EUR/USD is the most tradable pair in the forex market. The base currency is the EUR, while the USD is considered to be a quote. You might hear some analysts call this cross “Fiber”.
Why is it called “Fiber,” you ask?
The GBP/USD is also known as “Cable” because GBP and USD are the world’s oldest currencies.
When the EUR emerged, the cross EUR/USD was given the nickname “Fiber”, as it was considered to be an updated version of the GBP/USD. It was derived from the network’s name, whereby the fiber optic cable is a newer version of the cable network.
What Is the Spread of the EUR/USD?
Generally, the spread for the EUR/USD ranges from 0 to 3 pips, but this depends on the broker you deal with. The lower the better, as it is less costly to trade the EUR/USD.
For example, if you open a one lot position on EUR/USD with one pip as a spread, you will pay a $10 fee. However, if the spread is 3 pips, it will cost you $30 instead of $10 for one lot of EUR/USD.
Which Types of Market News and Events Significantly Impact the EUR/USD?
The Federal Reserve or European Central Bank decisions impacting rates can significantly impact EUR/USD price volatility.
You will see huge spikes on EUR/USD charts, as traders and institutions adjust their positions according to the news.
What Is the Minimum Lot Requirement Needed to Trade This Pair?
Nano is the smallest lot that can be used to open a trade for the EUR/USD pair. If you use the MT4 platform, you should be able to input 0.0001 to open a nano position that is worth 100 currency units.