- What are the most promising currency pairs in 2025?
- Which currency pairs to choose according to the investor profile?
- How to buy currency pairs in Singapore?
- 5 tips before buying currency pairs
- FAQ
- On the same topic
The currency pairs market is evolving rapidly, driven by global economic shifts, central bank policies, and heightened geopolitical events. Last year saw notable price swings and renewed volatility across major and minor pairs, capturing the attention of both new and seasoned traders. As many investors seek out the most promising opportunities in 2025, this page provides a clear overview of key assets to watch. Using criteria such as historical performance, market capitalization, growth prospects, volatility, and sector trends, this guide supports informed decision-making for beginners and experienced investors alike.
Attention!
The content provided here is for informational purposes only and does not constitute financial or investment advice. Before investing in commodities, you should conduct your own research, assess the inherent risks, and exercise caution. Ensure that you are aware of and compliant with all applicable regulations, including guidelines from the Monetary Authority of Singapore (MAS). I need to clarify your request. "Currency pairs" refers to forex trading instruments (like EUR/USD, GBP/USD, etc.) rather than a specific stock or company that trades on stock exchanges. Currency pairs are financial instruments used in foreign exchange (forex) trading where you simultaneously buy one currency and sell another. They are not stocks of companies that can be analyzed using traditional stock analysis metrics like P/E ratios, market capitalization, or earnings per share. Could you please clarify: 1. Are you looking for an analysis of a specific currency pair (like EUR/USD, GBP/USD, etc.) in the forex market? 2. Or are you looking for analysis of a specific company stock, and if so, what is the exact company name or ticker symbol? 3. Or are you interested in companies that operate in the forex/currency trading business? Once you provide this clarification, I'll be happy to conduct a detailed analysis with reliable, up-to-date information from trusted sources.
What are the most promising currency pairs in 2025?
Foreign exchange (forex) markets are an essential pillar of global finance, attracting a wide range of individual and institutional investors. In 2025, the most promising currency pairs are distinguished by their trading volumes, liquidity, volatility, and the macroeconomic factors affecting their underlying economies. The pairs selected below are popular for both short-term and long-term strategies given their relevance to international trade, central bank policy shifts, and potential for price movement in dynamic market conditions.
| Currency Pair | Volatility | Liquidity | Correlation with Other Assets | Average Spread (pips) | Trade Volume |
|---|---|---|---|---|---|
| EUR/USD | Medium | Very High | Moderate (risk-on/off) | 0.8 | Very High |
| USD/JPY | Medium | High | High (bonds, equities) | 1.0 | High |
| GBP/USD | High | High | Moderate | 1.2 | High |
| USD/CHF | Low-Med | High | Safe haven | 1.4 | Medium-High |
| AUD/USD | High | High | Commodities (metals) | 1.4 | High |
| USD/CAD | Med-High | High | Oil prices | 1.5 | Medium-High |
| NZD/USD | High | Medium | Agriculture, risk assets | 1.6 | Medium |
| EUR/GBP | Medium | Medium | European risk | 1.4 | Medium |
| USD/SGD | Low-Med | Medium | Southeast Asia exposure | 1.2 | Medium |
| EUR/JPY | High | High | Macro volatility | 1.7 | Medium-High |
EUR/USD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 1.07 USD | Entry price reference for current trades. |
| End-of-year forecast | 1.12 USD | Gauges consensus expectations for year-end moves. |
| Volatility | Medium | Indicates potential profit and risk. |
| Liquidity | Very High | Ensures tight spreads and ease of entry/exit. |
| Average spread | 0.8 pips | Lower costs benefit active traders. |
| Correlation (risk-on/off assets) | Moderate | Reveals impact from equity & bond flows. |
| Main macro drivers | Fed, ECB policies; US/EU inflation | Central banks decisions drive price swings. |
| Trading volume | Highest globally | Active market with deep order book. |
| Investor type | Suitable for all profiles | Adapted to beginners and professionals. |
| Economic calendar sensitivity | High | Releases like NFP/CPI move EUR/USD significantly. |
EUR/USD remains the world’s most actively traded currency pair, prized for its exceptional liquidity and moderate volatility. It responds sharply to monetary policy decisions, economic data, and geopolitical developments in the US and Eurozone.
