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What pairs have the lowest spread in forex?

Forex trading involves buying and selling currencies in pairs, and the spread is the difference between the bid and ask price of the currency pair. A low spread indicates a smaller difference between the buying and selling price, which can be beneficial for traders as it reduces their trading costs. In this article, we will discuss the currency pairs with the lowest spread in forex.

EUR/USD

The EUR/USD pair is the most widely traded currency pair in the forex market, and it is also one of the pairs with the lowest spread. The euro is the base currency, and the US dollar is the quote currency. The spread for this pair is typically low, averaging around 0.5 pips. This low spread is due to the high liquidity of both currencies and the large trading volume of this pair.

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GBP/USD

The GBP/USD pair is the second most widely traded currency pair in the forex market, and it is also one of the pairs with the lowest spread. The pound sterling is the base currency, and the US dollar is the quote currency. The spread for this pair is typically low, averaging around 0.9 pips. This low spread is due to the high liquidity of both currencies and the large trading volume of this pair.

USD/JPY

The USD/JPY pair is another popular currency pair in the forex market, and it is also one of the pairs with the lowest spread. The US dollar is the base currency, and the Japanese yen is the quote currency. The spread for this pair is typically low, averaging around 0.7 pips. This low spread is due to the high liquidity of both currencies and the large trading volume of this pair.

USD/CHF

The USD/CHF pair is a less popular currency pair in the forex market, but it is still one of the pairs with the lowest spread. The US dollar is the base currency, and the Swiss franc is the quote currency. The spread for this pair is typically low, averaging around 0.9 pips. This low spread is due to the high liquidity of both currencies and the large trading volume of this pair.

AUD/USD

The AUD/USD pair is a popular currency pair in the forex market, especially among traders who want exposure to the Australian economy. The Australian dollar is the base currency, and the US dollar is the quote currency. The spread for this pair is typically low, averaging around 0.8 pips. This low spread is due to the high liquidity of both currencies and the large trading volume of this pair.

Conclusion

In conclusion, the currency pairs with the lowest spread in forex are the EUR/USD, GBP/USD, USD/JPY, USD/CHF, and AUD/USD pairs. These pairs have a low spread due to the high liquidity of both currencies and the large trading volume of these pairs. Traders can benefit from trading these pairs with a low spread as it reduces their trading costs and allows them to potentially earn higher profits. However, it is important to note that the spread can vary depending on market conditions, so traders should always monitor the spread when trading.

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