Forex, also known as foreign exchange, is the largest financial market in the world with a daily turnover of over $5 trillion. The forex market consists of a wide range of currency pairs, but some are more popular and frequently traded than others. These popular and frequently traded currency pairs are called the “big forex pairs.” In this article, we will be discussing what are the big forex pairs and why they are important.
The big forex pairs are the most traded currency pairs in the forex market. These pairs involve the US dollar (USD) and another major currency such as the euro (EUR), Japanese yen (JPY), British pound (GBP), Swiss franc (CHF), Canadian dollar (CAD), and Australian dollar (AUD). The big forex pairs account for approximately 85% of all forex trading. These pairs are highly liquid and have tight spreads, meaning that there is a high volume of buyers and sellers, and the difference between the bid and ask price is small.
The most traded big forex pair is the EUR/USD. This currency pair accounts for approximately 24% of all forex trading. The EUR/USD is a pairing of the euro and the US dollar. The euro is the currency of the European Union and the second most traded currency in the world. The US dollar, on the other hand, is the world’s reserve currency and is the most widely used currency in international transactions. The EUR/USD is heavily influenced by economic and political events in the European Union and the United States.
The second most traded big forex pair is the USD/JPY. This currency pair accounts for approximately 13% of all forex trading. The USD/JPY is a pairing of the US dollar and the Japanese yen. The Japanese yen is the third most traded currency in the world and is often used as a safe-haven currency during times of economic uncertainty. The USD/JPY is heavily influenced by economic and political events in the United States and Japan.
The third most traded big forex pair is the GBP/USD. This currency pair accounts for approximately 9% of all forex trading. The GBP/USD is a pairing of the British pound and the US dollar. The British pound is the fourth most traded currency in the world and is heavily influenced by economic and political events in the United Kingdom. The GBP/USD is also influenced by economic and political events in the United States.
The fourth most traded big forex pair is the USD/CHF. This currency pair accounts for approximately 5% of all forex trading. The USD/CHF is a pairing of the US dollar and the Swiss franc. The Swiss franc is the sixth most traded currency in the world and is often used as a safe-haven currency during times of economic uncertainty. The USD/CHF is heavily influenced by economic and political events in the United States and Switzerland.
The fifth most traded big forex pair is the AUD/USD. This currency pair accounts for approximately 5% of all forex trading. The AUD/USD is a pairing of the Australian dollar and the US dollar. The Australian dollar is the fifth most traded currency in the world and is heavily influenced by economic and political events in Australia. The AUD/USD is also influenced by economic and political events in the United States.
The sixth most traded big forex pair is the USD/CAD. This currency pair accounts for approximately 4% of all forex trading. The USD/CAD is a pairing of the US dollar and the Canadian dollar. The Canadian dollar is the seventh most traded currency in the world and is heavily influenced by economic and political events in Canada. The USD/CAD is also influenced by economic and political events in the United States.
In conclusion, the big forex pairs are the most traded currency pairs in the forex market. These pairs involve the US dollar and another major currency such as the euro, Japanese yen, British pound, Swiss franc, Canadian dollar, and Australian dollar. The big forex pairs account for approximately 85% of all forex trading and are highly liquid with tight spreads. It is important for forex traders to understand the big forex pairs and the economic and political events that influence them in order to make informed trading decisions.
