Currency Pairs in Forex Trading (Lesson 2)

We welcome all of you who came to this Forex Trading Lesson series and I will able to teach you Fx trading simply from the beginning. As I mentioned before this article series will help you to learn Forex trading from the beginning.This will not only to get theoretical knowledge you will learn how to trade practically.
We should have two currency types to trade in Forex market.
So we call them Currency pairs


HOW WE REPRESENT CURRENCIES


In forex market we use USD for USA Dollars LKR for Lanka Rupees like wise for each and every currency there is representative letters.
As beginners we usually trade using USD and EUR (  Euro)
   
HOW WE REPRESENT CURRENCY PAIRS IN FX MARKET


Always in FX market Currencies shown as below


USD/EUR = 1.3402


This shows how much EUR (2nd Currency) you need to buy 1 USD (1st currency)


So above one shows we need 1.3402 EUR to buy 1 USD
Now lets take some examples, if you know the rates of currency pairs you will surely can calculate for any amount
USD/EUR=1.3402
How much USD you can get for EUR 500 ?
USD= 500/1.3402
Answer =  373 USD


USD/EUR = 1.4056 How much EUR you can get for 100USD
EUR= 1.4056 x 100
140.56 EUR


So you know how to calculate them. If you have any problem ask them using comment section


MAJOR CURRENCIES IN FX MARKET


1. United State Dollar (USD)
2. Euro (EUR)
3. Great Britain Pounds (GBP)
4. Japanese Yen
5. Switzerland Frank
6. Canadian Doller
7. Australian Doller
8. New Zealand  Doller


Among these 8 First five is the most using Currencies 
     

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