Its deep market, tight spreads, and integration with global risk sentiment make it a critical instrument for both new and seasoned Singapore-based traders looking for consistent market opportunities.
USD/JPY
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 156 JPY | Provides pricing for trade planning. |
| End-of-year forecast | 153 JPY | Reflects analyst expectations amid BOJ/Fed moves. |
| Volatility | Medium | Helps estimate risk exposure. |
| Liquidity | High | Facilitates smooth execution, even for large trades. |
| Average spread | 1.0 pips | Moderate trading cost. |
| Correlation with bonds/equities | High | JPY often reacts to global risk sentiment. |
| Main macro drivers | US/Japan rates; BOJ intervention | Monetary divergence creates opportunity. |
| Trading volume | High | Active Asian/US sessions. |
| Investor type | Suits hedgers, speculators | Valued for use in risk-off market periods. |
| Economic calendar sensitivity | High | US/JP releases and BOJ speeches move the pair. |
USD/JPY is highly sensitive to changes in US and Japanese interest rates as well as shifts in risk appetites, making it an important choice for traders seeking exposure to Asia-Pacific and global macroeconomic themes.
Its correlation with US bond yields and frequent volatility spikes around policy meetings create regular trading setups for those monitoring macro trends.
GBP/USD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 1.28 USD | Important for trade entries and exits. |
| End-of-year forecast | 1.34 USD | Projects expected UK/US economic divergence. |
| Volatility | High | Offers potential for larger short-term moves. |
| Liquidity | High | High availability for trade execution. |
| Average spread | 1.2 pips | Modest cost for most strategies. |
| Correlation with Brexit/news | Moderate | Fast response to UK politics and data. |
| Main macro drivers | UK inflation, BoE/Fed policy | Policy divergence drives direction. |
| Trading volume | High | Many participants ensure tight spreads. |
| Investor type | Suits active traders | Attracts those seeking volatility with liquidity. |
| Economic calendar sensitivity | Very High | Moves sharply on UK/US data releases. |
GBP/USD draws considerable interest for its large swings and strong response to economic and political news in both the UK and US. In 2025, evolving UK monetary policy and post-Brexit adjustments provide additional catalysts.
This pair can be suitable for traders in Singapore aiming for directional trades around major news and events due to its sharp reactions and sizable volume.
USD/CHF
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 0.91 CHF | Sets reference for US/Swiss exchange rate. |
| End-of-year forecast | 0.89 CHF | Swiss franc seen as a safe haven during turbulence. |
| Volatility | Low-Medium | Often steadier moves; lower risk in calm markets. |
| Liquidity | High | Enables large positions, useful to institutional traders. |
| Average spread | 1.4 pips | Tight cost for longer-term holds. |
| Correlation with risk events | High safe-haven quality | CHF strengthens during global risk-off events. |
| Main macro drivers | SNB interventions, US/Swiss rates | Swiss National Bank often manages currency. |
| Trading volume | Medium-High | Reliable execution in most market conditions. |
| Investor type | Defensive, risk-averse investors | Useful for hedging; popular in risk-off periods. |
| Economic calendar sensitivity | Medium | Reacts to Swiss and US inflation data. |
USD/CHF’s reputation as a safe-haven vehicle appeals to those managing geopolitical risk or seeking diversification. Its steadier characteristics may interest investors preferring lower volatility.
It is often actively watched during times of global market uncertainty, serving as both a trading vehicle and a hedging tool.
