On the global forex market, the USD to CZK pair is one of the less popular currency pairs. However, it still offers significant opportunities that interested traders could capitalise on. As a minor pair, it combines the widespread popularity and strength of the US Dollar (USD) with the smaller Czech Koruna (CZK) – the 27th most-traded currency in the world, based on April 2019 daily averages.
Due to the Czech Republic’s geographical position in central Europe, it’s more common for CZK to be traded in the EUR to CZK pair. But forex investors – particularly more experienced ones – can make significant gains with the USD to CZK pair. The lower trading volume can make trade patterns easier to spot, while there are also opportunities to develop new strategies.
It can also be a feature of less popular pairings such as the USD to CZK pair that it only attracts investors of a certain level of experience. As such, the profit-making potential can be far higher.
The USD to CZK pair might only be a short-term opportunity for traders, however. As a member state of the European Union (EU), the Czech Republic will adopt the Euro at some point – but no target date has yet been set. While this will mean CZK will eventually disappear from the global forex market, there is still time for traders to explore the potential of this exotic pairing.