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What currencies are usually paired in the Forex market?

Seven currencies are employed in the Forex by the traders namely the USD (US dollar), EUR (Euro dollar), JPY (Japanese Yen), GBP (British Pound), CHF (Swiss Franc Dollar), CAD (Canadian Dollar), AUD (Australian Dollar) and NZD (New Zealand Dollar). The four major pairs in the Forex are the EUR/USD, USD/JPY, GBP/USD and USD/CHF. Meanwhile, USD/CAD, AUD/USD and NZD/USD are the other moneys that are deemed as commodity pairs. Today, there is a GBP/JPY cross. The currency cross has been devised to facilitate the needs of people in England and Japan who desire to convert their money directly without having to first convert it into US dollars.

Dollars

It is indeed distinguishable that US dollars are always being paired with the other currencies. The reason is that the American dollar is considered the major currency in which most traders rely on to know the movement in the market. In addition, dollars serve as the reserve currency for the world’s central bank. If the dollar is frail, all the currencies will be lucrative. However if the dollar is strong, traders will certainly lose their money. The faction of dollars is surely indispensable to traders for them to side on which bazaar they will depart for a day, whether they will go for the market dollars or the anti-dollars.
Euros

The currency crosses seem to be beneficial opportunities for traders yet Forex merchants should seize the chance in making it as their boss.

Related posts:

  1. Which Major Currencies Should Be Your Focus on Forex?
  2. Reasons for the Popularity of Forex and Currencies
  3. The art of buying and selling foreign currencies is called Forex trading
  4. United States and Its Foreign Exchange Market Today
  5. Making Currency Cross as Your Boss

This entry was posted on Tuesday, November 24th, 2009 at 10:54 pm and is filed under Forex trading. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

3 Responses to “What currencies are usually paired in the Forex market?”

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