This article has been translated from English to Gen Z Slang.
What's the tea on forex trading?
Forex trading is all about flexing your ability to simultaneously buy one currency and sell another like a pro.
Currencies do their thing through a “forex broker” or “CFD provider” and they roll in pairs. It's always about one currency vibing against another currency.
Like, picture the euro and the U.S. dollar (EUR/USD) or the British pound and the Japanese yen (GBP/JPY).
In the forex world, it's all about snatching or dropping those currency pairs.
Imagine each currency pair locked in a constant “tug of war” with their own squad on each side of the rope.
An exchange rate is basically a mash-up of two currencies from different countries duking it out in price.
Exchange rates go up or down depending on which currency’s flexing harder at any given moment.
Currency pairs fall into three categories:
- The “majors“
- The “crosses“
- The “exotics“
The major currency pairs always have Uncle Sam’s dollar in there.
Cross-currency pairs are like, “nah” to the U.S. dollar. These crosses also go by the cringe nickname “minors.”
Exotic currency pairs are a mix of a major currency and one from an emerging market (EM) making moves.
Major Currency Pairs
The pairs listed below? Yep, they’re the “majors.”
These have the U.S. dollar (USD) living its best life on one side and are the main characters in the trading scene.
Even though we be talking about EIGHT major currencies, there are only SEVEN major currency pairs.
Compared to the “crosses” or “exotics,” the majors are like the most popular kids in school – they move around a lot, meaning always getting invited to the trading floor.
| Currency Pair | Countries | FX Geek Speak |
|---|---|---|
| EUR/USD | Eurozone / United States | “euro dollar” |
| USD/JPY | United States / Japan | “dollar yen” |
| GBP/USD | United Kingdom / United States | “pound dollar” |
| USD/CHF | United States/ Switzerland | “dollar swissy” |
| USD/CAD | United States / Canada | “dollar loonie” |
| AUD/USD | Australia / United States | “aussie dollar” |
| NZD/USD | New Zealand / United States | “kiwi dollar” |
The majors are the most liquid in the money game, like everyone wants a piece.
Liquidity is like how popping the market scene is at the moment.
In forex, it's all about how many traders are hittin' up a certain currency pair and the volume they’re trading.More trades = more liquidity vibes.
Like, people absolutely love the EUR/USD pair way more than AUD/USD.
So, you guessed it, EUR/USD is way juicier than AUD/USD.
Major Cross-Currency Pairs or Minor Currency Pairs
Currency pairs that are like, "nope" to the U.S. dollar, using other major currencies are known as cross-currency pairs or the infamous “crosses.”
Major crosses, aka “minors.”
Even if these crosses don’t steal the show as majors do, they’ve got enough vibes to keep trading opps rolling.
Lots of drift goin' on with the likes of EUR, JPY, and GBP running the non-USD shows.Don't be clowning around and mixing up minor pairs with seven star players including makeup with Uncle Sam’s greenbacks against the others.
Euro Crosses
| Currency Pair | Countries | FX Geek Speak |
|---|---|---|
| EUR/CHF | Eurozone / Switzerland | “euro swissy” |
| EUR/GBP | Eurozone / United Kingdom | “euro pound” |
| EUR/CAD | Eurozone / Canada | “euro loonie” |
| EUR/AUD | Eurozone / Australia | “euro aussie” |
| EUR/NZD | Eurozone / New Zealand | “euro kiwi” |
| EUR/SEK | Eurozone / Sweden | “euro stockie” |
| EUR/NOK | Eurozone / Norway | “euro nockie” |
Yen Crosses
| Currency Pair | Countries | FX Geek Speak |
|---|---|---|
| EUR/JPY | Eurozone / Japan | “euro yen” or “yuppy” |
| GBP/JPY | United Kingdom / Japan | “pound yen” or “guppy” |
| CHF/JPY | Switzerland / Japan | “swissy yen” |
| CAD/JPY | Canada / Japan | “loonie yen” |
| AUD/JPY | Australia / Japan | “aussie yen” |
| NZD/JPY | New Zealand / Japan | “kiwi yen” |
Pound Crosses
| Pair | Countries | FX Geek Speak |
|---|---|---|
| GBP/CHF | United Kingdom / Switzerland | “pound swissy” |
| GBP/AUD | United Kingdom / Australia | “pound aussie” |
| GBP/CAD | United Kingdom / Canada | “pound loonie” |
| GBP/NZD | United Kingdom / New Zealand | “pound kiwi” |
Other Crosses
| Pair | Countries | FX Geek Speak |
|---|---|---|
| AUD/CHF | Australia / Switzerland | “aussie swissy” |
| AUD/CAD | Australia / Canada | “aussie loonie” |
| AUD/NZD | Australia / New Zealand | “aussie kiwi” |
| CAD/CHF | Canada / Switzerland | “loonie swissy” |
| NZD/CHF | New Zealand / Switzerland | “kiwi swissy” |
| NZD/CAD | New Zealand / Canada | “kiwi loonie” |
Exotic Currency Pairs
And no, exotic pairs aren't some mind-bending twin dancers.
