Best Currency Pairs for Forex Expert Advisors: EURUSD, GBPUSD, USDJPY, EURGBP and Gold Compared

Why the pair matters to an EA

An EA is a set of rules, and rules fit certain price behaviour. A breakout rule needs markets that sometimes run. A mean-reversion rule needs markets that return to an average. A scalping rule needs spreads small enough that costs do not eat the target. Different pairs offer different mixes of these properties. The pair also decides the pip value, the margin, the sessions in which it is active and the news that moves it.

The main pairs compared

These are general tendencies, not guarantees, and conditions change over time. Check the live spread and recent range at your broker, and do not trust a table, including this one, over your own data.

EURUSD and GBPUSD

EURUSD is the usual first choice. Spreads are the lowest a retail broker offers, liquidity is deep and orders are filled quickly, which helps scalpers and short-term EAs. Moves are moderate, so stop losses can be modest. Our EURUSD guide covers sessions, pip value in euros and settings.

GBPUSD, often called cable, moves further and reacts sharply to UK data and Bank of England decisions. That helps breakout EAs, and it hurts those with narrow stops, because noise is bigger. Position sizes should be smaller than on EURUSD for the same stop in pips, because each pip is worth the same but the typical move is larger.

USDJPY

USDJPY tends to follow differences in interest rates between the United States and Japan, and it can trend for long stretches. That suits trend and swing EAs. Its quoting convention is different: a pip is the second decimal place, and pip value per lot is quoted in yen, converted to your account currency. A euro account will see small differences in pip value as both the yen and the euro move against the dollar. Use the pip value calculator to be sure.

Range-bound crosses: EURGBP, AUDNZD, AUDCAD, NZDCAD

Some crosses spend long periods moving in a band. That is why many grid and mean-reversion EAs, including multi-pair systems, trade pairs such as AUDNZD and NZDCAD. In a range these strategies collect many small gains. In a trend they add to losing positions. A move that breaks the band can hurt for a long time. Spreads are wider than on majors, which matters more for short targets. Treat grid EAs on these pairs with the caution described in grid and martingale risks, and cap the number of levels.

Gold (XAUUSD)

Gold is not a currency pair, but it is the market many EAs are built for. It moves far more than the majors, spreads widen in news and the value per lot is large. It needs an account and lot size that fit those facts. See how to choose a gold EA and XAUUSD EA settings.

How to choose a pair for your EA

1. 1

   Step 1: Start with the author's recommendation

   Use the pair and timeframe named in the manual. They are the ones the EA was designed and tested on.

2. 2

   Step 2: Check the cost against the target

   Compare the spread and commission with the EA's typical profit target. If costs are a large share, choose a cheaper pair or a different EA.

3. 3

   Step 3: Check your risk in money

   Compute the loss at the stop in euros for the pair. Use the lot size calculator.

4. 4

   Step 4: Check the sessions

   Make sure the EA's active hours fit when the pair is liquid, in server time.

5. 5

   Step 5: Backtest on your broker's data

   Run real ticks with your costs. See the Strategy Tester settings guide.

6. 6

   Step 6: Avoid stacking correlated pairs

   Running EAs on EURUSD and GBPUSD at once is closer to one bet than two. See portfolio risk.

Pip value and margin by market, in euros

Pip values and margin differ between markets and change with the exchange rate. The table uses round illustrative numbers for a euro account, a 0.10 lot, EU retail leverage and EURUSD at 1.15. Check your broker's specification for the real figures.

The point of the table is relative, not absolute. A 0.10 lot of gold moves about ten times as much per unit of price as a 0.10 lot of EURUSD moves per pip, so identical lot sizes do not mean identical risk. Always size from the stop distance in euros, as in the lot size calculator.