If you’ve ever opened a forex trading platform like TradingView, you’ve probably felt a little overwhelmed by the endless list of currencies you could trade. The truth is, not every pair is worth your time. Some move with clear trends, others are more volatile, and a few are so unpredictable that even seasoned traders avoid them. That’s why so many traders ask the same question: what are the best currency pairs to trade?
Choosing the best currency pairs to trade can make the difference between steady progress and constant frustration. Major forex pairs like EUR/USD or USD/JPY attract millions of traders every day because they’re liquid, affordable, and often more predictable. On the other hand, minor and exotic currency pairs can be riskier, with higher spreads and sudden price swings that may surprise beginners.
At Forex Trading Journals, we’ve seen how traders, both new and experienced struggle when they don’t have a clear strategy for picking pairs. That’s why we’ve put together this guide to help you find the best currency pairs to trade based on liquidity, volatility, and your personal trading style. Whether you’re curious about the most traded forex pairs or want to know which options are more beginner-friendly, you’ll find everything you need right here.
What Are Forex Currency Pairs?
Before you can choose the best currency pairs to trade, you first need to understand what a currency pair actually is. In forex, you’re always buying one currency while selling another. That’s why trades are shown in pairs—like EUR/USD, where the euro is measured against the U.S. dollar. If you believe the euro will rise in value compared to the dollar, you buy. If you think it will fall, you sell. Simple as that.
Now, not all pairs are created equal. Some, called major forex pairs, are the most traded in the world. Think EUR/USD, GBP/USD, and USD/JPY—these are known for their high liquidity and lower spreads, which makes them popular with both beginners and seasoned traders. Then you have the minor forex pairs, which don’t involve the U.S. dollar but still see solid trading activity, like EUR/GBP or AUD/JPY. Finally, there are exotic currency pairs, such as USD/TRY (U.S. dollar vs. Turkish lira), which can be exciting but also far riskier due to higher volatility and wider spreads.
Understanding the differences between major, minor, and exotic pairs helps you figure out which ones might fit your strategy and personality. Some traders like stability, while others chase volatility. This is exactly why learning the basics is so important before jumping into the best currency pairs to trade—because once you know what drives each type, you’ll make smarter, more confident decisions in the market.
Criteria for Choosing the Best Currency Pairs to Trade
Not every pair will fit your trading style, and that’s okay. The secret is knowing what to look for before you hit that buy or sell button. If you want to succeed with the best currency pairs to trade, here are the key factors that really matter:
1. Liquidity
Liquidity simply means how easily you can buy or sell a pair without big price changes. The major forex pairs like EUR/USD or USD/JPY are extremely liquid, which is why spreads are usually tighter. That’s a big reason many beginners stick to these—they’re easier to enter and exit without nasty surprises.
2. Volatility
Some traders love action, while others prefer calmer markets. GBP/USD, for example, is known for sharp moves that can either reward you quickly or punish you just as fast. If you’re a new trader, too much volatility can feel like a rollercoaster you didn’t sign up for.
3. Spread and Transaction Costs
Spreads eat into your profits. Imagine making a small win on a trade but realizing most of it went to the broker. That’s why low-spread pairs like EUR/USD are often ranked among the best currency pairs to trade—your costs stay lower, so your wins actually count.
4. Trading Sessions
Currency pairs behave differently depending on the time of day. For example, EUR/USD tends to be more active during the London and New York overlap. Meanwhile, pairs tied to Asian economies, like AUD/JPY, often see more movement during the Tokyo session. Timing your trades around these sessions can make a big difference.
5. Beginner-Friendly vs. Advanced Pairs
Not all pairs are meant for everyone. If you’re just starting out, major pairs are usually safer and more predictable. Exotic pairs, on the other hand, are better suited for advanced traders who are ready for higher volatility and risk.
Top 7 Best Currency Pairs to Trade
Now that you know the basics, let’s dive into the real list. Here are seven of the best currency pairs to trade in today’s market, along with why traders love (or sometimes fear) them.
