The majors and the commodity pairs are the most liquid and most widely traded currency pairs in the forex market. These pairs and their combinations (EUR/JPY, GBP/JPY and EUR/GBP) make up the vast majority of all trading in the forex market. Because these pairs have the largest volume of buyers and sellers, they also typically have the tightest spreads.
- Majors: EUR/USD, USD/JPY, GBP/USD, USD/CHF
- Commodity Pairs: AUD/USD, USD/CAD, NZD/USD
There are however other currency pairs that allow you to take advantage of macroeconomic events in specific international markets, such as the USD/MXN (US Dollar/Mexican Peso).