Trading GBP/HUF

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Jemma Grist
Jemma is a writer, editor and fact-checker focused on retail trading and investing. Jemma brings a unique perspective to the forex, stock, and cryptocurrency markets and works across several investment websites as a researcher and broker analyst.
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James Barra
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William Berg
William contributes to several investment websites, leveraging his experience as a consultant for IPOs in the Nordic market and background providing localization for forex trading software. William has worked as a writer and fact-checker for a long row of financial publications.
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The GBP/HUF is an interesting forex instrument that couples two economies that do not use the euro. Historically demonstrating high volatility thanks to the exotic Hungarian forint and a relatively stable base in the pound sterling, traders have the opportunity to expand their portfolio and capitalize on strong price movements, if they can accurately forecast swings.

Read on for a beginner-friendly guide to trading the GBP vs HUF. We also list the best GBP/HUF brokers in 2024.

GBPHUF Trading Brokers

  1. OANDA US - OANDA offers a diverse selection of 68 currency pairs, more than many alternatives. The broker’s in-house platform offers superb day trading capabilities via powerful TradingView charts, including 65+ technical indicators and 11 customizable chart types.
  2. Vantage - Vantage offers 55+ currency pairs - above the industry average, so experienced traders can explore plenty of opportunities. Vantage's deep liquidity pool provides forex spreads from 0.0 pips in the ECN account, lower than many alternatives. There are also no commissions, deposit fees or hidden charges.
  3. IC Markets - IC Markets maintains its commitment to providing exceptionally tight 0.0-pip forex spreads on major currency pairs such as EUR/USD. This makes it an excellent option if you are seeking superior execution, with an average of 35 milliseconds. Additionally, if you are a high-volume trader, you can benefit from rebates of up to $2.50 per forex lot.
  4. AvaTrade - AvaTrade offers 50+ currency pairs with competitive spreads from 0.9 pips and zero commissions. You can trade majors, minors and exotics around the clock on industry-leading platforms, including MT4 and MT5. Traders can also access beginner-friendly trading tools and comprehensive forex education.
  5. FOREX.com - FOREX.com continues to uphold its stature as a premier FX broker, offering over 80 currency pairs and boasting some of the most competitive fees in the industry. With EUR/USD spreads dipping as low as 0.0 and $5 commission per $100k, it stands out. Moreover, its SMART Signals help to identify price behaviors across numerous major currency markets.

Trading GBP/HUF Comparison

Trading GBP/HUF Comparison
Broker Forex Assets EUR/USD Spread Forex App Rating Minimum Deposit Regulator Visit
OANDA US logo
65+ 1.6
$0 NFA, CFTC Visit
Vantage logo
55+ 0.0
$50 FCA, ASIC, FSCA, VFSC Visit
IC Markets logo
75 0.02
$200 ASIC, CySEC, FSA Visit
AvaTrade logo
50+ 0.9
- ASIC, CySEC, FSCA, ISA, CBol, FSA, FSRA, BVI, ADGM Visit
FOREX.com logo
80+ 1.2
$100 NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA Visit
Pepperstone logo
100+ 0.1
$0 FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB Visit
XM logo
55+ 1.6
$5 ASIC, CySEC, DFSA, FSC, FSCA Visit
Eightcap logo
50+ 0.0
$100 ASIC, FCA, xCySEC, SCB Visit
PrimeXBT logo
45+ Variable
$0 - Visit
IQ Option logo
60+ 14 pips
$10 - Visit
IG logo
80+ 0.8
$0 FCA, ASIC, NFA, CFTC, DFSA, BaFin, MAS, FSCA, FINMA Visit
FxPro logo
70+ 1.58 pips (Ave)
$100 FCA, CySEC, FSCA, SCB, FSC Visit
FXCC logo
70+ 0.2
$0 CySEC Visit
XTB logo
70+ 1.0
$0 FCA, CySEC, KNF, CNMV, DFSA, FSC Visit
Plus500 logo
60+ 0.6
$100 FCA, ASIC, CySEC, DFSA, MAS, FSA, FSCA, FMA, EFSA Visit

#1 - OANDA US

Why We Chose OANDA US

OANDA is a popular brand offering exceptional execution, low deposit requirements and advanced charting and trading platform features. The top-rated brand has over 25 years of experience and is regulated by trusted agencies, including the NFA/CFTC. Around the clock support is available for short-term traders, alongside flexible contract sizes and automated trade executions.

