Backtest EUR/USD for free
EUR/USD is the most traded currency pair in the world. It has deep liquidity, tight spreads and tends to respect clear levels, which is why most traders start here.
EUR/USD at a glance
- Pip: 0.0001
- Pip value (1 standard lot): about $10
- Busiest: London open and the London and New York overlap
- Moves on: ECB and Fed decisions, US jobs and inflation data
How EUR/USD behaves
Spreads are among the lowest in forex and moves are usually smooth, with clear swings and retests. It can drift slowly in the Asian session and wake up at the London open.
What moves EUR/USD
- European Central Bank and US Federal Reserve decisions and the gap between their interest rates
- US data: jobs (Non-Farm Payrolls), inflation (CPI) and retail sales
- Euro area inflation and PMI business surveys
Tips for backtesting EUR/USD
- Test the London open and the overlap separately
- Mark the previous day high and low and the Asian range before each replay day
- On US data days, backtest what happens in the hour around the release before you trade it
Frequently asked questions
What is the best time to trade EUR/USD?
The London open and the London and New York overlap (about 07:00 to 16:00 UTC in summer) have the most movement and the lowest costs. Confirm it with your own backtest.
How big is a pip on EUR/USD?
One pip is 0.0001. For a standard lot (100,000 units) it is worth about $10, so a 20 pip stop on 0.5 lots risks about $100.