Major Currency pairs are currencies with the most trading volume against the US Dollar.
Here’s a list of them:
Out of all forex pairs…
EUR/USD is the most heavily traded with the most trading volume.
Because it involves 2 economic powerhouses – the United States and the Eurozone.
Benefits of trading the major currency pairs
The Major Currency pairs are better to trade with.
And here’s why…
These markets are liquid, so you can enter and exit your trades with minimal slippage.
Their spreads are also tighter, so your transaction costs are lower.
How to use Major Currencies to identify strength and weakness of the US Dollar
The Major Currency pairs are all linked to the US Dollar.
And the price movements of these pairs allow you to understand the US dollar better.
Let me explain...