The EUR/USD currency pair is one of the most widely traded and active currencies on the forex market. This currency pair is unique when compared to other currency pairs because it is the only one that has the U.S. dollar as the quote currency or denominator. This means that the dollar is always the second currency listed and is always the one that is quoted in terms of how much of the first currency, the euro, is worth.

So why is the EUR/USD traded like this and not like USD/EUR? The answer lies in the history and geography of the two countries. The U.S. is the world’s largest economy and the euro is the currency of the European Union, the second largest economy in the world. Since the euro is an important part of the European Union, it’s important to keep the economies of both countries in balance and to make sure that the exchange rate between the two currencies is fair.

The EUR/USD currency pair is also highly liquid and actively traded by both retail and institutional traders. This liquidity allows for price discovery and helps traders identify when there might be market opportunities.

The EUR/USD currency pair is also heavily influenced by the economic and political events that take place in the two countries. The economic and political environment in the European Union and the United States affects the demand for the euro and the dollar and that can have an impact on the exchange rate. News and events in Europe or the U.S. can cause the EUR/USD currency pair to move in either direction, making it a very volatile currency pair.

The EUR/USD currency pair is an important pairing in the world’s forex markets and it is a very active and liquid currency pair. By keeping the U.S. dollar as the currency, it ensures that the exchange rate between the two currencies is kept fair and that traders have plenty of opportunities to take advantage of market opportunities.

Since the euro is a relatively new currency, it has become the standard practice to always quote it first. This is a reflection of the fact that the euro is the main currency used in the European Union and is used to settle payments and financial transactions within the region.

Finally, it is also worth noting that this pair is often seen as a safe haven currency. This means that if there is a significant drop in the value of the euro, traders may look to this pair as a safe haven investment, as it has a relatively low correlation with other currency pairs.

To sum up, the reason why the EUR/USD is always quoted indirectly is due to the convention of quoting the euro first. This is largely due to its widespread use in the European Union and its strong liquidity and low correlation to other currency pairs. This pair is also often seen as a safe haven currency in times of market volatility, making it a popular choice for traders.