Forex Pairs Volatility Statistics

In this post, we explore the intricacies of forex pairs volatility based on statistical data gathered as of July 2021. From identifying the most volatile currency pairs to understanding the factors influencing their fluctuations, we delve into a comprehensive analysis of the dynamic nature of the forex market.

Statistic 1

"The most volatile forex pairs (forex pairs with the highest daily range) as per 7/2021 are GBP/USD, EUR/AUD, and GBP/JPY."

Statistic 2

"On average, EUR/USD is the least volatile major currency pair, with an average daily range of 0.9%"

Statistic 3

"Generally, forex pairs are most volatile when shifting market sentiment or major news events affect the currencies involved."

Statistic 4

"The AUD/JPY has an average daily range of 100 pips, making it a moderately volatile forex pair."

Statistic 5

"The US 500 index is typically the most correlated with forex pairs volatility, with a correlation of 0.86."

Statistic 6

"Typically, the forex market experiences the highest volatility from 1:00 to 2:00 GMT."

Statistic 7

"The average daily volatility of EUR/USD is 65 pips."

Statistic 8

"The average daily volatility of GBP/JPY is 151 pips, the highest among major forex pairs."

Statistic 9

"Currency pairs involving emerging markets currencies tend to have higher volatility than those involving major economies."

Statistic 10

"High impact economic news raises the volatility of forex pairs by an average of 30%."

Statistic 11

"Among the exotic pairs, USD/ZAR experiences high volatility with a daily range of 809 pips."

Statistic 12

"EUR/CHF is historically one of the least volatile currency pairs with an average range of only 35 pips."

Statistic 13

"The USD/JPY is moderately volatile, with a daily range of approximately 50-100 pips."

Statistic 14

"Historically, exotic pairs have the highest ATR volatility, with GBP/ZAR and EUR/ZAR at the top, exceeding 2000 pips average true range (ATR) value."

Statistic 15

"EUR/USD commonly experiences peak volatility between 0600 and 1800 GMT."

Statistic 16

"The daily volatility of CAD/JPY is approximately 0.88%"

In conclusion, the analysis of forex pairs volatility reveals key trends and factors influencing market movements. Currency pairs such as GBP/USD, EUR/AUD, and GBP/JPY are identified as the most volatile, with notable average daily ranges. Market sentiment and major news events contribute significantly to volatility, particularly impacting pairs involving emerging market currencies. Understanding the correlation between the US 500 index and forex pairs volatility can provide valuable insights for traders. Additionally, the timing of peak volatility, the influence of high-impact economic news, and the historical volatility patterns of various currency pairs offer strategic considerations for navigating the forex market effectively.