{"id":9766,"date":"2022-10-13T04:45:53","date_gmt":"2022-10-13T04:45:53","guid":{"rendered":"https:\/\/mdr.foobrdigital.com\/?p=9766"},"modified":"2022-10-13T04:45:53","modified_gmt":"2022-10-13T04:45:53","slug":"be-careful-trading-obscure-currency-crosses","status":"publish","type":"post","link":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/2022\/10\/13\/be-careful-trading-obscure-currency-crosses\/","title":{"rendered":"Be Careful Trading Obscure Currency Crosses"},"content":{"rendered":"\n<p>While the euro and yen crosses are the most liquid crosses, more currency crosses exist that don\u2019t even include the U.S. dollar, euro, or the yen!<\/p>\n\n\n\n<p>We\u2019ll call these the \u201cObscure Currency Crosses\u201d!<\/p>\n\n\n\n<p>If we were in school \u2013 come to think of it, we actually are in school! \u2013 the major pairs would be the jocks while the obscure currency crosses would be the eccentric emo kids or&nbsp;hipsters.<\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter\"><img decoding=\"async\" src=\"https:\/\/bpcdn.co\/images\/2016\/05\/grade15-emo-boy-girl.png\" alt=\"Obscure Currency Crosses Are Like Hipsters\" title=\"Obscure Currency Crosses Are Like Hipsters\"\/><\/figure>\n\n\n\n<p>That\u2019s because most forex traders would rather hang out with the cool crowd than the obscure crosses!<\/p>\n\n\n\n<p>We\u2019re talking about really weird combinations like&nbsp;<strong>AUD\/CHF<\/strong>,&nbsp;<strong>AUD\/NZD<\/strong>,<strong>&nbsp;CAD\/CHF<\/strong>, and&nbsp;<strong>GBP\/CHF<\/strong>. That\u2019s why we call them obscure crosses.<\/p>\n\n\n\n<p>Trading in these pairs can be more difficult and riskier than trading euro or yen currency crosses.<\/p>\n\n\n\n<p>Since very few forex traders trade them, transaction volume is much lower resulting in lower&nbsp;<strong>liquidity<\/strong>.<\/p>\n\n\n\n<p>Due to the illiquid markets for these crosses, their prices can become quite\u00a0<strong>volatile<\/strong>, so being stopped out on\u00a0<strong>whipsaws<\/strong>\u00a0can become a common occurrence.<\/p>\n\n\n\n<p>Check out these screenshots of AUD\/CHF and GBP\/CHF:<\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter\"><a href=\"https:\/\/bpcdn.co\/images\/2016\/05\/grade15-audnzd-nasty-spikes.png\"><img decoding=\"async\" src=\"https:\/\/bpcdn.co\/images\/2016\/05\/grade15-audnzd-nasty-spikes.png\" alt=\"Many spikes on AUD\/NZD currency cross\" title=\"Many spikes on AUD\/NZD currency cross\"\/><\/a><\/figure>\n\n\n\n<p>You don\u2019t want to get stopped out by those nasty spikes, do you? That\u2019s why most forex traders usually put wider stops when trading these pairs.<\/p>\n\n\n\n<p>But judging from the choppy movement of obscure crosses, it would really be tough to catch a good trade on these pairs.<\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter\"><a href=\"https:\/\/bpcdn.co\/images\/2016\/05\/grade15-gbpchf-choppy.png\"><img decoding=\"async\" src=\"https:\/\/bpcdn.co\/images\/2016\/05\/grade15-gbpchf-choppy.png\" alt=\"Obscure Currency Crosses Are Choppy!\" title=\"Obscure Currency Crosses Are Choppy!\"\/><\/a><\/figure>\n\n\n\n<p>See what we mean?<\/p>\n\n\n\n<p>Also, since these currency cross pairs aren\u2019t traded too much by forex traders, the spreads on these pairs can be pretty wide.<\/p>\n\n\n\n<p>If you want to trade these currency crosses, just be ready for some wild price swings and be willing to pay the price of the massive spread!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>While the euro and yen crosses are the most liquid crosses, more currency crosses exist that don\u2019t even include the U.S. dollar, euro, or the yen! We\u2019ll call these the \u201cObscure Currency Crosses\u201d! If we were in school \u2013 come to think of it, we actually are in school! \u2013 the major pairs would be [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[879],"tags":[],"_links":{"self":[{"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/posts\/9766"}],"collection":[{"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/comments?post=9766"}],"version-history":[{"count":0,"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/posts\/9766\/revisions"}],"wp:attachment":[{"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/media?parent=9766"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/categories?post=9766"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mudassirbackup.infinitycodestudio.com\/index.php\/wp-json\/wp\/v2\/tags?post=9766"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}