Euro (euro) forex currency.

The single European currency or euro is one of the most popular units in the Forex market, its share in all foreign exchange transactions is more than 30%.

This popularity is due to the fact that this type of currency is quite often used in payments between different countries; it is especially popular in Europe and nearby countries.

According to statistics, the share of world trade turnover in euros is more than 27% and is constantly growing.

This payment instrument is also used as one of the components in the gold and foreign exchange reserves of the national banks of most world powers. According to recent estimates, the share of the European currency in reserves is gradually beginning to squeeze out the American dollar and is already around 28%.

The situation is explained by unfavorable forecasts for the American dollar; the latest argument in favor of the euro was the downgrade of the credit rating of the United States of America from AAA to AA+.

Trading using this currency has its own characteristics, and we will focus on them in more detail in this article.

First of all, we should highlight the most popular currency pairs in which this monetary unit appears:

EUR/USD – euro/US dollar, is traded equally actively in all Forex sessions, but the market becomes most dynamic during the European and American trading sessions. The pair is excellent for scalping, as it is highly dynamic and has the lowest spread. Its rate grows with negative news about the state of the United States and positive news from the eurozone.

EUR/JPY – euro/Japanese yen, this instrument is highly popular during the Asian currency session. The pair has a double-digit quote.

EUR/GBP – euro/British pound, a rather interesting currency pair, which also has its own trading features.

EUR/CHF – euro/Swiss franc, the main turnover occurs during the European session, the pair reacts well by falling in price when the euro currency weakens.

The euro is always the base currency in a currency pair, so the cost of one lot in this case is 100,000 euros.
In the standard version, the trading instrument has a four-digit quote.

Since the euro is the official currency in seventeen European countries, its exchange rate is affected by almost any news about changes in the economy in any of these countries. This fact creates excellent conditions for trading on news, although you should be especially careful, since the trend can change direction literally at any minute under the influence of new news.

This currency is quite difficult for novice traders due to the difficulty of predicting the movement of its exchange rate and sudden price jumps.