Cable

In forex trading, Cable is the nickname used by traders to refer to the pound sterling/US dollar currency pair.

The name refers to a time when the British Pound was the world’s most traded currency. At the time there was a transatlantic telegraph cable laid under the sea to connect London and New York, allowing for communication and a more accurate setting of exchange rates.

It is still used to refer to the GBP/USD currency pair but also to GBP on its own. Great Britain’s dominance waned after the first and second World Wars.

Today GBP is the world’s 4th most traded currency.