Is it better to avoid Exotic currency pairs? Why?

beginners should avoid any kind of high spreads trading pair for avoiding unfortunate risk and losses.

 

From my personal experience, I found trading exotic currency pairs to be more complex than other pairs. Moreover, unlike major pairs, such as EUR/USD, USD/JPY, etc., they don’t have tight spreads.

 

Exotic pairs are way too volatile and offer very little liquidity making the spreads wider. I totally avoid these pairs.

 

but in demo you can try any kind of exotic pair to see the performance how it works.

 

They are complex pairs to trade because they have high volatility and it is quite difficult to predict their price movements. Hence, it is advised to not trade with exotic pairs at least in your early stages of trading.

 

exotic pairs really unpredictable and risky to trade , beginners level should avoid it

 

Yes, such pairs contain currencies of developing or unstable economics. Hence, the price movements can be very volatile , making it difficult to predict the market.

 

sometimes after having most powerful analyzing trading knowledge we the traders cant predict the real faction of this market with certainly.

 

My reasons for trading less exotic currency pairs include the fact that exotic currencies are highly volatile, illiquid.

 

I’d suggest beginner to begin with one of the major currency pairs and focus on it. They can trade exotics when they have gained a certain level of experience and knowledge.