Major Currency Pairs
Definition
Major currency pairs are the most traded pairs in the forex market, all involving the US Dollar. They include EUR/USD, GBP/USD, USD/JPY, USD/CHF, AUD/USD, USD/CAD, and NZD/USD. They offer the highest liquidity and tightest spreads.
Example
EUR/USD is the most traded major pair, accounting for about 24% of daily forex volume. Major pairs typically have spreads of 1-3 pips.
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Related Terms
Minor Currency Pairs
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Exotic Currency Pairs
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Liquidity
MarketLiquidity refers to how easily an asset can be bought or sold without significantly affecting its pr...
Spread
ForexThe spread is the difference between the bid price (what buyers are willing to pay) and the ask pric...