The 10 Most Traded Currencies in 2018

The 10 Most Traded Currencies in 2018

Wondering which currencies are the most traded in 2018? We got you covered. As avid forex traders we are always keeping an eye on the forex market and evaluating daily, monthly, and yearly turnovers which means we usually always know what the most traded currencies on the market are.

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The 10 Most Traded Currencies in 2018?

Not much has changed on this year’s top ten list compared to last year’s list. In fact, the list consists of the same ten currencies this year as it did last year and there are only two currencies that have switched place.

So what are the most traded currencies of 2018? Let us take a closer look. Note that the total volume is 200 percent and not 100 percent since foreign exchanges always include two currencies.

  1. United states Dollar (USD)
  2. Euro (EUR)
  3. Japanese Yen (JPY)
  4. British Pound Sterling (GBP)
  5. Australian Dollar (AUD)
  6. Canadian Dollar (CAD)
  7. Swiss Franc (CHF)
  8. Chinese Yuan (CNY)
  9. Swedish Krona (SEK)
  10. Mexican Peso (MXN)

Lets take a close look at them.

1. United States Dollar (USD)

It should come as no surprise that the USD is the most traded currency since it’s always the most traded currency by large margins. This is obviously due to the USD’s incredible influence in the world and the fact that most people have some connection to it. So far in 2018, the USD has represented close to 90 percent of the daily trading volume with an average turnover of 4,500 billion dollars.

2. Euro (EUR)

The euro comes in second place just like last year which is mostly due to the size of the region where it is used. People tend to trade currencies that they are familiar with which means most Europeans prefer to trade the euro over other currencies. In terms of market share, the euro represents just over 31 percent with an average turnover of 1,500 billion dollars.

3. Japanese Yen (JPY)

The Japanese yen has been the most traded currency in Asia for decades and continues to top the list of the most traded currencies in the world as well. It’s a versatile currency that’s often traded with USD, EUR, and GBP, but also other smaller Asian assets. In 2018, the JPY represented 21 percent of the trading volume and averaged just above 1,000 billion dollars.

4. British Pound Sterling (GBP)

For hundreds of years, the British empire ruled the world and so did the sterling pound. Even though the GBP has since lost its crown as the most influential currency in the world, it does always qualify as one of the top five most traded currencies. The British currency represents 12 percent of the total volume and an average turnover of 650 billion dollars.

5. Australian Dollar (AUD)

In fifth place on the list of the most traded currencies, we find the Australian dollar. Its dominance over Oceania and large parts of Southern Asia is the reason for its popularity. However, compared to the first four currencies on this list, its influence is very small. The AUD represents close to 7 percent of the market with an average turnover of 353 billion dollars.

6. Canadian Dollar (CAD)

As the second most influential economy in North America and one of the most stable economies in the world, the CAD earns a well-deserved spot on this list. Although, compared to its older brother the USD, its average volumes are small. The CAD stands behind roughly 5 percent of the market and has an average turnover of 261 billion dollars.

7. Swiss Franc (CHF)

The Swiss franc has always been a popular currency to trade thanks to the currency’s stability and the country’s reputation as a leading banking region. However, it did use to rank higher on the top 10 list only a few years ago before the AUD and the EUR started changing things around. Today, CHF represents just under 5 percent of the market and has an average turnover of 243 billion dollars.

8. Chinese Yuan (CNY)

Some people might be surprised that the Chinese currency isn’t higher on this list since it belongs to the second biggest economy in the world. The reason for this has to do with China’s past as a communist nation and the fact that the currency has been restricted from trading for a long time. So far in 2018, the CNY has been responsible for 4 percent of the trading on the foreign exchange market with a turnover of 202 billion dollars.

9. Swedish Krona (SEK)

The SEK is one of the smallest currencies to qualify for any of the top lists of the most traded currencies, but there is a good reason for its position. As one of the more stable European currencies, it shouldn’t come as a surprise that the SEK is popular on the forex exchange. Also, the SEK is the only currency to climb on this list since 2017, pushing the MXN down to the 10th spot. The SEK represents 2.22 percent of the market and has an average turnover of 113 billion dollars.

10. Mexican Peso (MXN)

As mentioned, the Mexican peso has actually fallen a spot since last year, but only ever so slightly. In fact, so far in 2018, the MXN has been trailing just after the SEK representing 2.21 percent of the market and an average turnover of 112 billion dollars. For the remainder of the year, the MXN has a good chance of reclaiming its space from the SEK especially after the latest trade deal with the United States.

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