What is a pair? What are they affected by?
Parities are affected by various effects and as a result fluctuations occur in exchange rates. Political environments and economic conditions of countries are the factors that have the greatest impact on that country's currency. In other words, that currency gains value in a political and economic stability. In the opposite case, there is a depreciation in the country's currency. Apart from that, the monthly does not affect the coloring pages of the size of its eternal size. If the political and economic stability is the base currency, an upward (buying) move is expected in that parity, and the currency with the opposite (leg) currency, a downward (selling) movement is expected in that parity.
Major Parities We call the major parities the pairs formed by the most traded currency types in the world. For example, we can give EURUSD, USDCHF, USDJPY, GBPUSD parities.
Minor Parities Minor pairs are the pairs formed by a major and a minor currency.Minor pairs are generally in demand locally. We can give USDTRY, EURTRY as an example of minor parities.
How Is It Calculated? Parity is the ratio of two different countries' currencies to each other. In this context, we can reach the price of a new pair by using two different pairs.
For example; Euro \ Dollar: 1,10
Pound \ Dollar: 1.50; By dividing these two parities (Euro \ Dollar / Pound \ Dollar), we can reach the value of 0.7333, that is, the price of the Euro \ Pound parity.