"OANDA remains an excellent broker for US day traders seeking a user-friendly platform with premium analysis tools and a straightforward joining process. OANDA is also heavily regulated with a very high trust score."

- DayTrading Review Team
  • GBPUSD Spread: 3.4
  • EURUSD Spread: 1.6
  • EURGBP Spread: 1.7
  • Total Assets: 65+
  • Leverage: 1:50
  • Platforms: OANDA Trade, MT4, TradingView, AutoChartist

#2 - Vantage

Why We Chose Vantage

Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.

"Vantage remains an excellent option for CFD traders seeking a tightly-regulated broker with access to the reliable MetaTrader platforms. The fast sign-up process and $50 minimum deposit make it very straightforward to start day trading quickly."

- DayTrading Review Team
  • GBPUSD Spread: 0.5
  • EURUSD Spread: 0.0
  • EURGBP Spread: 0.5
  • Total Assets: 55+
  • Leverage: 1:500
  • Platforms: ProTrader, MT4, MT5, TradingView, DupliTrade

#3 - IC Markets

Why We Chose IC Markets

IC Markets is a globally recognized forex and CFD broker known for its excellent pricing, comprehensive range of trading instruments, and premium trading technology. Founded in 2007 and headquartered in Australia, the brokerage is regulated by the ASIC, CySEC and FSA, and has attracted more than 180,000 clients from over 200 countries.

"IC Markets offers superior pricing, exceptionally fast execution and seamless deposits. The introduction of advanced charting platforms, notably TradingView, and the Raw Trader Plus account, ensures it remains a top choice for intermediate to advanced day traders."

- DayTrading Review Team
  • GBPUSD Spread: 0.23
  • EURUSD Spread: 0.02
  • EURGBP Spread: 0.27
  • Total Assets: 75
  • Leverage: 1:30 (ASIC & CySEC), 1:500 (FSA), 1:1000 (Global)
  • Platforms: MT4, MT5, cTrader, TradingView, TradingCentral, DupliTrade

#4 - AvaTrade

Why We Chose AvaTrade

AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, from CFDs to AvaOptions and now AvaFutures, alongside a comprehensive education center and multilingual customer support.

"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."

- DayTrading Review Team
  • GBPUSD Spread: 1.5
  • EURUSD Spread: 0.9
  • EURGBP Spread: 1.5
  • Total Assets: 50+
  • Leverage: 1:30 (Retail) 1:400 (Pro)
  • Platforms: WebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade

#5 - FOREX.com

Why We Chose FOREX.com

Founded in 1999, FOREX.com is now part of StoneX, a financial services organization serving over one million customers worldwide. Regulated in the US, UK, EU, Australia and beyond, the broker offers thousands of markets, not just forex, and provides excellent pricing on cutting-edge platforms.

"FOREX.com remains a best-in-class brokerage for active forex traders of all experience levels, with over 80 currency pairs, tight spreads from 0.0 pips and low commissions. The powerful charting platforms collectively offer over 100 technical indicators, as well as extensive research tools."

- DayTrading Review Team
  • GBPUSD Spread: 1.3
  • EURUSD Spread: 1.2
  • EURGBP Spread: 1.4
  • Total Assets: 80+
  • Leverage: 1:400
  • Platforms: MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral

GBP/HUF Trading Explained

With this pair, the GBP is the base currency, and the HUF is the quote currency. This means that, when given an exchange rate from an online broker or live chart, the value is how many HUF can be bought per 1 GBP.

GBP/HUF Chart

Exotic Pairs

Exotic currency pairs are composed of a major currency and a currency from a developing or emerging economy. In this article, we will explore GBP as the major and HUF as the exotic. These pairs offer opportunities to diversify trading portfolios by moving away from the key players in the forex market.

Exotic pairs are arguably a double-edged sword, offering greater volatility but lower liquidity than major and minor pairs. The greater volatility of smaller markets provides more profit potential, thanks to larger and more sudden price movements, though this can also increase the risk of losses.

The lower liquidity of pairs such as GBP/HUF can also result in slippage, which is when orders fill at a different price from when it was requested.

UK Economy

The British economy is one of the biggest in the world, with the fifth largest nominal GDP sitting at an average of US$2.7 trillion. Its currency, the pound sterling (GBP), is the oldest in the world and is used in the UK and several overseas territories and islands. While the UK temporarily followed the gold standard in the 20th century, it has been a free-floating currency since 1971.

The GBP is the fourth most traded currency in the world, involved in 12.8% of daily FX trade volumes. This provides relatively good levels of liquidity, even for exotic pairs like the GBP/HUF.

