Foreign Currency Characteristics
Reserve Currencies
After the Breton Woods Agreement the US dollar turned into global reserve currency. However, there are other international reserve countries besides the USA.
Major Forex Market Currencies
The most traded currencies in the forex market are the Euro, the United States dollar, the Japanese Yen, the British Pound, the Swiss Franc, the Canadian dollar and the Australian dollar.
New Zealand's Dollar (NZD) Traits
The NZD (New Zealand's currency) is strongly related to the AUD. Another characteristic of the NZD is its correlation with commodities.
Australian Dollar (AUD) Traits
The Australian dollar (AUD) is characterized as being commodity linked and correlated to the values of the gold.
Swiss Franc (CHF) Currency Traits
The Swiss franc (CHF) is famous for its safe nature. The GBP/CHF and AUD/CHF represent the currency pairs that are most commonly used in carry trades.
Japanese Yen (JPY) Currency Traits
The Japanese yen (JPY) is used as a major gauge for the overall strength of the Asian economic conditions. The EUR/JPY and the EUR/USD currency pairs have the most influence on the movement of the USD/JPY.
Euro (EUR) Currency Traits
The Euro currency enjoys high liquidity. The currency pair EUR/USD is the most liquid one among all Euro crosses.
British Pound (GBP) Currency Traits
The British pound (commonly referred to as GBP) is one of the most liquid currencies in the world. The GBP/USD currency pair is one of the four most widely traded.
Canadian Dollar (CAD) Traits
The Canadian dollar (CAD) is characterized by its strong connection to commodities.
US Dollar (USD) Currency Traits
The US currency represents one of the most widely used one concerning currency deals. Liquid currency pairs include: USD/JPY, USD/CHF, EUR/USD, and GBP/USD.
Major Currency Pairs
Currencies in the forex market come into pairs and are connected with a particular exchange rate. Here you'll find the major currency pairs.
Foreign Currency Exchange Basics
Forex uses abbreviations for the currencies traded known as ISO codes. Here you will learn some of the ISO abbreviations and nicknames, as well as the very basics of foreign currency exchange.
Milestones in Currency Exchange History
In the 1940s the overall condition of the economy was characterized by significant instability. 44 countries held a meeting in Bretton Woods, New Hampshire, in order to set a fixed exchange rate, at which currencies to be traded.