THE AUD/USD rate is composed of the Australian Dollar "base currency" and the US Dollar "quote currency".
The Australian Dollar/US Dollar (AUD/USD) exchange rate reflects the relation of the Australian Dollar against the US Dollar (1 AUD per x USD) . For example, if the AUD/USD quotes at 0.9000, then 10,000 Australian Dollars would equal 9000 US Dollars (because 10,000 x 0.9 = 9000). It simply means that 1 Australian Dollar buys you 0.9 US Dollars.
Trading Characteristics Of The AUD/USD
One of the most popular currency pairs on the spot market (5%).
Typical forex broker spread: 2-4 pips
Most active trading sessions: Sydney, London and New York
5 Year Average Daily Range: 127 pips
Who trades the Australian Dollar vs US Dollar? Central banks, financial institutions, retail traders,...
AUD/USD Forex Trading Tips:
Recommended level of forex experience: Advanced
Best trading sessions for daytraders: London and New York
Worst times to trade: Holidays and before major economic news events
Most common used AUD/USD forex charts: Daily, 4 Hour and 1 Hour