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Understanding Currency Pairs in Forex Trading

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Created December 10, 2025

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LESSON 2 – Understanding Currency Pairs “EUR/USD, GBP/JPY, USD/ZAR… these codes

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look confusing, but in 5 minutes you’ll read them like a pro.” “Every forex trade

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has TWO currencies = a PAIR. Left currency = BASE (what you’re buying or selling)

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Right currency = QUOTE (what you’re paying or receiving) Example: EUR/USD = 1.09 →

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To buy 1 Euro costs you 1.09 US dollars. If the price goes to 1.12 → Euro got stronger → you made

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profit if you bought.” 1. Majors (7 pairs) – always include USD → EUR/USD,

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GBP/USD, USD/JPY, etc. → 80% of all trading 2.

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Minors (no USD) → EUR/GBP, AUD/NZD 3. Exotics → USD/UGX,

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