Exchange rates fluctuate constantly, influenced by a range of factors such as global events, market sentiment, and central bank decisions.
Even a small change can have a big impact, particularly if you’re sending a large sum of money overseas, while the constant volatility can make it difficult to budget ahead for ongoing or regular payments.
The good news is that you don’t need to be a currency expert to stay on top of these changes. There are plenty of simple ways to track currency exchange rates, from free apps and websites to automated alerts that deliver updates straight to your phone.
By keeping informed, you can make transfers at the right time and get the most value for your money, without feeling stressed or overwhelmed.
Why you should track exchange rates
Tracking exchange rates gives you the best chance of securing a favourable rate when transferring money abroad. It helps you spot when the rate is strong and it’s a good time to move your funds, or when it’s weak and worth waiting for improvement.
Even small shifts can make a big difference. For example, on a £250,000 transfer, a 2% movement in the pound to euro rate could change the outcome by around €5,800. And for regular payments, a monthly £2,000 transfer from GBP to AUD might fluctuate by more than AU$200 from one month to the next.
By keeping an eye on rates and understanding longer-term trends, you can plan transfers strategically, protect your budget, and make the most of favourable market movements.
Ways to track exchange rates
There are many ways you can track exchange rates, depending on how actively you want to manage your transfers.
Manual methods
Checking rates manually is simple, but it requires constant effort. You can Google the currency pair, visit financial news websites, or find and bookmark a trusted live rates page online.
These methods are reliable but time consuming. And if you forget to check the rates, you could miss an ideal transfer window.
Currency apps
A more convenient way is to use a dedicated app, such as the Currencies Direct app, to track currency exchange rates. These apps make it easier to monitor currencies with instant access to real-time rates.
Currency transfer apps also allow you to book a trade so you can seize the right rate when it comes, and they may open up access to better tracking and transfer tools.
Specialist tools, insights and alerts
Specialist money transfer companies like Currencies Direct offer tools and insights to make tracking exchange rates effortless.
Rate alerts are one of the best tools for tracking rates. This free set-and-forget service allows you to simply choose your target rate, and the system notifies you when it’s reached.
You can also opt in for free daily or weekly updates on the currency market, as well as email alerts to let you know if a big market-moving event is coming up or if there’s been a sudden significant swing in the currency market.
These tools remove the need for constant manual checking, helping you keep track of exchange rates with minimal effort.
How to automate your tracking with rate alerts
Setting up a rate alert with Currencies Direct is quick and easy. Simply log into your online account or the app (you can create a free account here if you don’t already have one) and follow these steps:
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Select ‘Rate alerts’ from the top navigation. This is where you can create and manage all your rate alerts. You can see both active and expired rate alerts, as well as any alerts that have been hit.
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Select ‘Create new rate alert’. Enter your currency pair, transfer amount and target rate. Choose to be notified by SMS, email, or both, if your target rate is hit.
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Select ‘Create alert’. You’ll see your new alert in the ‘Active rate alerts’ section, and we’ll contact you as soon as your rate is hit.
You can set multiple rate alerts for different currency pairs or the same pairing at different thresholds, covering a range of scenarios. This means you don’t have to watch the market constantly, but you won’t miss an opportunity to act when rates are favourable.
For example, if you want to transfer money for a property purchase in the USA, you could set an alert for your ideal GBP to USD rate. When the rate reaches that level, you’ll be notified immediately, so you can make the transfer or fix the rate using a forward contract.
Tips for smarter currency tracking
To make the most of currency tracking, it’s best to focus on strategy rather than reacting to every fluctuation. Here are some practical tips:
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Watch trends, not daily swings: Exchange rates can change minute by minute, but small daily movements rarely matter. Focus on longer-term trends over weeks or months to make more informed decisions.
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Keep an eye on major announcements: Central bank interest rate decisions, economic data and geopolitical events can cause noticeable currency movements. Understanding these drivers can help you anticipate changes.
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Set realistic targets: Don’t expect the market to hit your perfect rate overnight. Setting achievable target rates increases the chances of making timely transfers.
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Use multiple tools: Combining manual checks, apps and automated alerts provides a broader perspective. You can compare exchange rates, follow trends and stay updated without relying on a single source.
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Consider your transfer size and timing: Larger transfers are more sensitive to rate changes. Even small improvements can lead to significant savings, so being patient and strategic often pays off.
Stay on top of the currency market
Keeping track of exchange rates can be effortless with the right blend of automated alerts, currency news updates, and instant access to live exchange rates. And by staying up to date with the currency market, you give yourself the best possible chance of securing a strong rate for your transfer.
If you want to set up rate alerts and sign up for market insights, create a Currencies Direct account today. Registering is free and only takes a few minutes, so you can start keeping track of exchange rates in no time at all.
