Slideshow: Top 6 Most Tradable Currency Pairs

Hi,

I’ve not posted for a good while (but I DO monitor the threads daily).

Of late: I find that I am doing a lot more reading than before and, over the years, I’ve subscribed to many newsletters and I receive many newsletter ‘updates’ on a daily basis. For the most part: it’s ‘junk mail’ i.e. somebody somewhere just trying to get your e-mail address in order to ‘spam’ you in the future or somebody else trying to sell you ‘the system of all time’. However: now and then I get some ‘golden nuggets’ and find articles and links etc. that are worth their ‘salt’ and, if it’s alright with everyone (the moderators included) I’d like to start sharing some of this information with everyone. I know a lot of the information will already have been shared on the forums in some way, shape, or form but I find that sometimes we (I) tend to overcomplicate things or ‘waffle along’ (I know I’m very guilty of doing that with my L-O-N-G posts for which I’m well known). Sometimes: other people (professionals) can say what we’re (I’m) trying to say in a much clearer and more concise format.

So here begins my ‘series’. If anyone has any objections then please let me know and I’ll end my ‘series’. If not: enjoy and I hope that the (what I consider to be) ‘golden nuggets’ help some new traders (and maybe the ‘old timers’ will find something of value too in some of the articles and links).

Top 6 Most Tradable Currency Pairs

The above is found on Investopedia (I’m sure many of you are familiar with the site).

Please note: during the slideshow details are given of the correlations (either positive or negative) between the pairs. This is a ‘general rule of thumb’ i.e. SOMETIMES these correlations break down so just bear this in mind i.e. these correlations are NOT ‘carved in stone’ (which is not mentioned in the slidehow).

Regards,

Dale.

Great Idea Dale , Thanks. Please keep posting

So Dale, you raking in the profits from these correlations? Hahaha

But seriously, do you even trade anymore? Making any money? How about those massive losses from earlier in your trading career, made those back yet?

Glad your back, anyhow. We missed the south african representation on here :smiley:

Hello,

Thanks for the encouragement. It’s just my way of ‘giving back’ I guess.

akeakamai:

Hey: with THOSE types of losses it’ll be a ‘YEAR of Sunday’s’ before I’m ‘back on track’ but I do believe I’ve reached some type of ‘pivotal point’ (no pun intended) in my trading (yes I’m still trading but with minute amounts of money). My PERCENTAGE gains are ‘looking good’ and are consistent at very least. To be honest: it’s taken me just over three years to FINALLY learn that this business is all about RISK MANAGEMENT AND DISCIPLINE i.e. your trading system and / or trading methodology of choice is secondary in my opinion NOW. I guess this is also one of the reasons that I’m doing so much reading now i.e. I find that instead of CONSTANTLY staring aimlessly at charts I can be more productive with my time. I place trades once per day and forget about them. If they get stopped out: too bad for me. But I let the profitable trades run. In the meantime: I read as much as I can and I’m finding that after all this time I actually UNDERSTAND what I’m reading!!! And I guess it’s this type of information that I want to pass on to others if I may. This business is a veritable ‘minefield’ (I’m sure I don’t have to tell you that) and it’s very difficult to sort out the ‘nonsense’ that is literally ‘thrown’ at us EVERY SECOND of EVERY DAY!!!

Anyway and as I said: I read the threads every day but I’ve just not had anything to contribute that I felt was worthwhile (until I got this idea of a posting a ‘series’ of what I consider to be USEFUL articles that is).

Somebody ‘famous’ (I forget who) once said that ANYBODY can achieve ANYTHING if they spend at least 10 000 hours ‘working at it’. Maybe THAT IS INDEED ‘the key’!!! By my calculations: I’ve got about 500 hours to go!!! LOL!!!

Regards,

Dale.

I was lurking about “Reuters” one day, clicking links left and right, and found the 6 pairs are the same except for the order. Here is what I found: “Pairs by Volume Share” -
EUR/USD - 27%; USD/JPY - 13%; GBP/USD - 12%; AUD/USD - 6%; USD/CHF - 5%; and
USD/CAD - 4%. Pretty dramatic dropoff after the big 3 (52%). The EUR/JPY, EUR/GBP, and the EUR/CHF are each 2%.

A NY session only trader would probably do well with just the first 3 although the lower volume of the last 3 might make for some pretty big moves. Thanks for posting the slide show. d.

Good idea. Yeah, I get all that junk mail too. I bet we all do!

