A Full List and Types of Currencies Traded on Forex (2024)

Forex, short for the foreign exchange, is the market where currencies from all over the world are traded. There are hundreds of different currency pairs that can be traded on the forex market. In this article, we will look at forex trading currency list.

What is Forex?

Forex is the short form of foreign exchange. It is a simple term that refers to the practice of exchanging currencies. This transaction is better explained with an example. Assume the exchange rate between euro and dollar is 1.1100. If you are moving to the United States with, €1,000, it means that you will arrive in the United States with $1,110. If the exchange rate drops to 1.1000, you will have slightly above €1,000.

The foreign exchange market is the biggest market in the world. Every day, traders exchange currencies worth more than $5 trillion. The differential in prices mentioned in the previous example may look small. However, in large scale, the profits generated in forex can be enormous.

In the past, the forex trading business was a reserve of big banks and investment groups. This is because the technology behind it was not available to commoners. The computers, software, and networking technology was unaffordable to many people. Today, the low cost of internet and computing devices has made it easy for people to trade in currencies. In fact, you will find people in developing countries trading currencies on their smartphones.

Forex Trading Currency List

There are hundreds of currencies in the world. However, these currencies are usually not measured the same way. This makes sense. For example, the US dollar does not have the same value as the Zimbabwe dollar. The euro is not the same as the Bolivian dollar. As such, currencies have been put in several categories:

Currency Majors

Currency majors are those currencies of major countries that have the USD as the base or counter-currencies. These currencies are the most popular in the world in terms of volume. Here are 8 major forex pairs list:

• EUR/USD – Euro/Dollar
• USD/JPY – Dollar/Yen
• GBP/USD – Pound/Dollar
• AUD/USD – Australian dollar / US dollar
• NZD/USD – New Zealand dollar / US dollar
• CHF/USD – Swiss franc / US dollar
• USD/CAD – US dollar / Canadian dollar
• CHF/JPY – Swiss Franc / Japanese Yen

The major currencies are known for their high liquidity. Liquidity is the idea of being able to enter and exit trades with ease.

Currency Minors

These are currencies of major countries that don’t have the US dollar sign. Examples of these pairs are:

• EUR/JPY – Euro / Japanese yen
• EUR/GBP – Euro / sterling
• CHF / JPY – Swiss franc / Japanese yen
• GBP/CAD – Sterling / Canadian dollar
• EUR/AUD – Euro / Australian dollar

Exotic Currency Pairs

These are currencies that combine a major currency and that of emerging market currencies. These currencies are known for their low liquidity. Examples are:

• USD/ZAR – US dollar / South African rand
• USD/TRY – US dollar / Turkish lira
• USD/MXN – US dollar / Mexican peso
• USD/HKD – US dollar / Hong Kong dollar.

Best Crypto Fiat Pairs

A relatively new type of currency that is currently being traded is crypto. These are digital currencies that are changing the world of finance. There have been concerns on whether to classify crypto as currencies or commodities. For example, there is no other currency that is mined. Still, since Bitcoin can be used for making purchases, many categorize it as a digital currency. Examples of cryptocurrencies are:

• BTC/USD – Bitcoin / US dollar
• ETH/USD – Ethereum / US dollar
• XRP/USD – Ripple / US dollar
• BCH/USD – Bitcoin Cash / US dollar
• EOS/USD – EOS/ US dollar

How to Trade Currencies on Forex

We previously wrote about how to make money day trading currencies. In the article, we wrote more about currency pairs, what moves them in the short and medium term, and how to manage risks. We recommend that you read that article. In short, you should follow the following steps when day trading currencies.

Find a good forex broker and sign up. Examples of the best-known are FxPro, easyMarkets, and OctaFx.

• Use a demo account. If you are a new trader, sign-up for a demo account. A demo gives you all the tools you need to learn to trade.
• Analyse currency pairs. Conduct technical and fundamental analysis to predict the direction of a currency pair.
• Trade. Finally, you should initiate a trade. You can either buy or sell short a currency pair. You buy when you expect the price will move higher, and short when you expect it to drop.

Forex Currencies List: Major Forex Pairs

The foreign exchange market is a vast and complex market with many different currencies to trade. The most traded currencies in the world are the US dollar, euro, Japanese yen, British pound, Swiss franc, Australian dollar, Canadian dollar, and New Zealand dollar. These currencies are traded against each other in currency pairs, and the price of each pair is constantly changing.

When choosing which currencies to trade from the foreign exchange currency list, it is important to consider your trading expertise. If you are a beginner, you may want to start with the more liquid pairs, such as EUR/USD and USD/JPY. These pairs are less volatile, which makes them easier to trade. If you are an experienced trader, you may want to consider trading the more volatile pairs, such as AUD/USD and NZD/USD. These forex pairs can offer higher profits, but they also carry more risk.