CAN THE FOREX MARKET CRASH?
No, the Forex market as a whole can not crash like the stock market, unless one day currency ceases to exist. This is because each currency moves independently against one another. A good analogy would be that currency pairs are like elevators. Let’s say we’re looking at the Euro against the US Dollar. If the EUR elevator is going down relative to the USD elevator, then the USD is going up (against the EUR). So while a European may think that the EUR crashed that day, an American may think the USD soared that day. It is all relative to the currency they are trading against.