Among your fellow trading community, you might come across some nicknames or slang for trading. You need to prepare yourself so you know what your peers are talking about, and for your own personal trading education, too. You might hear something such as, “I’m going short 5 lots in cable, what are you thinking?” Would you rather have no idea what that means, or would you want to know what your peer is talking about?
In the sentence above, “cable” is referring to the currency pair GBP/USD. And let’s face it, with this knowledge, you might not only impress others but also encourage them to deepen their own education. The two currency pair nicknames that get used the most, is cable and fibre. We’ve already identified cable as being a code word for GBP/USD, so let’s start with that first. GBP/USD Cable: Way back in the mid 19th century, the exchange rate between the British pound sterling (GBP) and the U.S. dollar (USD) was actually transmitted across the Atlantic Ocean via submarine cable. The first cable between the London and New York exchanges was set in 1858 and the rest is history!!
EUR/USD Fiber: In 1999, the Euro was introduced to the Forex industry. Although it doesn’t have quite the same chain of history GBP holds, it’s why it was named fibre to go alongside cable because it was upgraded with fibre optic lines.
Some other nicknames to go along with currency pairs are:
AUD/USD Aussie: Otherwise known as the “Aussie Dollar.”
NZD/USD Kiwi: They call this currency pair “kiwi” because the New Zealand national symbol is the Kiwi Bird.
USD/CHF Swissy: “Euro-Swissy”
USD/CAD Loonie: They call this currency pair “loonie” because the Canadian dollar has a picture of a loon on it.
GBP/JPY Guppy: this currency pair is called guppy because it is simply the combination of the first letters of GBP and the last letters of JPY. It can also be less commonly known as a gopher.
EUR/JPY Yuppie: They call this currency pair “yuppie” because if you take the first two words of EUR and the last two of JPY and you get EUPY and a P in between.
EUR/GBP Chunnel: They call this currency pair “chunnel” because of the abbreviation of the Chunnel Tunnel connecting Britain to France.
USD/JPY Ninja: They call this currency pair “ninja” for obvious reasons!
The Apiary Fund is where I first started to explore what some of the currency pair nicknames meant. I was in a community forum along with other Apiary Fund traders and I ran across the nickname Fiber, and I was immediately confused. I hope this cheat sheet helps you guide your way through trading terminology!