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Currency

Currency

If you are new to the forex market and have just started trading Forex online, you may find yourself overwhelmed and confused both at a time by the huge number of available currency pairs inside your terminal. So what are the best currency pairs to trade? The answers is not that straightforward as it varies with each trader and its terminal window or with what exchange (or OTC market) he is trading.
Instead, you need to take the time to analyse different pairs of currencies against your own strategy to determine the best forex pairs to trade on your accounts. The trade in Forex market occurs between two currencies, because one currency is being bought (buyer/bid) and another sold (seller/ask) at the same time. There is an international code that specifies the setup of currency pairs we can trade. For example, a quote of EUR/USD 1.25 means that one Euro is worth $1.25. Here, the base currency is the Euro (EUR), and the counter currency is the US dollar. Commonly Used Currency Pair in this section, we will learn about a few commonly used currency pair.

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If you are new to the forex market and have just started trading Forex online, you may find yourself overwhelmed and confused both at a time by the huge number of available currency pairs inside your terminal. So what are the best currency pairs to trade? The answers is not that straightforward as it varies with each trader and its terminal window or with what exchange (or OTC market) he is trading.
Instead, you need to take the time to analyses different pairs of currencies against your own strategy to determine the best forex pairs to trade on your accounts. The trade in Forex market occurs between two currencies, because one currency is being bought (buyer/bid) and another sold (seller/ask) at the same time. There is an international code that specifies the setup of currency pairs we can trade. For example, a quote of EUR/USD 1.25 means that one Euro is worth $1.25. Here, the base currency is the Euro (EUR), and the counter currency is the US dollar. Commonly Used Currency Pair in this section, we will learn about a few commonly used currency pair.

Pound – US Dollar)

Forex Trading

8 As prices of these major currencies keep changing and so do the values of the currency pairs change. This leads to a change in trade volumes between two countries. These pairs also represent countries that have financial power and are traded heavily worldwide. The trading of these currencies makes them volatile during the day and the spread tends to be lower.

EUR/USD Currency Pair

The EUR/USD currency pair is considered to be the most popular currency pair and has the lowest spread among modern world forex brokers. This is also the most traded currency pair in the world. About 1/3rd of all the trade in the market is done in this currency pair. Another important point is that this forex pair is not too volatile. Therefore, if you do not have that much risk appetite you can consider this currency pair to trade.