When you step into the forex trading arena, you’ll encounter various currency pairs, each with its own characteristics. In this article by NTFX Academy, we’ll help you understand the major, minor, and exotic currency pairs.
In the forex market, trading involves the simultaneous buying of one currency and selling of another. Currency pairs are the instruments used to trade, and they are categorized into three main groups: majors, minors, and exotics.
Majors are the most traded currency pairs and typically involve the US Dollar. For example, the EUR/USD (Euro/US Dollar) is one of the most popular currency pairs. Minors, on the other hand, do not include the US Dollar but involve other major currencies. Examples include the EUR/GBP (Euro/British Pound). Exotics are less commonly traded pairs, often involving one major currency and one from a smaller or emerging economy, such as the USD/TRY (US Dollar/Turkish Lira).
Understanding these different categories is fundamental to your forex trading journey. NTFX Academy is committed to providing you with the knowledge and tools you need to succeed as a forex trader.
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