Euro (euro) forex currency.

The single European currency, or euro, is one of the most popular units on the forex market, accounting for more than 30% of all currency exchange transactions.

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

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

This payment instrument is also used as a component of the gold and foreign exchange reserves of national banks in most major countries. According to recent estimates, the European currency's share of reserves is gradually eclipsing the US dollar and already stands at around 28%.

The situation is explained by unfavorable forecasts for the US dollar, the latest argument in favor of the euro being the downgrade of the United States' credit rating from AAA to AA+.

Trading using this currency has its own peculiarities, which we will discuss in more detail in this article.

First of all, it is necessary to highlight the most popular currency pairs in which this monetary unit appears:

EUR/USD – the euro/US dollar pair – trades equally actively during all forex sessions, but the market is most dynamic during the European and American trading sessions. This pair is ideal for scalping, as it is highly dynamic and has the lowest spread. Its rate rises on negative news about the US and positive news about the eurozone.

EUR/JPY – Euro/Japanese Yen, a highly popular instrument during the Asian currency session. The pair is characterized by a double-digit quote.

EUR/GBP – Euro/British Pound, a rather interesting currency pair, which also has its own trading characteristics.

EUR/CHF – Euro/Swiss franc, the main turnover occurs during the European session, the pair reacts well with a price drop when the euro weakens.

The euro is always the base currency in a currency pair, so the value 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 virtually any news about economic developments in any of these countries. This creates excellent conditions for news trading, although extreme caution is required, as the trend can reverse direction at any moment due to new news.

This currency is quite complex for novice traders due to the difficulty of predicting its exchange rate movements and sharp price fluctuations.