strength of currencies

how do i know the strong and weak currencies please?

You can check out a currency strength meter to see where a particular currency stands.

Currency indexes are useful tools for measuring the strength of currencies.
But there is usually no objective answer to whether a currency is weak or strong, it's very relative as currencies are traded in pairs. Something worth considering is their liquidity. There are major, minor and exotic currency pairs; major and minor pairs are more liquid.

davidkew posted:
You can check out a currency strength meter to see where a particular currency stands.

Thanks for the advice.

Currency strength meter is the best way to find currency strength.

Currency strength meter is the best way to find currency strength.
A currency strength meter is always useful to look for the best pairs

Every pair has its own specific characteristics. You have to find out your own trading edge. Only you know what you understand the most. Learning is a long term tadious process. Everyone has to go through it if they want to make consistent money in forex trading.

Each currency pair is different, and it is up to you to find what seems to be a strong pair or not. There are tools you could use such as the currency strength meter.

Many currency strengths meters give you a quick visual guide to which currencies are currently strong, and which ones are weak.

SofieAndreasen posted:
Many currency strengths meters give you a quick visual guide to which currencies are currently strong, and which ones are weak.

Is it good to use currency strength meter?

The strength of a particular currency depends on numerous economic factors, but the quality of a currency's growth prospects is usually the most significant. Traders should have sound knowledge about the economic and political state of the country whose currency they are dealing with.

There are mainly three factors which determine the strength of the currencies:
1. Inflation: Higher inflation in a country means the national currency is losing its value.
2. Economic stability: If the government is economically stable and well established, it attracts more investors. More demand means more supply which also increases the value of the currency.
3. Interest rates: Higher interest rates also indicate high value of the currency.

Traders should keep their attempt running to develop themselves every moment. A cogent effort should be given to turn every day a profitable day and traders who are perseverant can only do that.