7/2/2026, 5:57:02 AM
USD/CAD Currency Pairs Explained
In the currency pair USD/CAD: USD is the base currency. CAD (Canadian Dollar) is the quote currency. The base currency is always the first currency in the pair. The quote currency is the second. What does it mean? If USD/CAD = 1.3700, it means: 1 US Dollar (USD) = 1.37 Canadian Dollars (CAD). The price tells you how many units of the quote currency (CAD) are needed to buy one unit of the base currency (USD). When you buy USD/CAD You are: Buying USD (the base currency). Selling CAD (the quote currency). You expect the US dollar to strengthen against the Canadian dollar, so the price should rise. When you sell USD/CAD You are: Selling USD. Buying CAD. You expect the US dollar to weaken against the Canadian dollar, so the price should fall. Easy way to remember: Base currency = what you're buying or selling. Quote currency = what you're paying with. For example: EUR/USD = 1.1500 → 1 Euro buys 1.15 US Dollars. GBP/JPY = 200.50 → 1 British Pound buys 200.50 Japanese Yen. USD/CAD = 1.3700 → 1 US Dollar buys 1.37 Canadian Dollars.
