**Major Currency Pairs (70-80% of Volume)**
* **EUR/USD (Euro/US Dollar):** Most liquid and traded currency pair globally.
* **USD/JPY (US Dollar/Japanese Yen):** Second most traded currency pair.
* **GBP/USD (British Pound/US Dollar):** Third most traded currency pair.
* **USD/CHF (US Dollar/Swiss Franc):** Considered a safe-haven currency.
* **AUD/USD (Australian Dollar/US Dollar):** Highly correlated with commodity prices.
* **USD/CAD (US Dollar/Canadian Dollar):** Heavily influenced by oil prices.
* **NZD/USD (New Zealand Dollar/US Dollar):** Known as «Kiwi» and has a positive correlation with AUD/USD.
**Minor Currency Pairs (10-20% of Volume)**
* **EUR/GBP (Euro/British Pound):** Often referred to as «cable.»
* **EUR/CHF (Euro/Swiss Franc):** A cross between two safe-haven currencies.
* **GBP/JPY (British Pound/Japanese Yen):** Known as «Guppy» and popular among carry traders.
* **AUD/JPY (Australian Dollar/Japanese Yen):** Nicknamed «Aussie» and tends to fluctuate with changes in risk appetite.
**Exotic Currency Pairs (Less than 10% of Volume)**
* **EUR/TRY (Euro/Turkish Lira):** Traded due to its volatility and potential for high returns.
* **USD/CNH (US Dollar/Offshore Chinese Yuan):** Used to access the Chinese renminbi (yuan) market.
* **USD/BRL (US Dollar/Brazilian Real):** Influenced by Brazilian economic conditions and political events.
* **USD/ZAR (US Dollar/South African Rand):** Referred to as «Zaragold» and correlates with changes in gold prices.
**Selection Criteria:**
* **Liquidity:** Choose currency pairs with high liquidity to ensure ease of entry and exit.
* **Volatility:** Pairs with moderate volatility offer a balance between risk and reward.
* **Correlation:** Consider the correlation between currency pairs to diversify your portfolio and manage risk.
* **Economic Factors:** Understand the underlying economic factors that drive the value of each currency.
* **Trading Volume:** Pairs with higher trading volume are more actively traded and have tighter spreads.