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. thanks for your nice post.
     
    #251     Jun 1, 2022
  2. No, it’s not a good idea to not trade exotic currency pairs especially when they offer more money-making opportunities in comparison to the major or minor pairs.
     
    #252     Jun 2, 2022
  3. but you can trade in demo any exotic pair to the performance how it works.
     
    #253     Jun 2, 2022
  4. Lustrous

    Lustrous

    They’re complex pairs, and they are liable to high spreads, which makes trading these pairs quite costly.
     
    #254     Jun 6, 2022
  5. Exotic pair is high-risk trading pair, the most problem is high spread and volatility, Traders need more understanding of the country's condition based on currency trading, political tension, and interest rates may high impact on the currency, once I am trading an exotic pair EURTRY in my broker FXOpen, but fail. now try to focus on major pair and gold.
     
    #255     Jun 6, 2022
  6. Scepsis

    Scepsis

    And one should confine exotic pairs to demo only. I find exotic pair extremely risky to trading.
     
    #256     Jun 7, 2022
  7. Mytacism

    Mytacism

    Exotic pairs are composed by combining major and minor currency pairs and are highly volatile and offer very less liquidity and widest spreads.
    Traders who wish to trade these pairs need a large trading capital to compensate with the spreads.
     
    #257     Jun 13, 2022
  8. Exotic pairs are thinly traded because they have less liquidity and these pairs can be very volatile, which new traders should generally avoid.
     
    #258     Jun 13, 2022
  9. kroxobor

    kroxobor

    As for exotic pairs, the only trading style or system that can be used with them to trade profitable is carry trading. Pairs like USDRUB, USDZAR, USDMXN tend to exhibit mean-reverting properties, so the odds are on your side when you enter (exit) a carry trade after considerable deviation in either side.
     
    #259     Jun 13, 2022
  10. do you scalping by this pair ?
     
    #260     Jun 17, 2022