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why some pairs moves so slow?


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  • 2 months later...
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It all depends on general market conditions. If the trader is in the Asian session where there's not much trading activity, then there's bound to be a low activity in this pair and in most pairs as well. It is better to trade during the London session when the market volatility would have picked up.

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l want to ask if why some pairs like usd/jpy makes only small moves everyday,while they are high voletiled.what can be the reason?

Since usd/jpy pair value is based on yen the value of yen is 82.86 per dollar so even if the volatility is high because of the low value of yen to us dollar its not really felt on in us dollars. But if you are in yen base its already a big value change. while for example usd/cad in which the value is 99 canadian cents to U.S dollar. If the value of of cad increase or decrease its almost the same value increase and decrease in usd.

 

It all depends on general market conditions. If the trader is in the Asian session where there's not much trading activity, then there's bound to be a low activity in this pair and in most pairs as well. It is better to trade during the London session when the market volatility would have picked up.

Have you even try to trade yen? Yen is the most volatile pair in asia. So its not true that not much trading activity or low activity in this pair. Try to check the facts first.

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  • 2 weeks later...

A few pairs move slowly because it is not a major traded currency or would have stuck in a range bound market. For USD/JPY, I would only say that this pair maves slowly because most of the forex brokers have this pair upto 2 decimal points (XX.XX) as compared to EUR/USD or other major currencies with are upto 4 decimal points(X.XXXX).

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Some pairs move slower than others due to frequency of trading activity. The more people trade a certain pair, the more the pair will move. The Forex market is known for being such a fast moving market. However, there are some pairs that move every bit as fast as some businesses in the stock market, LOL!!!

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Yes, there were pairs that are not that moving because not all pairs are traded with the traders. So we can expect those minor pairs to have smaller movements or really slow market. But then we can also expect to have them predictable by means of technical analysis. I guess most of us just trade in the major pairs.

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  • 4 weeks later...
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Well I think the reason why some pair move so slow is due to some economics factors which affect the currency and make the currency move at the particular time,as for me I dont think that there is any other thing which do make currency or pair to move slowly except the economic factors of the country.

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  • 1 month later...

Each pair in Forex market has its own nature. There must be different volatility on every time. Major pairs may move faster than other pairs. And cross pairs may move slower. The reason behind this should be a logical reasons related to correlation. Let us discuss.

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Prices move cause only one that is due to the currency transactions conducted market participants. In other words we can say that if there is no currency transactions conducted market the exchange rate or the price will never change from the original exchange rate. By understanding this principle we realize that the presence or existence of market participants in the Forex Market is directly related to changes in price, because only in the presence of market participants in the Forex Market is the currency transactions are allowed to occur

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  • 2 months later...

It all depends on general market conditions. If the trader is in the Asian session where there's not much trading activity, then there's bound to be a low activity in this pair and in most pairs as well. It is better to trade during the London session when the market volatility would have picked up.

Yes this is true. And also, each currency can represent the strength of the economy of one nation. Like JPY means for Japanese Yen. Then, it is usually depending on the discretion of Japanese government to make its currency in its rail, not running too high or too low here.

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  • 4 weeks later...

The movement of currency pairs depend upon many factors and especially on the timing and economic news related to the currency pair. usually there is activity in a currency pair during specific market hours and very little liquidity during certain hours. Economic news related to a pair may cause the pair to become very volatile.

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Well I dont think that some pair move very slow what I know is that in forex trading Irrespective of the paor which the trader is just using its the economic factor of that Nation at the particular time that make the pair to move either high or low giving us the opportunity to placed a buy or sell order.

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  • 7 months later...

the market moved by how much transaction volume at that time. higher volume transaction will make the pair volatile and if you see a pair not move or move so slow, it indicate that transaction volume is very small.

I think that is just about right. If there are a lot of transactions then the profit seems to be higher or movement will be higher. Maybe you enter at a wrong time or wrong market time or wrong days when its bad. I mean movement is different every day you know. No two days are the same and if there are news that poorly affect the pairs then less people would also buy. 

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i dont think Forex pair move slow when trading,it depend on the pair and the kinda date release when we are trading the pair,one can surely trade any pair on the market but i guess trading the pair with strong economic is safe,for one to see really fast movement when trading the pair and one can surely make big profit.

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They move slow because they might be low demanding pairs like some of the ones on the list that not a lot of traders trade cause of high spread or stagnant growth or being unpopular which will all lead to lower price. They move slow also cause the relationship between them is not too far off so they pretty much move in the same direction. Like the gbp and euro. They pretty much flow in the same direction economically. So there isn't much to move among themselves but pairs with differences in economics will move very sharply. 

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