Pairs for a new trader

Discussion in 'Forex' started by nexx, Mar 21, 2008.

  1. nexx

    nexx

    Im interested in learning to trade the Forex market and I plan on paper trading from 6 months to a year (more if needed) since i have a job and im young (19) i am in no rush to dive in live without proper education.

    From what i hear its best to focus on a few pairs and to get a feel for there price action. my question is what are the 4 best pairs to look at. Im sure the EUR/USD is 1 of them so what would be another good 3 to look at?
     
  2. I would recommend you only focus on just a single pair for at least 6 months. Get to know it like the back of your hand... what news typically affects it, what times are good, etc. Once you are comfortable, move up to 2 pairs.

    Depending on what times you plan to trade, you'll typically find good spreads and movement with EURUSD or USDJPY.

    Good trading.
     
  3. gbp/yen is a very good cross to trade but if you are just starting out you might want to stick to CME currency futures and of those the euro and the yen are the best
     
  4. peso/rupee
     
  5. I agree with datamerc, some currencies have a 'personality' of their own and it's worth getting to know how/when/why they move.
     
  6. I only trade the EUR/USD.

    Once you learn how to trade a pair, I see no real need (for my own trading) to add another pair. All I need to do is increase my lot size on the pair I know best.

    It's just what works best for me.
     
  7. Ari2.0

    Ari2.0

    Since you're starting out, I'd advise you stick with 1 currency pair, there is plenty of meat in the eurusd, no need to get fancy so soon. If I were you stay away from the emerging market currencies b/c the rand and other will drop or rise a handle on you without a blink of an eye.