If you are big on news driven trades – you need to focus on these best currency pairs to trade during news events. Before you dive in – remember: news trading requires liquid pairs with tight spreads and strong reactions that offer momentum. Brokers like Pepperstone (integrated with TradingView charts) and IC Markets offer optimal conditions for these high-volatility moments.
Below are the top forex currency pairs to trade during events.
These are ranked by news reactivity.
Top 5 Currency Pairs for News Trading
1. EUR/USD
Why? This is the most liquid pair. It reacts sharply to:
- FOMC & ECB rate decisions
- US CPI/Eurozone inflation data
- NFP (Non-Farm Payrolls)
Best Broker for this would be Pepperstone with Raw Spreads of 0.0 pips during news.
2. USD/JPY
Why? This pair enjoys safe-haven flows plus it triggered by Bank of Japan interventions such as:
- US Treasury yield changes
- Fed/BoJ policy divergence
3. GBP/USD
Why? This pair is highly volatile particularly during:
- BoE rate decisions
- UK inflation/US retail sales
- Brexit-related headlines
4. USD/CAD
Why? This pair is significantly reactive to Oil correlation + BOC policy in light of:
- US/Canada employment data
- Crude oil inventory reports
Best Broker: BlackBull Markets (ECN pricing)
5. AUD/USD
Why? This work as a China data proxy in view of:
- RBA meetings
- US/China trade news
- Commodity price swings
Pro Forex News Trading Tips
FAQs
Which currency pair is most volatile during NFP?
EUR/USD and Gold (XAU/USD) – Use brokers like Pepperstone for tight spreads to capitalize.
What is the Best time to trade USD/JPY during the news?
5 minutes after Tokyo/London overlap – Eightcap offers deep liquidity.
How to trade GBP/USD during BoE announcements?
Wait for initial spike (2-3 mins), then trade retracement – AvaTrade has volatility alerts. Avoid over-trading.
Safest currency pair for beginner news traders?
EUR/USD (most predictable) – Pepperstone, TradingView, IC Markets and Admiral Markets offer demo accounts. Please note that no currency pair is safe if you don’t follow a strict trading strategy and risk management plan.
Do all brokers allow news trading?
No – avoid “market maker” brokers. FxPro and XTB offer STP execution.
Final Thoughts
If you are into forex news trading, the EUR/USD and USD/JPY currency pairs dominate. That said, your success as a trader will depend on:
- Forex Trading Mastery (the foundation of everything is getting a solid grasp of the key theory and fundamentals of trading – get a course, buy books, watch reputable forex trading YouTube channels)
- Broker choice (Prioritize Pepperstone or IC Markets for speed).
- Tools (Track releases via TradingView + ForexFactory).
- Risk management – (defensive and consistent risk management not driven by emotions)
Wishing you all the best in your forex trading exploits.
Elias Stroud is a professional forex trader and market analyst with over eight years of experience. His journey began with the common misconception that trading was a get-rich-quick scheme, a path that led to significant early losses. It was this initial failure that forced a pivot towards disciplined, long-term learning and strategy development.
Today, Elias specializes in price action analysis, focusing on identifying high-probability setups without relying on complex indicators. He has cultivated a premium-level trading account, a direct result of his commitment to a structured and professional approach to the markets. Elias is passionate about sharing the actionable insights and foundational principles that helped him transform from a novice to a consistently profitable trader.
For further verification of his professional standing and live trading credentials, please visit the “About Us” page where account confirmation screenshots are provided, along with links to his trusted broker, Pepperstone, and his primary charting platform, TradingView.
