There is a number of differences between the ways prices behave for the major currencies. These include the volatility and the average daily range of prices.
These differences can help you select the pairs that suit you best in terms of risk aversion, technical analysis tools and financial goals.
-GBP/USD is the most volatile pair. It generates the most signals to open a position.
-EUR/USD travels in a narrower average daily range. However, it enjoys the highest trading volume and this makes it the most technically ‘forecast-able’ pair. This system works well with EUR.
-USD/CHF is typically known as the ‘refuge currency’. Demand rises when there is some uncertainty on the market. Its price patterns are quite different to those of EUR and GBP.
-USD/JPY is very susceptible to local news. By this I mean the economic and political news in Japan. If you feel comfortable analyzing this type of information, then go for it. One further point, you’ll need to be trading during the Asian session to be in with a chance. That’s from midnight to 8 a.m. GMT. http://trustcapital.com/resources.php?id=304
My personal preference is to work with EUR/USD and GBP/USD. I like the stability of the signals on EUR and the bigger price moves of GBP. A further consideration is your location.
Try our demo: http://trustcapital.com/demo_account.php
These differences can help you select the pairs that suit you best in terms of risk aversion, technical analysis tools and financial goals.
-GBP/USD is the most volatile pair. It generates the most signals to open a position.
-EUR/USD travels in a narrower average daily range. However, it enjoys the highest trading volume and this makes it the most technically ‘forecast-able’ pair. This system works well with EUR.
-USD/CHF is typically known as the ‘refuge currency’. Demand rises when there is some uncertainty on the market. Its price patterns are quite different to those of EUR and GBP.
-USD/JPY is very susceptible to local news. By this I mean the economic and political news in Japan. If you feel comfortable analyzing this type of information, then go for it. One further point, you’ll need to be trading during the Asian session to be in with a chance. That’s from midnight to 8 a.m. GMT. http://trustcapital.com/resources.php?id=304
My personal preference is to work with EUR/USD and GBP/USD. I like the stability of the signals on EUR and the bigger price moves of GBP. A further consideration is your location.
Try our demo: http://trustcapital.com/demo_account.php
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