AUD/USD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 0.68 USD | Foundation for positions in commodity currencies. |
| End-of-year forecast | 0.72 USD | Outlook hinges on global commodity demand. |
| Volatility | High | Greater movement; appeals to short-term traders. |
| Liquidity | High | Smooth execution, even in volatile periods. |
| Average spread | 1.4 pips | Reasonable cost for widespread use. |
| Correlation with metals | High | Australia’s exports link AUD to commodity cycles. |
| Main macro drivers | RBA policy, China data, commodity prices | Direct exposure to Asia-Pacific growth trends. |
| Trading volume | High | Active during Asia and US overlap. |
| Investor type | Commodity trend traders | Attractive for those trading on global growth. |
| Economic calendar sensitivity | High | Sensitive to Chinese and Australian data. |
AUD/USD reflects trends in commodities, especially metals, making it a favoured asset for traders attuned to resource and Asia-Pacific economies. Price swings are particularly sensitive to Chinese demand and Reserve Bank of Australia moves.
Traders in Singapore often use this pair to express views on fluctuating commodity cycles or to exploit volatility arising from macroeconomic shifts.
USD/CAD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 1.36 CAD | Entry point for US-Canadian trade. |
| End-of-year forecast | 1.32 CAD | Closely linked to oil price and trade dynamics. |
| Volatility | Medium-High | Can exhibit notable moves on oil market shifts. |
| Liquidity | High | Popular for North American trade exposures. |
| Average spread | 1.5 pips | Manageable cost for multiple strategies. |
| Correlation with oil prices | High | CAD rises and falls with crude price changes. |
| Main macro drivers | BoC/Fed, oil, trade balances | Ideal for expressing views on energy markets. |
| Trading volume | Medium-High | Good depth most trading hours. |
| Investor type | Energy-sensitive traders | Favored by those watching oil and trade news. |
| Economic calendar sensitivity | Medium | Responds to oil and rate decisions. |
USD/CAD offers direct exposure to North American growth and commodities, making it relevant to those seeking to capitalize on oil price fluctuations and monetary divergence between Canada and the US.
With Singapore’s trade links to North America, this pair is noteworthy for portfolio diversification and hedging resource exposure.
NZD/USD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 0.62 USD | Key value in Asia-Pac commodity currencies. |
| End-of-year forecast | 0.65 USD | Projection reflects agriculture and global risk. |
| Volatility | High | Offers opportunities for momentum trading. |
| Liquidity | Medium | Sufficient for active but not high-frequency trades. |
| Average spread | 1.6 pips | Higher costs factored into profit margins. |
| Correlation with risk trends | High | NZD is considered a “risk-on” asset. |
| Main macro drivers | RBNZ policy, commodity prices, China demand | Economically linked to Asia-Pac demand. |
| Trading volume | Medium | Heaviest during Asia-Pacific hours. |
| Investor type | Growth and risk-on traders | Used by those focused on changing global risk appetite. |
| Economic calendar sensitivity | High | Reacts to RBNZ moves and global market news. |
NZD/USD stands out for its higher volatility and correlation with commodity and risk cycles. It reflects macro developments in Asia-Pacific and is commonly traded by those seeking momentum plays.
This pair is interesting for Singapore-based traders who monitor shifts in global risk appetite and international trade flows.
EUR/GBP
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 0.84 GBP | Sets rate for European cross-trades. |
| End-of-year forecast | 0.88 GBP | Reflects EUR/GBP view amid post-Brexit adjustment. |
| Volatility | Medium | Consistent moves for tactical positioning. |
| Liquidity | Medium | Enough for retail and small institutional trades. |
| Average spread | 1.4 pips | Standard among European crosses. |
| Correlation with Euro area news | High | Sensitive to both EU and UK economic releases. |
| Main macro drivers | ECB/BoE policy, trade flows | Central banks set the tone for volatility. |
| Trading volume | Medium | Active during European hours. |
| Investor type | European event traders | Suited for those trading on political headlines. |
| Economic calendar sensitivity | High | Moves on ECB/BoE speeches/data. |
EUR/GBP is a Eurozone-UK benchmark, frequently moving on economic news and political changes. This cross is used to express views on European convergence/divergence.
Singapore investors looking for non-USD diversification in currency pairs often use EUR/GBP to trade European news and monetary policy events.
USD/SGD
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 1.35 SGD | Key for Singapore-based holdings and hedging. |
| End-of-year forecast | 1.32 SGD | Closely watched by local corporates and individuals. |
| Volatility | Low-Medium | MAS intervention maintains stability. |
| Liquidity | Medium | USD/SGD is accessible for regional needs. |
| Average spread | 1.2 pips | Reasonably tight; good for daily transactions. |
| Correlation with USD index | High | Movement reflects broader USD trends. |
| Main macro drivers | MAS policy, global risk, trade balance | Singapore policy determines range and moves. |
| Trading volume | Medium | Well-suited to local business hedging. |
| Investor type | Hedgers, local investors | Widely used for SGD exposure management. |
| Economic calendar sensitivity | Low-Medium | Less reactive than G7 pairs, but important locally. |
USD/SGD is particularly relevant for Singapore-based investors, corporates, and funds seeking exposure to global markets via the local currency. It is a vital instrument for hedging and managing SGD exposure.
The pair tends to move within narrow bands, influenced by MAS policy and regional capital flows, offering stability and predictability.
EUR/JPY
| Criterion | Description | Why it matters |
|---|---|---|
| Current price (August) | Around 167 JPY | Reference for major European/Asia trades. |
| End-of-year forecast | 172 JPY | Projections based on monetary divergence. |
| Volatility | High | Strong movements suit active trading strategies. |
| Liquidity | High | Fast execution and minimized slippage. |
| Average spread | 1.7 pips | Slightly higher cost, offset by volatility. |
| Correlation with Euro/Asia markets | High | Moves on both EU and Japanese market news. |
| Main macro drivers | ECB vs. BOJ policy, global growth | Policy divergence triggers large moves. |
| Trading volume | Medium-High | Sought after for cross-region trades. |
| Investor type | Event/volatility traders | Fits those searching for large price swings. |
| Economic calendar sensitivity | Very High | Moves during both EU and JP data releases. |
EUR/JPY is one of the most active cross pairs outside of USD, serving as a barometer for European, Japanese, and global macro signals. Its frequent, pronounced price moves attract those looking for volatility-driven strategies.
This pair is frequently watched by Singapore market participants seeking diversified exposure to G10 currencies, rate divergence strategies, or active event trading.
Compare the best Forex brokersCompareWhich currency pairs to choose according to the investor profile?
Choosing which assets to trade in the currency pairs market depends on your individual profile, investment goals, and level of experience. Beginners may prefer major pairs that are more stable and easier to understand, while experienced investors might seek new opportunities in less common or more volatile pairs. Identifying your comfort level with risk and understanding the market’s dynamics are key to selecting suitable assets for your portfolio.
| Investor Profile | Recommended Assets |
|---|---|
| Beginner | Major currency pairs (e.g., EUR/USD, USD/SGD, GBP/USD) |
| Intermediate | Select cross pairs (e.g., EUR/JPY, AUD/NZD) |
| Experienced | Exotics and emerging market pairs, or applying advanced trading strategies |
Good to know
Beginners are encouraged to start with a small budget, allowing for gradual learning and experience building in the currency pairs market without taking on excessive risk.
How to buy currency pairs in Singapore?
