor and exotic ones. All of them offer specific benefits and carry risks that you should be aware of. Major currencies, or the so-called majors, are combinations of major currencies traded in Forex, and these are EUR/USD, USD/JPY, GBP/USD, AUD/USD, NZD/USD, USD/CHF, USD/CAD. And all of them together combine for around 70% in overall currencies traded in Forex. The best and most profitable pair being EUR/USD which has the lowest spread, highest volume of trade, and highest popularity. The benefits of trading this pair is that there is high transparency connected to these two currencies, as the trades and economic endeavors of the European Union and the United States are the most transparent and because of this, it is easier to predict their future trends. As being the most popular pair, this means that these currencies are also characterized by high liquidity which means they are easy to offload. In Asia, the most popular pair is the pair of the U.S. dollar and Japanese yen (USD/JPY), which has high liquidity on the Asian market and high volatility. Quote Link to comment Share on other sites More sharing options...
Question
Samir 1
Hello, I would like to know more about currencies in Forex.
Link to comment
Share on other sites
4 answers to this question
Recommended Posts
Join the conversation
You can post now and register later. To reply to this question, sign in or create a new account.