Forex trading is one of the most popular forms of trading in the world, and it involves the buying and selling of currencies. The forex market is the most liquid market in the world, with trillions of dollars traded every day. Nadex is one of the leading binary options trading platforms that provides traders with the opportunity to trade forex pairs. In this article, we will explain what forex pairs are traded on Nadex and how to trade them.
What are Forex Pairs?
Forex pairs are the currencies that are traded in the forex market. Forex pairs are always traded in pairs, with one currency being bought and the other being sold. The exchange rate between the two currencies determines the profit or loss for the trader. Forex pairs are usually represented by a three-letter code, with the first two letters representing the country and the third letter representing the currency.
What Forex Pairs are Traded on Nadex?
Nadex offers traders the opportunity to trade a variety of forex pairs. The major forex pairs traded on Nadex include EUR/USD, USD/JPY, GBP/USD, USD/CHF, AUD/USD, and USD/CAD. These are the most liquid forex pairs in the world and are widely traded by both institutional and retail traders.
Another forex pair that is traded on Nadex is the EUR/JPY. This pair is also known as the “cross” or “cross-currency” pair because it does not involve the US dollar. The EUR/JPY is a popular trading pair for traders who want to diversify their portfolios and trade currencies that are not tied to the US dollar.
How to Trade Forex Pairs on Nadex?
Trading forex pairs on Nadex is relatively easy and straightforward. Traders can trade forex pairs using binary options, which are contracts that have a fixed payout and a fixed expiration time. Traders can choose to buy or sell a binary option, depending on their market predictions.
To trade forex pairs on Nadex, traders need to follow these steps:
Step 1: Open an Account with Nadex
Traders need to open an account with Nadex to start trading forex pairs. The account opening process is simple and straightforward, and traders can complete it within a few minutes.
Step 2: Fund the Account
After opening an account, traders need to fund it to start trading. Nadex offers a variety of payment options, including debit/credit cards, bank transfer, and ACH.
Step 3: Select a Forex Pair
Traders need to select a forex pair to trade. Nadex offers a variety of forex pairs, and traders can choose the one that they are most comfortable with.
Step 4: Choose a Contract
Traders need to choose a binary option contract that they want to trade. Nadex offers a variety of contracts with different expiration times and payout ratios.
Step 5: Place the Trade
After selecting the contract, traders need to place the trade by selecting the direction that they want to trade. If they think that the price of the forex pair will go up, they need to select the “Buy” option. If they think that the price will go down, they need to select the “Sell” option.
Step 6: Monitor the Trade
Traders need to monitor the trade until the expiration time. If the price of the forex pair moves in the direction that they predicted, they will receive a payout. If the price moves against their prediction, they will lose their investment.
Conclusion
Forex trading is a popular form of trading that involves the buying and selling of currencies. Nadex is one of the leading binary options trading platforms that provides traders with the opportunity to trade a variety of forex pairs. Traders can trade forex pairs using binary options, which are contracts with a fixed payout and a fixed expiration time. To start trading, traders need to open an account with Nadex, fund it, select a forex pair, choose a contract, place the trade, and monitor the trade until the expiration time.
