How to select a best currency pair to trade for best results

Hi guys. Can any body explain me, how to select the best currency pair for best trading results and is it depends upon currency interest rates like " HIGHER TO LOWER OR LOWER TO HIGHER " or " INR based or cross Currency based ". Which way to select. I’m in very heavy confusion to select the best pair. Can anybody please respond me.

go for " USDINR

Thank you. But can u elaborate why do we select the “USDINR”. Any special reason?

USDINR contract is the most liquid & traded contract . If you are conversant with TA ( Technical analysis of stocks & futures ) and working knowledge of derivatives , USDINR pair is one good trade-able contract , for your reference here is the link for that

There is nothing as such called “best currency pair for best results”, I recommend you go through this in detail before trading currencies, can go through chapter 4,5,6 and 18.

jpyinr is best because it has bit higher volatility compare to usdinr

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There’s no “best currency pair”. You need to study and analyse the market yourself and decide where to invest and what to trade. market trade is changeble and always needs to be watched.

Non INR pair trading in Indian exchanges is a non-sense. Classic Indian way of messing up things and bureaucracy . Price discovery of major currency pairs takes place outside the trading hours of Indian exchanges. So there will always be major gap up or gap down.

Even INR pair has major gap up/down most of the time because only INR (term currency) price discovery happens in India while reference currency’s price discovery is after 5 PM. Forex trading has to be twenty four hours because forex markets are open for twenty four hourss

Having said that my win rates in currency is better than nifty/stocks because manipulation by large operators is difficult.


dont go for usdinr… it has very little volatility… and indicator don’t works here… go for eur… gbp… jpy…

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Thank you sir. But need a clarification. major currencies works best with INR combination or with cross currencies?

Thank you sir. But need a clarification. Which currency works best with INR combination?

Obviously USDINR is most liquid next is EURINR. Other pairs have wide bid/ask.

Currency markets react to developing macro narratives n central bank’s stance. So TA may not be as helpful. Banks r major players in currency markets n they serve endusers such as importer exporter who dont pay much attention to TA.

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Thank you sir. But need one more clarification. All the major bank interest rates are given below. All of them INR is the top one for the interest rates (INR 6.25%). But why can’t we got a place in major currencies?

And one more thing USD/INR takes a side way from the lot of days. Then how can we trade in USD/INR with out any trend. And how can we predict that, it is USD trend or INR trend to trade peacefully? Could you explain.

Central Bank Rates
NZD 1.75%
USD <1.75%
AUD 1.50%
CAD 1.25%
GBP 0.50%
EUR 0.00%
JPY -0.10%
CHF -0.75%

Central bank policy rates are just one factor. There are several other factors such and
Output gap
Current a/c surplus/deficit
Investment flow

Central banks takes all these into a/c when setting policy rates n policy stance.

What i wanted to tell u is that for currency trading good understanding of economics n monetary policy r important not just TA

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Thanks for the reference!

:slightly_smiling_face: NSE also runs Training & Certification program on currency derivatives- NCFM Modules
( Currency Derivatives: A Beginner’s Module ) I have gone through some of the NSE’s Derivative strategies , are quite interesting & useful.

As far as my knowledge goes these are the three best pairs:
EUR/USD (Euro – US dollar)
USD/JPY (US dollar – Japanese yen)
GBP/USD (British pound – US dollar)

You are right , but these non-INR pair trading yet to, take pick-up , Its in a initial phase , in India

Thank you sir. For all ur valuable time & suggestions. But sir could you please guide me how to success in the currency trading. I’ve tried all F&O & Equity…, succeed also. But there is a chance to manipulations & scams. That’s why I interested on Currency & it’s also quite interesting. So could you plz what i’ve to do to get succeed. :neutral_face::roll_eyes::face_with_monocle: