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. I agree, new traders should avoid exotic pairs because these pairs are complex to trade and require deeper understanding. Also, because of higher spreads, exotic pairs can be costly to trade.
     
    #231     Apr 15, 2022
  2. when i was a newcomer in trading i used only major pair due to comfortable trading spreads.
     
    #232     Apr 17, 2022
  3. Mustache

    Mustache

    Exotic pairs are complex and have the least liquidity out of all the pairs. Thus, starting with simple pairs, such as EUR/USD, is more preferable.
     
    #233     Apr 19, 2022
  4. Vomitory

    Vomitory

    Avoid exotic pairs only if you are a beginner. But if you have gained some experience in the market, I don’t see any harm in trading them when we know that with high volatility, you have more chances of making profits.
     
    #234     Apr 20, 2022
  5. Many individuals avoid exotic currency pairs because they are more volatile and unpredictable than the major forex pairs. As a result, trading those types of pairs with high leverage can put an individual's trading money in danger, perhaps resulting in significant losses. But it is never too late to give them a try in your demo trading and see if it does you wonder. Demo trading exists, giving you experimentation of your trading.
     
    #235     Apr 22, 2022
  6. Oxymoron

    Oxymoron

    Reasons to avoid exotic pairs.

    - high volatility and high spreads
    - low liquidity
    - complex to trade.
     
    #236     Apr 22, 2022
  7. the demos result actually not work when we trade in a real account , this is very simple and no way to deny
     
    #237     Apr 25, 2022
  8. Yes, I think it’s better for new traders to avoid exotic pairs because they are complex to trade and provides low liquidity.
     
    #238     Apr 27, 2022
  9. Exotic currency pairs should be avoided since they have low liquidity and are highly volatile.
     
    #239     Apr 28, 2022
  10. Exotic pairs demand a deep understanding of the market. Moreover, they also have high spreads, which make trading a bit expensive.
     
    #240     May 3, 2022