Buying financial assets has become much more accessible, thanks to a range of secure and regulated online platforms. By following a few essential steps, you can invest confidently while ensuring your money and assets remain protected at every stage.
| Step | Description |
|---|---|
| Choose a reliable exchange or broker | Look for platforms that are well-established and regulated in Singapore. |
| Create an account and verify identity | Sign up and complete identity verification, which is required for security and regulatory compliance. |
| Deposit funds | Add money to your account using a bank card or a wire transfer. |
| Purchase desired assets | Select and buy your chosen stocks, ETFs, cryptocurrencies, or other assets. |
| Secure their storage | Use a securities account (for stocks/ETFs) or an external wallet (for cryptocurrencies) to keep assets safe. |
Good to know
In Singapore, gains from financial asset trading may be subject to taxation depending on your circumstances. It’s important to keep clear records of all your transactions for tax reporting and personal tracking.
5 tips before buying currency pairs
Before buying currency pairs, it is important to follow certain recommendations to protect yourself from unnecessary risks and make more informed decisions. The foreign exchange market (forex) can be complex and fast-moving, especially for beginners. Having a clear plan and being aware of key precautions can help you trade with greater confidence and financial safety in Singapore.
| Tip | Explanation |
|---|---|
| Check MAS regulation | Always choose brokers and platforms regulated by the Monetary Authority of Singapore (MAS) for your safety. |
| Start with a demo account | Practise with a virtual account first to understand how trading works before using real money. |
| Only use funds you can afford to lose | Set a limit and never trade with money needed for essential daily expenses. |
| Learn the basics and stay informed | Invest time in learning about forex and regularly follow market news that could affect currency values. |
| Keep records of all your trades | Accurate records help you track your progress, manage your taxes, and evaluate your trading strategy over time. |
FAQ
What is the best opportunity to trade in currency pairs in 2025?
Opportunities in currency pairs trading change quickly and are influenced by economic events, interest rates, and global news. While the market can be dynamic, it’s important to stay updated and avoid relying on “hot tips.” Being adaptable helps you identify timely and relevant trades.
How can I tell if a currency pair is promising?
A promising currency pair often has strong liquidity, clear price trends, and is influenced by significant events or policies. Monitoring economic calendars and news can give you insight, but there’s no certainty—careful analysis and understanding of risks are necessary.
What strategy should I adopt for investing in currency pairs in 2025?
A balanced approach is key: start with small amounts, diversify your trades, and use stop-loss tools to manage possible losses. Regularly review your trading plan and adjust it as you gain experience or as market conditions shift.
Is currency pairs trading suitable for beginners in Singapore?
Currency pairs trading is open to beginners, but it can be complex. Starting with educational resources, practising on demo accounts, and using regulated platforms in Singapore can help reduce risks as you learn.
What are the main risks when investing in currency pairs?
Currency pairs trading involves price volatility, leverage risks, and sometimes unexpected global or regional events. Although there is potential for gains, it’s essential to be realistic, to keep learning, and to limit your exposure to avoid large losses.
What is the best opportunity to trade in currency pairs in 2025?
Opportunities in currency pairs trading change quickly and are influenced by economic events, interest rates, and global news. While the market can be dynamic, it’s important to stay updated and avoid relying on “hot tips.” Being adaptable helps you identify timely and relevant trades.
How can I tell if a currency pair is promising?
A promising currency pair often has strong liquidity, clear price trends, and is influenced by significant events or policies. Monitoring economic calendars and news can give you insight, but there’s no certainty—careful analysis and understanding of risks are necessary.
What strategy should I adopt for investing in currency pairs in 2025?
A balanced approach is key: start with small amounts, diversify your trades, and use stop-loss tools to manage possible losses. Regularly review your trading plan and adjust it as you gain experience or as market conditions shift.
Is currency pairs trading suitable for beginners in Singapore?
Currency pairs trading is open to beginners, but it can be complex. Starting with educational resources, practising on demo accounts, and using regulated platforms in Singapore can help reduce risks as you learn.
What are the main risks when investing in currency pairs?
Currency pairs trading involves price volatility, leverage risks, and sometimes unexpected global or regional events. Although there is potential for gains, it’s essential to be realistic, to keep learning, and to limit your exposure to avoid large losses.
On the same topic
