The forex market can be described as a decentralized market that sees currencies traded daily except on Saturdays and Sundays. It is currently the currency market that dictates the various currency values. Every currency has its own name but it is easier to recognize based on the ISO code use. ISO stands for International Standards Organization and it assigns each currency a code of three letters. The currency codes list that features all of them is ISO 4217. This is basically the standard in all the finance markets in the world.
History of Currency Symbols
The forex market started forming in the seventies. That was when different countries started to progress towards exchange rates changes. The ISO Technical Committee decided in 1973 to develop different codes that would represent funds and currencies in trading, commerce and banking. After 5 years the three-letter codes were decided and were listed in ISO 4217.
ISO 4217 and Forex Trading
ISO 4217 stands out as an international standard and the codes were put together by ISO. The currency symbols that have been decided are also a standard in international airline and train tickets. Price ambiguity was completely eliminated thanks to this standardized approach to currency values.
You should also know that there is a 3-digit code that was also assigned to every single currency in ISO 3166. As an example, the US dollar has the digit code 840 and the letter code USD. If you want to know the digit codes for other currencies you will need to look in the ISO 3166 list.
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Most Common Currency Symbols Used
The forex market can trade all currencies but there is a big chance you will not want to learn all. The most popular currencies are traded more often and you need to know their currency Symbols. The most common currency symbols used are USD (US Dollar), GBP (British Pound), EUR (European Currency Unit), AUD (Australian Dollar), CHF (Swiss Franc), JPY (Japanese Yen), NZD (New Zealand Dollar) and CAD (Canadian Dollar).
As time passed we saw many currencies that were discontinued or created. Such a change will happen due to different factors and currency revaluations tend to happen because of inflation or different treaties that see countries agreeing to use one currency as standard. Because of this fact we saw ISO 4217 being modified whenever needed. It is SIX Interbank Clearing that has the responsibility of maintaining and modifying the symbols list, SIX Interbank Clearing is a maintenance agency of ISO 4217.