Is it better to avoid Exotic currency pairs? Why?

Discussion in 'Forex' started by RobRoss, Feb 22, 2017.

Do you trade Exotic Currency Pairs?

  1. Yes

    37.0%
  2. No

    63.0%
Multiple votes are allowed.
  1. If you are new to forex then it is easier to stick to major pairs and avoid exotic pairs for now. But if you have experience and want to explore other options, exotic pairs are perfectly fine to give it a go and trade.
     
    #171     Dec 10, 2021
  2. Killjoy

    Killjoy

    No, I don’t think it’s a good idea to avoid exotic currency pairs because they have more chances of giving you profits. But if you are just starting, then you should avoid them for as long as you can. They are highly volatile and you may not be able to handle them if you lack experience.
     
    #172     Dec 17, 2021
  3. its a chance to bring profit by trading exptoc pair on the other hand there is a lack of security issue compare to major pair.
     
    #173     Dec 18, 2021
  4. good reply , good information , thanks for your nice post.
     
    #174     Dec 19, 2021
  5. If you are an explorer in the world of currencies and are doing very well on major or minor pairs, there’s no harm in expanding your board to exotic pairs as well. However, if you are only trying to earn some extra money safely and if you can’t afford losing your money then you should stay away from such highly volatile pairs.
     
    #175     Dec 20, 2021
  6. The spreads are ridiculous on exotic pairs.....
     
    #176     Dec 20, 2021
  7. perfect advice.
     
    #177     Dec 21, 2021
  8. Exotic pairs bring , as the name suggests, a very low level of liquidity and high volatility, compared to majors, which in turn can lead to high profits. But they're also affected by several factors like local crisis phenomena and the resulting high volatility for uncertain periods of time. That does not mean it should be discouraged, you can certainly check out regulated ECN brokers like fxview and if you feel comfortable with the uncertainty.
     
    #178     Dec 22, 2021
  9. Tritical

    Tritical

    I avoid exotic pairs because they are less liquid and complex to trade. They can be highly volatile, which can result in big losses, especially if you are an inexperienced trader.
     
    #179     Dec 24, 2021
  10. FahadMd

    FahadMd

    according to me, besides live trading it is more appropriate to use all trading pair in demo to see the performance how it works.
     
    #180     Jan 4, 2022