An exotic currency is cash from a place where their market game is still loading.
Exotic currency pairs are, like, a mashup with the big guns of a major currency squadding up with some newcomer vibes from places like Brazil, Mexico, Indonesia, Poland, Chile, Turkey, or Hungary.
Essentially, it’s like having one heavy hitter plus one wildcard in the mix.
The chart below serving you a sneak-peek of those exotic currency pair vibes.Give it a whirl and try guessing what the symbols actually stand for. ✨
Based on which forex broker you got the hookup with, you might witness these exotic pair showdowns.
Keep in mind they don’t get the same spotlight as the 'grand bois' majors or crosses, so the transaction feels ain't what you'd call "chill."
| Currency Pair | Countries | FX Geek Speak |
|---|---|---|
| USD/BRL | United States / Brazil | “dollar real” |
| USD/HKD | United States / Hong Kong | |
| USD/SAR | United States / Saudi Arabia | “dollar riyal” |
| USD/SGD | United States / Singapore | “dollar sing” |
| USD/ZAR | United States / South Africa | “dollar rand” |
| USD/THB | United States / Thailand | “dollar baht” |
| USD/MXN | United States / Mexico | “dollar mex” |
| USD/RUB | United States / Russia | “dollar ruble” or “Barney” |
| USD/PLN | United States / Poland | “dollar zloty” |
| USD/CLP | United States/ Chile |
Not weird to see two-three times beefier spreads than the EUR/UD or USD/JPY bands.
Lack of whatever fluidity exotic currency pairs suffer means they tend to react faster to economic-shot blasts and geopolitical shakeups.
For real, a political scandal or some surprise election result can have an exotic pair now and later gushing like, ya wouldn't believe it.
Wanna flip them exotic skip ups, but keep your eye goggled at the unforeseen plots.
To all you exotics fanatics, here’s more for you to gawk through.
| Currency Code | Country | Currency Code | Country |
|---|---|---|---|
| AED | UAE Dirham | ARS | Argentinean Peso |
| AFN | Afghanistan Afghani | GEL | Georgian Lari |
| MYR | Malaysian Ringgit | AMD | Armenian Dram |
| GYD | Guyanese Dollar | MZN | Mozambique new Metical |
| AWG | Aruban Florin | IDR | Indonesian Rupiah |
| OMR | Omani Rial | AZN | Azerbaijan New Manat |
| IQD | Iraqi Dinar | QAR | Qatari Rial |
| BHD | Bahraini Dinar | IRR | Iranian Rial |
| SLL | Sierra Leone Leone | BWP | Botswana Pula |
| JOD | Jordanian Dinar | TJS | Tajikistani Somoni |
| BYR | Belarusian Ruble | KGS | Kyrgyzstani Som |
| TMT | Turkmenistan new Manat | CDF | Congolese Franc |
| LBP | Lebanese Pound | TZS | Tanzanian Schilling |
| DZD | Algerian Dinar | LRD | Liberian Dollar |
| UZS | Uzbekistan Som | EGP | Egyptian Pound |
| MAD | Moroccan Dirham | WST | Samoan Tala |
| EEK | Estonian Kroon | MNT | Mongolian Tugrik |
| MWK | Malawi Kwacha | ETB | Ethiopian Birr |
| THB | Thai Baht | TRY | New Turkish Lira |
| ZAR | South African Rand | ZWD | Zimbabwe Dollar |
| BRL | Brazilian Real | CLP | Chilean Peso |
| CNY | Chinese Yuan Renminbi | CZK | Czech Koruna |
| HKD | Hong Kong Dollar | HUF | Hungarian Forint |
| ILS | Israeli Shekel | INR | Indian Rupee |
| ISK | Icelandic Krona | KRW | South Korean Won |
| KWD | Kuwaiti Dinar | MXN | Mexican Peso |
| PHP | Philippine Peso | PKR | Pakistani Rupee |
| PLN | Polish Zloty | RUB | Russian Ruble |
| SAR | Saudi Arabian Riyal | SGD | Singaporean Dollar |
| TWD | Taiwanese Dollar |
DID YOU KNOW? There’s like 180 legal money gang codes around the globe as per the United Nations' receipts. With those, flexing currency pairs is a vibe! But don’t get lost ‘cause not all are trader-ready. Forex gives the green light on just about 70 cool pair-ups.
Besides the primary trios, there be other groups with unique clout in FX worlds you’ll likely see pop-up on the timelines.
G10 Currencies
The G10 crew rocks ten of the mega movers & shakers in the cash flow - These currencies stay woke in trades while flexing liquidity powers left and right.
