By the end of the 80’s the Forex market began to expand in an accelerated peace thanks to the propagation of electronic telecommunications and the widespread availability of personal computers to important population sectors, especially in the first world countries. By the mid 90’s the forex had been transformed into a huge global market with activity most days of the week and 24 hrs a day.
Even considering that you can trade forex from almost anywhere around the world there are still seven major currencies that you should always consider as your main references and subjects of your trading efforts.
These six major currencies are:
USD – United States Dollar
AUD – Australian Dollar
CAD – Canadian Dollar
EUR – Euro
JPY – Japanese Yen
GBP – British Pound
CHF – Swiss Franc
From these seven world currencies you can form a great number of “currency pairs” and the ones that are most usually traded by many forex systems and professional traders are the EUR/USD and USD/JPY. Some traders are of the opinion that he best pair to use in order to have profitable trades more often and with the less amount of complication is the EUR/USD pair. It seems to be more predictable and “well behaved” than the other pairs. But this depends a lot on the forex trading systems you are using and your trading experiences with other currency pairs. At the end the only thing that must be of real importance to you as a forex trader is your profitability even if you are trading exotic currencies and pairs.