The most famous of all the “majors,”
EUR/USD is truly the crowd's favorite. The demand on this currency
pair is undoubtedly high. The very attractive pair owes their
gratitude from their respective countries. Euro being a unified
currency on most first world countries in Europe and the US dollars
belonging to one of the super powers of the world, none other than
the United States of America.
The euro-dollar currency pair was shown
for the very first time on the 7th of April in 1989 with
an initial rate of 1.0445. At a statistics almost 5 years ago, shows
that 27% of all the operations in Forex are done with this pair.
Aside from its demand, its low volatility also attracts both the
experienced and less-experienced traders. The risk of a spike is very
low in this currency pair but its movement is active enough for
profitable trades.
Traders who are trading with this
currency pair must be aware and continuously monitor the economic
environment in both United States and the Euro zone. The decline of
the value of euro and its rumored impending break-up is the most
significant topic hovering over this pair. The deteriorating value of
euro is due from the 2008 financial crisis which devastated some
countries of the Euro zone and left with tons of debts. According to
some experts, the judgment regarding the fate of euro will fall early
next year.
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