Regularly, traders snap up buys and sells, barely impacting international rates with all them moves.
| Country | Currency Name | Currency Code |
|---|---|---|
| United States | dollar | USD |
| European Union | euro | EUR |
| United Kingdom | pound | GBP |
| Japan | yen | JPY |
| Australia | dollar | AUD |
| New Zealand | dollar | NZD |
| Canada | dollar | CAD |
| Switzerland | franc | CHF |
| Norway | krone | NOK |
| Sweden | krona | SEK |
| Denmark | krone | DKK |
The Scandies
Scandinavia checks out as a Northern European chill spot, with deep historical, cultural, and language ties as part of its vibe.
The term “Scandinavia” shouts out to three big players: Denmark, Norway, and Sweden.
Together, currencies in these parts are dubbed the “Scandies“.Immortal Legends: Denmark and Sweden once said "Let's go gold standard, partner up," along with Norway until WWI pulled the plug.
Now they're individual and carry their uniqueness in currencies like their crowns that sway coolly.
If you be checking out their currency terms (shockingly similar right-eye lift) here, spelled differences purely courtesy of loving differences in their North Germanic tongue.
Crown game is strong. Crown everyone.
Saying “Hook me up with some crowns yo.” feels ultra-finesse rather than “Hook me up with some d'oh ydollaczos yo.”
| Country | Currency Name | Currency Code |
|---|---|---|
| Denmark | krone | DKK |
| Sweden | krona | SEK |
| Norway | krone | NOK |
SEK & NOK even slide in with bada-fab nicknames on the street: “Stockie” & “Nokie”.
Enough buzz to snag an opinion exchange rate! USD/SEK now flexing as “dollar stockie” & USD/NOK strutting in as “dollar nockie”.
CEE Currencies
A brandyesque “CEE” take loads sophistication focusing in on Central and Eastern Europe.
This region drinks plenty of tea within Central Europe serves mad-to-trash from Baltic states, traversing to Eastern Europe, and peeping into Southeast Europe.
Cool tag Central and Eastern European Countries (CEECs) is an OG another acronym game stepping representing some: Albania, Bulgaria, Croatia, the Czech Republic, Hungary, Poland, Romania, the Slovak Republic, Slovenia, and real Balt specials: Estonia, Latvia, Lithuania.
In FX chat, these four CEE currencies hustle enough clout to be worth betting chicken nuggets on.
| Country | Currency Name | Currency Code |
|---|---|---|
| Hungary | forint | HUF |
| Czech Republic | koruna | CZK |
| Poland | zloty | PLN |
| Romania | leu | RON |
BRIICS
BRIICS squad stands tall in waiting. It stands for slayin’ major economy vibes: Brazil, Russia, India, Indonesia, China, and South Africa.
Initially crafted as “BRIC” giving feels major cred as today's glo glitz following high climbtime economy shake news by Goldman Sachs.
The above gang then crossed over to current dynamics with terms whipped under BRIICS creations by the OECD medium integration for Indonesia & South Africa.
| Country | Currency Name | Currency Code |
|---|---|---|
| Brazil | Real | BRL |
| Russia | Ruble | RUB |
| India | Rupee | INR |
| Indonesia | Rupiah | IDR |
| China | Yuan | CNY |
| South Africa | Rand | ZAR |
BRICS+
Conceived at September 2023 Summit pondering full scene club ‘yo - gotta at least half claim the spin laid out sleek-bound: Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and on note United Arab Emirates heads to full card ready to hollow years 2024.
Beyond wars, pooling ventures rates goody with fresh pores - a gamut differentiating sizing its guts up economic twists scattered cross conti countless demographic influences to riff off.
The old core waves wrap nearly twenty first significance, forty noon compel nuance to the global scala whilst feebing export theorist rates.
Intro the five newbie + enter sides sorta yap like twenty-five slides to rampant eloquence reached Ranked units voiced.
Summary
Whoa. Information overload level up monster smash, congrats! 🔥 Your FX IQ is turning as beastly as Hulk in finance realm, literally pulling moves.
Let’s sum what you just crammed in your noggin with these quick-fire Qs:
What’s a currency pair on forex aisle?
Imagine Fiddy riding gear with a Kanye’s ring - it’s all about swagging one’s face value round another substance value. Like example bro mentions, GBP/USD pronouncements the value of Brit power against Uncle Sam's presidential buckle seat.
Unleash major cuppa rhyme-y currency pairs?
The ballers tae major currency pairs ejections showing dollar gang hosted most hypink what's hot theme: EUR/USD, USD/JPY, GBP/USD, bloke USD/CAD, USD/CHF, vendor reveal AUD/USD and momentum comes: NZD strong-USD.
What's crisscross currency scenes?
Crossing 'cross anti-rules 😀 winding currencies excludeth dollar desires straightoppers, know your crossover creds infused: EUR/GBP pure OL profile scratcher - EUR/CAD bro tome endorsed by-JPY - yapping Germany roomy laid EUR/CHF, overreacted initiate leader EUR/JPY tougher over pillow plop-new allied bro EUR/CHF community plush another tong stop face sums satisfaction supplementary activity achievements.
How many pair zillions struck exist>
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