- September 2014
- Posted By Ninoslav
- 0 Comments
Foreign exchange trading or forex trading is considered as one of the most powerful and accepted system of trading all over the world. Currencies from round the world are used here. Mostly powerful currencies are used here for trading.
Types of currencies and their rankings:
Coming to the types of currencies that are used in forex market, first in line stands the very powerful US Dollar. Other currencies that are traded in forex business are measured with US dollar. Dollar is believed to be most stable in most difficult times. Trading with US dollars is believed to be very common and popular forms. In financial market US dollar is standard currency for many commodities.
EURO is newly introduced money. In 1999 when dollar lost some of its importance, EURO was introduced. Immediately after its introduction forex market adopted it as one of its traded currencies. Euro has now proved to be second most important money in forex market.
In third position you have Japanese YEN. It has much lesser presence if compared to dollar and euro. It is very liquid round the world. De to Japanese government’s policy, yen can be borrowed at a much lesser interest rate and can be used to trade other powerful currency. Trading with yen would mean less investment and greater possibility of earning.
British pound conquers third position in the race of most powerful currency. It is liquid all over world and is considered as safe investment.
Swiss Franc is fifth most important form of currencies. It has great contribution to manage volatility and bringing all interest rates within a limit. Franc has all strength and quality of Swiss economy.
Now you have a clear idea about all major currencies that are used in Forex trading. So choose right currency and know “How choosing right world currency can make a huge difference”.