Forex Zone - Forex Forum
  1. Forex Zone - Forex Forum
  2. General Category
  3. Forex Education
  4. Currency Correlation in Forex Trading

Currency Correlation in Forex Trading in Forex Education_67f83ac065b44

Currency Correlation in Forex Trading

Discussion started on Forex Education

Print
Pages: [1] 2 3 ... 9   Go Down

zanurreload

  • Hero Member
  • Posts: 9575
  • Points: 59
  • Likes Received: 728
  • Reputation: +10/-20
It is important to know that in forex trading, the currency pair that we trade is a single unit. This currency pair consists of two different currencies and its value is determined based on the value of one currency against its opponent's currency. Technically, when we trade on a currency pair, we make two trades at once. We buy a currency and at the same time sell a partner's currency. Example: if we buy EUR / USD, it means we buy EUR and sell USD at the same time.
Unlike in trading stocks or other commodities, in forex trading it would be more appropriate if we look at the currency pair that we are trading as two different trades. This will help us in knowing the relationship between the currency pairs that we are transacting, in order to help find opportunities (trading opportunities) to enter the market and avoid unwanted risks.

Linkback: https://www.forex.zone/forex-education/29/currency-correlation-in-forex-trading/2364/
#1 - August 07, 2019, 10:55:02 PM

sting

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 1
  • Reputation: +0/-0
logically, time frame trading does not affect correlation. For example EU and GU are positively correlated, then in tf trading whatever the correlation remains positive, only at higher tf will be more clearly seen, and at lower tf there may be a lot of noise
#2 - August 09, 2019, 01:10:06 AM

cator

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Did you know that a currency contains certain information about another currency pair? The relationship between currency pairs is called currency correlation. When trading on the forex market, you can benefit from this relationship.
#3 - August 09, 2019, 01:26:27 AM

Sponsored

Currency Correlation in Forex Trading in Forex Education_6803a6c52eb12
#4 - Today at 07:52:23 AM

Sampoerna

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Currency or currency pairing is often used as a consideration for starting entries.
#4 - August 09, 2019, 01:57:05 AM

press

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
An understanding of currency correlations can help forex traders assess market conditions, avoid risks, and look for potential trading opportunities.
#5 - August 09, 2019, 02:27:35 AM

lambo09

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Pair correlation is usually used for comparative analysis of price movements.
#6 - August 09, 2019, 04:49:11 AM

jayz

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Pair correlation is good for analysis or comparison of the strength of a currency compared to other currencies.
#7 - August 09, 2019, 11:07:16 AM

sanyo P

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +1/-0
Pair correlation is commonly used by traders to measure the strength of a currency or currency index.
#8 - August 12, 2019, 02:47:12 AM

gabaran

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
I also often analyze with this correlation and also monitor currency indexes.
#9 - August 12, 2019, 04:37:19 AM

Garena

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Currency correlations or pairs are often used to reference our analysis and also to see what currency is dominating.
#10 - August 12, 2019, 11:36:04 AM

Sponsored

Currency Correlation in Forex Trading in Forex Education_6825e67e9df83
#11 - Today at 07:52:23 AM

siasat

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 1
  • Reputation: +0/-0
A pair's correlation is often used as a tool for analyzing price movements.
#11 - August 12, 2019, 06:11:14 PM

Maxx

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
currency correlations and pair correlations are often sold with analysis material.
#12 - August 12, 2019, 07:45:04 PM

slam

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
correlation of a pair can be seen in an indicator that has been provided, usually downloaded and installed in our browser.
#13 - August 13, 2019, 12:34:20 AM

Lebay

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 0
  • Reputation: +0/-0
Pair correlation can indeed be used as an analysis tool in addition to indicators.
#14 - August 13, 2019, 05:07:17 PM

Bidadari

  • Newbie
  • Posts: 10
  • Points: 0
  • Likes Received: 1
  • Reputation: +0/-0
Currency correlations are often used as a benchmark for the value of a currency and its strength.
#15 - August 13, 2019, 05:14:52 PM
Print
Pages: [1] 2 3 ... 9   Go Up
  1. Forex Zone - Forex Forum
  2. General Category
  3. Forex Education
  4. Currency Correlation in Forex Trading

Members:

0 Members and 1 Guest are viewing this topic.


Currency Correlation in Forex Trading in Forex Education_collapse Refresh Activity Stream (It's automatically updated) Open Activity Stream in Popup Activity:


Currency Correlation in Forex Trading in Forex Education_6825e2907e4b1