“Malcolm Gladwell has written a fascinating study, “Outliers: The Story of Success” (Little, Brown & Co., 2008), which should make a lot of people feel much better about not achieving instant success. [I][B]In fact, he says it takes about 10 years, or 10,000 hours, of practice to attain true expertise.[/B][/I]”

Dale:

Thank you for the useful link and good to see you back :slight_smile:

Regards,
Muthu.

Great useful information. Look forward to more of these ‘nuggets’ you speak of haha!

Hello everyone,

dobro:

You and I have not ‘chatted’ for a VERY long time. Nice to hear from you. Thanks for that information. That type of information could be useful to many. For my part: I am now 100% sure that I am the type of trader that will only make money trading long(er) term i.e. daily charts and longer so volume is not something that I concern myself with. That said: I’m also 100% sure that there are traders that INDEED make money trading session openings and session closings and that is the the type of information that is invaluable to those traders.

TalonD:

(I must just tell you that some of the ‘quotable quotes’ that you have posted absolutely ‘cracked me up’ this morning)!!! LOL!!! But yes (and as you say): I’m now in the habit of opening up Outlook and then going to make myself a cup of coffee while all the ‘junk’ e-mail is being received first thing in the morning!!! Every morning I have a little ‘chuckle’ when I receive all these e-mails trying to sell me everything from ‘the greatest EA of all time’ to Viagra and Vicodin!!! LOL!!! But I patiently sift through them every day because invariably there is at least ONE e-mail that is worth spending the time reading (I must say that of late: the trading of ‘penny stocks’ has ‘caught my eye’). I PERSONALLY would like to see some new forums opened here that are dedicated to the trading of equities, commodities, and (now) penny stocks i.e. I’ve been quite vocal (right or wrong) that I don’t believe that forex trading is ‘where it’s at’ but that’s just me. I’ve thought about starting my OWN site but I’m the ‘loyal sort’ and, as such, would not / could not do such a thing. For the MOST part: there are some really wonderful people here and I’d hate to alienate myself from them or visa versa. I’ve made the suggestion (once or twice) to the administrators of this site so if anyone agrees with me then feel free to ‘voice’ your opinion!!! LOL!!! Yes: there are INDEED other sites dedicted to the trading of other instruments but they’re ‘not the same’ as BabyPips!!! There is a certain sense of ‘togetherness’ here that doesn’t seem to exist on the other sites.

Baby Pipper:

MALCOM GLADWELL!!! THAT is the person to which I was referring!!! Thank you for that!!! I saw a programme on TV a while back (it was about playing Chess if I remember) and THAT is where I heard about the ‘10 000 hours’ ‘thing’. I believe it to be true. I’m one of those people who will ‘take an age’ to REALLY learn about something but once that ‘penny drops’ then ‘the sky is the limit’. There are others (possibly more fortuanate than me) that will ‘grasp’ things a lot faster than I but as long as we all reach the end result then does it really matter???

muthusai2000 and soul786:

Thank you both for your comments. Look: these people that post these articles are not necessarily always ‘right’ BUT at least they will give us something to discuss and ponder. The correct placement of stops (as an example) is an autonomous ‘study’ in my opinion. What I’m saying is that just because I’d like to post links to some articles that ‘mean’ something to ME does not mean that they actually DO ‘carry weight’. I’m just hoping that they will help us all achieve our goals.

All I can say is this: in spite of everything that has happened I still ‘love this busines with all my heart’ and I believe that if we ‘stick together’ and ‘help each other out’ from time to time we WILL succeed. I’ll tell you this much (in my opinion): being able to say that ‘I trade stocks and bonds for a living’ means more than being able to say ‘I’m a lawyer’ or ‘I’m an accountant’!!! Being a successful trader (in my opinion) ‘sets you apart’ from the rest of the world!!! There are very few people that can do what we do for a living. We have a certain ‘something’ that cannot be bought or sold (ironically)!!! LOL!!!

Regards,

Dale.

Forex trading or foreign exchange is the process of exchanging one currency for another currency. Currency exchange has always been a common financial process used mainly for commerce, trading, tourism, and even investing. In the Forex market, currency pairs are sold and bought daily in huge trading volumes.

Most of the top currency pair traded is always comes from a country or continent which holds a strong economic status such as the European continent, United States, Japan, United Kingdom, Switzerland, Australia, New Zealand, and Canada.

The 7 major pairs are EURUSD, GBPUSD, AUDUSD, NZDUSD, USDCAD, USDCHF, and USDJPY.

These major pairs are often referred by their nicknames such as Euro for EURUSD, Cable for GBPUSD, Aussie for AUDUSD, Kiwi for NZDUSD, Loonie for USDCAD, Swissy for USDCHF, and Yen for USDJPY.