That’s right, I said a single currency, not pair. Most frequently forex traders focus on one the pairs, but they miss plenty of other trading positions on other pairs. There’s a sweet spot, however, and it is possible to focus on one currency of several pairs. One EA developers have decided to do that and made GBPBOT. This EA focuses all on the GBP currency and its pairs. The edge that it gives may not be immediatelly obvious, however. Of course, traders are used to trade the pairs, not single currencies (that doesn’t even sound right), so why target one now?
The answer is found in the concept of relationship between different pairs. You see, the pairs with the same currency is involved are related and act in a similar way. That’s to say, if one pair is moving in one direction, others that inculde the same currency might be moving in the same direction too. However, that may not be that obvious so we use that relationship. And you can see where it’s useful for currency trading EA creation.