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Currencies are traded in pairs.


The trading price of the currency pair is the value of the quoted currency that you can buy against one unit of the base currency.

For example:

The euro and the US dollar are the most common currency pair and are traded on the market.

When looking for the euro exchange rate against the US dollar, you want to know how many dollars (the quoted currency) you can buy for 1 euro (the base currency).

If the exchange rate of the euro against the US dollar is 1.2356, this means that you can buy 1.2356 US dollars for every 1 euro.
If the exchange rate is in an uptrend, this means that the base currency is getting stronger against the secondary currency.
If the exchange rate is in a declining direction, this means that the base currency weakens against the secondary currency.
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