1. EUR/USD – The King of Forex
If you had to name the world’s most popular pair, this would be it. The EUR/USD is part of the major forex pairs, offering high liquidity and low spreads. For beginners, it’s a great starting point because it’s steady, predictable, and widely traded during both London and New York sessions.
2. GBP/USD – The Cable’s Wild Ride
Known as “The Cable,” GBP/USD is famous for its sharp movements. It can deliver big profits, but it can also test your nerves with sudden reversals. This is one of those high volatility currency pairs that’s better suited for traders who enjoy fast action.
3. USD/JPY – Liquidity Meets Stability
The USD/JPY pair combines the strength of the U.S. dollar with Japan’s reputation for stability. It’s liquid, predictable, and often seen as a safer choice. Many traders rely on this pair because it balances opportunity with lower risk compared to more volatile markets.
4. AUD/USD – The Commodity Connection
The Australian dollar is strongly tied to commodities like gold and iron ore. That means AUD/USD often reacts to global demand and risk sentiment. For traders who follow commodities, this pair is like a window into how global trade impacts currencies.
5. USD/CAD – The Oil-Linked Pair
Nicknamed the “Loonie,” USD/CAD moves closely with oil prices, since Canada is a major oil exporter. If crude oil goes up, the Canadian dollar often strengthens. This makes the pair especially attractive to traders who follow energy markets.
6. EUR/GBP – A Battle of Giants
This pair doesn’t involve the U.S. dollar, but it’s still one of the most traded forex pairs in the world. EUR/GBP tends to be less volatile than GBP/USD, making it a good choice for traders who prefer slower, more predictable moves.
7. USD/CHF – The Safe-Haven Play
The Swiss franc is known as a safe-haven currency, and USD/CHF often gains attention during times of global uncertainty. Traders look to this pair when they want a balance of stability and opportunity, especially during market turbulence.
Best Forex Pairs for Beginners vs. Advanced Traders
Not every trader is at the same stage, and that’s why the best currency pairs to trade will look very different for a beginner compared to someone with years of experience. Think of it like learning to drive—you don’t start on a race track. You first practice on quieter, safer roads before you’re ready to handle high speeds.
Best Pairs for Beginners
If you’re just starting your forex journey, stick with the major forex pairs. These include EUR/USD, USD/JPY, and sometimes GBP/USD. They are liquid, have low spreads, and don’t usually make unpredictable moves out of nowhere. That means you’ll spend less time worrying about sudden spikes and more time learning the basics of trading. For beginners, these pairs are like training wheels—they keep you steady while you build confidence.
Best Pairs for Advanced Traders
Once you’ve built experience and can handle volatility, you might look toward pairs with more risk and more reward. GBP/USD offers sharp movements that attract swing traders. USD/CAD and AUD/USD are influenced by commodities, giving experienced traders extra opportunities if they follow oil or gold prices. And then there are the exotic currency pairs like USD/TRY (Turkish lira) or USD/ZAR (South African rand). These can deliver huge moves, but the spreads are wider, and the risks are higher. Advanced traders often thrive here because they know how to manage volatility and not let emotions take over.
When Is the Best Time to Trade Forex Pairs?
Even if you know the best currency pairs to trade, timing can make or break your results. Have you ever entered a trade, waited for hours, and nothing happened—only for the market to explode right after you left? That’s not bad luck, that’s bad timing.
Forex is a 24-hour market, but it doesn’t move the same way all day. The real action happens during certain trading sessions when banks, institutions, and big players are active.
- London Session (8 AM – 4 PM GMT): This is where a lot of the magic happens. Pairs like EUR/USD and GBP/USD often see strong trends here because London is the financial hub of Europe.
- New York Session (1 PM – 9 PM GMT): When London and New York overlap, the market comes alive. This is usually the best time for major forex pairs like EUR/USD and USD/JPY because volatility is high and liquidity is strong.
- Asian Session (12 AM – 8 AM GMT): This session is calmer, but pairs like AUD/JPY and USD/JPY tend to be more active since they’re tied to Asian economies.
If you’re trading exotic currency pairs, the best timing often depends on local markets. For example, USD/ZAR might move more when South Africa’s financial markets are open.
