Let’s learn about EURUSD and understand how to trade them.
EUR/USD: The One Currency Pair I Wish Someone Told Me to Focus On Earlier
A few weeks after I started learning forex, I made one mistake that almost every beginner makes.
I believed the more currency pairs I watched, the better my chances of making money. My chart was full. GBP/USD was open. USD/JPY was there. Gold was calling my attention. NAS100 was moving. Before long, I had more than ten charts on my screen, yet I wasn't understanding any of them.
Then one experienced trader asked me a simple question.
"Why are you stressing yourself? Have you even taken time to understand EUR/USD?"
That question stayed in my mind.
The following day, I decided not to jump from one chart to another. I left only EUR/USD on my screen. Honestly, it felt strange at first. I thought I would miss plenty of opportunities. Instead, I started noticing things I had never seen before.
If you are new to forex, let me save you from that same mistake.
EUR/USD is simply the Euro against the United States Dollar. Nothing complicated. If you buy the pair, you are expecting the Euro to gain strength against the Dollar. If you sell it, you believe the Dollar will become stronger than the Euro.
The explanation is easy.
Understanding how the pair behaves is the real work.
One thing I like about EUR/USD is that it rarely behaves like it is trying to confuse everybody. Don't get me wrong, it can still surprise you. Every market does. But compared to some other pairs, its movement often makes more sense when you patiently watch it.
Have you noticed something?
Sometimes you mark a support level before going to bed. The next morning, price gets there, pauses for a while, forms a nice rejection candle and...
