Common currency pair types are majors, minors and exotics. Exotic currency pairs include a major currency and a less traded currency or an emerging market economy currency. Examples: AUD/USD, EUR/USD or USD/JPY.
The foreign exchange market is the largest trading market in the world. According to the Bank for International Settlements (BIS), global foreign exchange trading volume reached $6.6 trillion per day in April 2019 and continues to grow.
Compared with other financial markets such as stocks and bonds, the foreign exchange market has the advantages of 24-hour uninterrupted trading, fair and transparent pricing, high liquidity, and low transaction costs.