Mistakes Traders Make When Choosing Currency Pairs
Knowing the best currency pairs to trade is important, but just as important is knowing what not to do. Many traders—especially in the early days—fall into the same traps when picking pairs. Here are some of the biggest mistakes to watch out for.
1. Chasing Volatility Without a Plan
It’s tempting to jump into high volatility currency pairs like GBP/USD or exotic pairs like USD/TRY, hoping for quick profits. The problem? Big moves can go against you just as fast. Without a strategy, chasing volatility often feels less like trading and more like gambling.
2. Ignoring Spreads and Costs
A lot of beginners focus only on price movement and forget about spreads. Exotic currency pairs usually have much wider spreads than major forex pairs like EUR/USD. That means you might be paying more to enter a trade than you realize. Over time, those extra costs eat away at your profits.
3. Picking Too Many Pairs at Once
When you’re new, it’s easy to think you need to watch every chart. But following 10 different pairs can quickly overwhelm you. Instead, focus on just a few of the best currency pairs to trade until you understand their behavior. Think quality over quantity.
4. Ignoring Your Trading Style
Not every pair fits every trader. If you prefer slower, more predictable moves, exotic pairs aren’t for you. If you enjoy action and quick decision-making, you might find pairs like GBP/USD more exciting. Matching your personality with the right pair can make a huge difference.
Final Statement
When it comes to forex, there’s no universal “golden list” of the best currency pairs to trade. Markets evolve, liquidity shifts, and what works for one trader may not work for another. What remains constant, however, is the framework you use to decide. Liquidity, volatility, spreads, and your own trading psychology matter far more than simply picking EUR/USD over GBP/JPY.
The best forex currency pairs to trade are ultimately the ones that align with your strategy and discipline. New traders often perform better by sticking with the majors, where liquidity is deep and spreads are tight. Advanced traders, on the other hand, may deliberately choose pairs with higher volatility—like GBP/JPY—to capitalize on sharp intraday moves. The key isn’t the pair itself, but whether you can manage its rhythm.
Here’s the takeaway: choosing a pair is less about prediction and more about preparation. If you can identify when a pair is most active, understand the fundamentals driving it, and apply sound risk management, then even the most ordinary pair can become your edge. The market rewards consistency, not guesswork.
So, instead of chasing “the one,” focus on mastering a few pairs, understanding their behavior, and building a strategy around them. That’s how you turn knowledge into skill—and skill into long-term trading success.
Frequently Asked Questiosn – FAQs
There isn’t a single “most profitable” pair for everyone—it depends on your strategy and risk appetite. For many traders, EUR/USD is considered the best currency pair to trade because of its deep liquidity, low spreads, and predictable movements. However, risk-takers often find bigger profit opportunities in volatile pairs like GBP/JPY.
Beginners usually do best with major pairs like EUR/USD or USD/JPY. These pairs are stable, highly liquid, and less prone to sudden price spikes. They allow new traders to focus on building strategies instead of fighting unpredictable volatility.
London session → EUR/USD, GBP/USD (high liquidity, strong moves).
New York session → USD/JPY, USD/CAD (great for volatility and news trading).
Asian session → AUD/JPY, NZD/JPY (slower pace, better for range trading).
Timing matters almost as much as the pair itself.
For most traders, majors are the best forex pairs to trade because they’re more stable and cost less to trade (tight spreads). Exotic pairs can offer larger swings, but they often come with higher spreads, lower liquidity, and sudden price gaps. They’re better suited for advanced traders who can handle the risk.
No. Successful traders usually specialize in just 2–3 pairs they know inside-out. Instead of chasing every opportunity, they build an edge by mastering how specific pairs move during different sessions and economic cycles.
The best time to trade EUR/USD is when the London and New York sessions overlap (8 AM – 12 PM EST). That’s when liquidity is highest and price movements are sharp enough to capture meaningful profits.
Yes—many traders focus exclusively on one pair, especially in the beginning. By sticking to a single market, you can learn its rhythm, volatility patterns, and reaction to news, which often leads to better consistency than jumping between pairs.
