What are the most popular forex pairs to trade?

29-May-2025

Most popuar forex pairs to trade - Hero image

The forex market is one of the most active and liquid markets in the world, with over $7.5 trillion worth of currency traded every single day. But which currency pairs are the most popular among traders, and why?

If you're just starting out in forex trading, this guide will walk you through the essentials:

What are Forex Pairs?

Forex pairs show the value of one currency compared to another. Each pair includes two currencies:

• Base currency – the first one listed
• Quote currency – the second one listed

When you trade a forex pair, you're predicting how the base currency will move in relation to the quote currency. For example, if you sell JPY/USD, you're expecting the Japanese yen to fall in value compared to the US dollar.

There are three main types of forex pairs:

Major Pairs

These are the most traded pairs in the world, featuring the strongest economies. Examples include:

• EUR/USD
• GBP/USD
• USD/JPY

They’re popular with beginners and experienced traders alike because they offer high liquidity and tight spreads.

Minor Pairs

Minor pairs, also known as cross-currency pairs, don’t contain the US dollar, but still include widely traded currencies like the euro, British pound, and Japanese yen. Minor pairs are generally less popular among traders as they are less liquid and often have higher spreads.

Exotic Pairs

These involve one major currency (like the US dollar) and one from a developing country (like Brazil or Turkey).

They can be more volatile and expensive to trade due to wider spreads and lower liquidity.

What Affects the Price of Forex Pairs?

Before trading forex pairs, it’s important to have an understanding of the factors that drive markets. Some of these include:

Monetary Policy

Decisions made by central banks can have a major impact on currencies. When interest rates go up, a currency often strengthens. When they’re lowered, the currency can weaken. That’s because higher rates attract foreign investment.

Economic Stability

Currencies from strong, stable economies, like the US or Japan, tend to be more valuable. Investors feel more confident putting their money into countries with solid growth and low inflation.

Politics

Political events can significantly influence currency strength. A notable example is Great Britain's exit from the EU (Brexit), which created substantial uncertainty about the UK's economic future. This uncertainty led to decreased confidence in the British pound, causing its value to drop sharply against other major currencies.

More recently, the 2024 U.S. Presidential Election had a profound impact on the forex market. The election outcome introduced uncertainty regarding future economic policies, leading to increased volatility in currency pairs involving the U.S. dollar. Traders closely monitored policy announcements and market reactions, adjusting their positions in response to anticipated shifts in trade policies, fiscal strategies, and international relations.

The Most Popular Forex Pairs

Here are four of the most commonly traded pairs – and why traders like them:

EUR/USD – “The Fiber”

This is the world’s most traded currency pair. It makes up over 22.7% of daily forex trades. Because it’s so popular, spreads are usually low and price movements are more predictable, making it ideal for beginners.

USD/JPY – “The Gopher”

Another highly traded pair with strong liquidity and low spreads. It’s known for stability and is often used during global market uncertainty.

GBP/USD – “The Cable”

This pair includes the British pound, which can be more volatile than the euro or yen. That volatility can mean bigger opportunities but also bigger risks.

USD/CHF – “The Swissie”

The Swiss franc is seen as a “safe haven” currency. When markets get shaky, traders often move their money into Switzerland’s stable economy. This pair is less liquid than the others, but still a popular option.

How to Trade Forex Pairs with easyMarkets

Ready to start trading? Here’s how to get going in five simple steps:

Do your research. Choose a forex pair based on your analysis and market conditions.

Decide to buy or sell, depending on whether you think the base currency will rise or fall.

After you open a position, monitor your trade closely to assess the performance.

Check your results. If your prediction is right, you’ll earn a return. If not, you’ll incur a loss.

If you're just starting out in forex trading, this guide will walk you through the essentials:

What are Forex Pairs? What Affects the Price of Forex Pairs? The Most Popular Forex Pairs How to Trade Forex Pairs with easyMarkets Forex Pairs FAQs

Start Trading Today

Forex Pairs FAQs

What forex pairs can I trade with easyMarkets?

You can trade over 60 currency pairs with easyMarkets, including major, minor and exotic pairs. Want to explore the full list? Check them out here.

Which forex pairs are least volatile?

Some currency pairs tend to move less and are considered more stable. Pairs like EUR/USD, GBP/USD, and USD/JPY are among the least volatile because they involve highly liquid, trusted economies. If you prefer lower-risk trading, these major pairs may be a better starting point than more unpredictable minor or exotic pairs.

Is forex trading safe?

Forex trading involves risk, and profits are not guaranteed. You can lose some or all of your capital.

But there are steps you can take to mitigate your risk and reduce the likelihood of losses. Some of these steps include:

• Learning with easyMarkets Academy
• Choosing a regulated broker
• Using risk management tools like negative balance protection and Guaranteed Stop Loss with No Slippage*
• Creating a clear trading plan

*Guaranteed Stop Loss with No Slippage is only available on easyMarkets web & app trading platform. Activate it with wider spread for total risk control.