The financial services field is the most prominent in the British economy, helping services contribute to 80% of the GDP. The UK is also one of the biggest exporters and importers of goods and services in the world.

Britain’s top trading partners are the USA, Switzerland and Germany.

The Bank of England (BoE) is responsible for managing the pound sterling’s interest rates and monetary policies.

Hungarian Economy

The second economy directly linked to the GBP/HUF FX pair, the Hungarian economy is much smaller, producing a nominal GDP of US$155 billion.

Although Hungary is a member of the EU, it has not joined the eurozone and instead manages its own currency, the Hungarian forint (HUF). The forint was introduced in 1946, after the Second World War, and was pegged to the price of gold until 2008, when it became free-floating.

Hungary’s GDP is mainly divided between 56.64% in services, followed by 24.52% in industry, and then 3.38% in agriculture. The economy places a large emphasis on foreign trade, with a high trade surplus of more than US$6.5 billion every year. Its top yearly averages in exports are refined petroleum at US$1.5 billion, petroleum gas at US$798 million, and corn at US$798 million.

Similar to the Bank of England with the GBP, HUF policies are implemented and managed by the Hungarian National Bank (HNB). Although the inflation target was 3% in the past, in recent months this has reached 11.7%. By comparison, the BoE in the UK is expecting inflation to rise to 11% in 2022. From this perspective, the two economies are facing similar challenges.

GBP/HUF Exchange Rate History

Looking at graphs over the last 14 years, the trend for GBP/HUF has been positive since the Hungarian forint became free-floating in 2008. However, charts and diagrams also indicate a slowly weakening forint compared to the pound sterling.

On the GBP/HUF 10-year chart (2012-2022), the all-time high was set at 490 on the 12th of July 2022 and the all-time low at 249.58 on the 2nd of May 2016.

Factors Affecting GBP/HUF

Forex pairs are complicated instruments, with many different factors capable of causing changes in exchange rates and forecasts. Some of the most important tools for making comparisons are:

GBP/HUF Trading Tips

When To Trade

Ensuring you trade at the right time is particularly important with exotic FX pairs like GBP/HUF. Its rate may seem favorable at a certain point but investing when liquidity levels are low and spreads are high can greatly mitigate profits, and sometimes even remove them.

The best time to invest in GBP/HUF is arguably during the overlap between the London Stock Exchange session and the Budapest Stock Exchange session, which occurs between 08:00 GMT and 16:00 GMT. This is when trading volume is highest, spreads are lowest and slippage is least likely to occur.

Where To Trade

Given the low trading volumes of exotic currency pairs, some brokers either do not offer them at all or offer poor spreads. If you intend to trade GBP/HUF, check that your forex broker offers the pair, and with a competitive spread, preferably before opening an account.

Final Word On Trading GBP/HUF

Trading the GBP/HUF is an interesting opportunity that can provide investors with greater volatility and profit potential than the standard major and minor pairs. This can also increase the risks of loss, so be sure to refine your trading strategy, assess current events and analyze economic releases before investing. Real-time charts and exchange rate history are also key tools when making GBP/HUF predictions.

FAQ

What Is The GBP/HUF Conversion Rate?

The current spot rate shows how many HUF converts to 1 GBP. This can be used as a converter by multiplying the number of pounds you want to sell for HUF or dividing your HUF to buy GBP. See our live chart above for the current exchange rate.

Will The Hungarian Forint Get Stronger In 2024?

The forecast for the GBP/HUF currency pair depends on several factors, including inflation rates as both economies are recovering from the Covid-19 pandemic and the war in Ukraine. Other economic factors must also be considered. For example, a simple prediction could be that, given the Hungarian inflation target is higher than the UK’s, the forint may continue to weaken, however, there are other influences at play.

Will Hungary Join The European Monetary Union?

Hungary is currently preparing to adopt the euro and become a member of the EMU. However, there is currently no target date for the event and the forint is not yet within the exchange rate mechanism (ERM II).

How Can I Forecast The GBP/HUF Exchange Rate?

There is no end to forex trading strategies and data available online that can help predict exchange rates. On top of government-released statistics, graphs and diagrams, you should look over historical charts and consider current events to formulate your predictions or reassure yourself of a selected strategy.

GBP Vs HUF, Which Is The Stronger Currency?

Looking at the history of 1 GBP into HUF, the pound is significantly stronger. Since 2017, the forint has been weakening against the pound. In fact, July 2022 marks an all-time high for the pair.