The Australian Dollar (AUDUSD), the Australian Dollar (AUD) and the New Zealand Dollar (NZDUSD) are the most popular international currency traded on the world market. Most traders who trade in these markets also trade in the US dollar (USDCAD). Traders use these three currencies interchangeably. They have been trading these markets for years and decades.
These are two of the more popular and often-favored (in comparison to their Canadian cousins) trading currency pairs in the world today. The other two currency pairs that are commonly exchanged include the British pound (GBPUSD), the Swiss franc (CHFUSD), the Euro (EURUSD) and the Japanese yen (JPYUSD). If you have an account at a prominent online broker that does convert between the major pairs of these three major currencies, then you should be able to receive your AUS, NZD, and GBPUSD quote currency pair in the currency of your choice almost instantly when you place orders.
The US dollar is the standard against which all other currencies are measured in Australia, Canada and the United Kingdom. This means that the AUDUSD is usually stronger than the other two currencies. The main trading reason for this is the strength of the American economy. In recent times, the US dollar has strengthened significantly versus many other currencies, including the Australian dollar, which can only mean one thing – the Australian dollar is stronger against the US dollar.
The euro, Swiss franc, Canadian dollar, and Japanese yen are traded back and forth between the United States, Great Britain, Australia, and Japan. As can be expected, the euro and the Swiss franc are the most frequently traded currencies in the world. As can be expected, the Australian dollar is the second most frequently traded currency against the other currencies. Trading between the currencies is done in the form of buying or selling transactions between different individuals or companies on the Forex market. It is the ability to trade between the different currencies that makes the Forex market so valuable.
There are a couple of different ways to trade between the Australian dollar, the euro, the Swiss franc, and the Japanese yen. The most common way is to exchange AUS dollars for NZD, or vice versa. A lot of people do this because they have a friend or family member that lives in Japan or Australia and wants to send money there in order to use their credit cards. You can do this as well, but unless you know the person intimately, it may take some time to arrange the exchange. There is also the option to open an account with a brokerage firm that will allow you to convert your current currency into the quote currency of your choice.
If you are interested in trading between the US dollar and the Australian dollar, the EURUSD is the currency that you will want to use. The Euro is the second most commonly traded currency against the US dollar, but the Australian dollar has recently surpassed the US dollar. This rise in the Australian dollar has made it more financially useful to convert to the Euro. If you are looking to get a cheap rate, or to hedge a position in case the US dollar weakens against the Euro, then the EURUSD is the currency that you want to be trading in.
As with trading between the US dollar and the Euro, the Swiss franc is the second most commonly traded currency between the US dollar and the Australian dollar. The Swiss franc is similar to the Euro in many respects but has slightly lower rates. If you are going to be exchanging between the Euro and the Swiss franc, you will probably find that the Euro is the better deal. If you do decide to exchange from the Swiss to the Euro, however, you should be prepared for higher transaction fees.
As with trading between the US dollar and the Euro, the Australian dollar can also be traded between the Euro and the Australian dollar. Like the Euro, the AUSUSD is currently the second most heavily traded currency pair in the world, behind only the Swiss franc. Like the Euro, the AUSUSD can be used as a hedge against the Swiss franc, and can be used to obtain a good rate when the Swiss dollar drops against the Euro. You can purchase this kind of currency online from any number of sources. Be sure to check out a wide range of options before making your decision.