#TradingPairs101

🔁 Trading Pair

Is simply two currencies traded against each other.

A trading pair always consists of two currencies or assets separated by a slash /

It consists of ....

Base Currency: The first currency in the pair (on the left).

Quote Currency: The second currency in the pair (on the right)

📌For example •

Buying the EUR/USD pair

Means you are buying euros and selling dollars.

You expect the euro to strengthen against the dollar, and if it happens,

The value of the trade increases and you profit.

Selling the EUR/USD pair

Means the opposite: you sell euros and buy dollars.

Here you expect the euro to weaken against the dollar, and you earn from the difference if your prediction is realized.