Volatility is a general phrase that describes changes in asset prices. For a certain time period, it calculates the difference between the opening and closing prices.
A currency pair that varies between 5 and 10 pips, for instance, is less volatile than one that oscillates between 50 and 100 pips.
You may see that some currencies and currency combinations are more volatile than others if you look attentively. You must be familiar with the phrase “safe haven,” which refers to some currencies like the US dollar, Swiss franc, and Japanese yen (to a certain degree).
The Turkish Lira, Mexican Peso, Indian Rupee, and Thai Baht are examples of exotic and developing market currency pairs that are seen to be more volatile than safe-haven currencies. You can always locate a currency pair that will suit your trading style, strategy, and preferences, depending on your trading preferences, style, and style. While some traders enjoy the significant risk that comes with unpredictable markets, others might not.