Fx intro

INTRODUCTION TO FOREX MARKET

Forex Trading

Forex, short for the Global Foreign Exchange Market, is the largest single financial market in the world. JobMonkey includes a section on this topic because Forex trading can be done just about anywhere there's an Internet connection. Many traders are able to earn extra money over and above what their 'real job' provides - working from home. Also called the Currency Exchange, the FOREX is the financial field where currencies from different nations are exchanged for that of another (with the equivalent of over 4 trillion dollars changing hands daily, according to FXStreet). The Forex is not a physical market like the AMEX (American Stock Exchange) or the NYMEX (New York Mercantile Exchange), but more of a global network of interconnected banks, investments firms, hedge funds, currency traders, and other financial and banking entities. Due to the nonexistence of a physical exchange, the FOREX market operates on a full 24-hour period, spanning from one time zone to another in all the major financial centers. There are three main economic zones that comprise the Forex market: Australasia (Australia and Asia), Europe, and North America. This structure enables participants in the Forex market to trade at any time of day.

After a shakeup in the structure of the Forex market in the early 1970s, many financial institutions such banks, hedge funds, and brokerage houses. This era also saw an increase of individual traders enter the Forex market. This led to a structure of power resting in the hands of the economy and not the government and national banks. Today, the factor that drives the Forex market is the economic law of supply and demand.

In the 1980s Forex activity reached roughly one billion dollars daily. Today, in large part due to the free-floating system (a system reliant on international trade and commerce) and the technological progress in the industry, the Forex market currently sees daily transactions exceeding 4 trillion dollars.

In the 21st century the Forex market has seen substantial growth. With international barriers broken down by technology, and international trade at the highest levels in history, currency exchange is becoming more and more important as an investment tool and as a means for monetary exchange.

Time: With the global aspect of the Forex market expanding from Australia to England to New York, the Forex is a 24 hour trading center.

No Physical Exchange: Unlike the NYSE, AMEX, and the Chicago Mercantile Exchange, the Forex market has no physical exchange. Most transactions are made between two professionals over an electronic network or telephone.

Transactions: In the stock markets most of the trading is done through brokers, who serve as middlemen. In the Forex Market, there are no middlemen. Most transactions are conducted directly between broker and agent, or individual and broker.

Transaction Costs: Trading directly with a broker eliminates much of the transaction fees (commissions) that are found on the other stock markets.

The Forex market as we know it today originated in 1971. However, the idea of foreign currency exchange dates back to the Middle Ages when paper money was introduced and represented transferable third-party payments for merchants and traders.

During the almost fifty year period from the 1870s to the end of WWI in 1918, the gold exchange standard reigned over the international economic system. Because they were supported by the value and price of gold, currencies experienced a new era of stability under the gold exchange. However, the gold exchange standard had many weaknesses. The key weakness was the boom-bust economical pattern. The economic peaks and valleys (economic booms and recessions) created by this pattern were in large part due to a country's economic instability caused by a lack of gold reserves and a devaluation of commodities and currency.

Up until the end of WWI, the Forex markets were relatively inactive and remained stable. However, after WWI the volatility of the Forex market greatly increased and speculative (definition found in Key Terms section) activity saw tremendous growth.

Then, from 1931 until 1973, the Forex market went through a series of changes. These changes led to the structure of the Forex market today.

Established in 1944 at a conference with representatives from 44 nations in New Hampshire, the Bretton Woods Agreement fixed national currencies against the U.S. dollar, and positioned the dollar at a rate of $35 per ounce of gold. The purpose of this agreement was to curb the economic instability of nations due to the gold exchange standard caused boom-bust patterns. On the global trading front, this agreement aimed at establishing international economic stability by preventing money (currencies) from jumping national borders, and to control speculation (see definition in key terms section) in the international currency market.

The countries participating in this agreement agreed to attempt to maintain the value of their currency within a thin margin against the dollar and an equivalent rate of gold as needed. As a result of this, the U.S. dollar became the standard for currency value and was a top reference currency as it was now exchangeable into gold. A calculated move, this agreement signaled the shift in global economic power from Europe to the U.S. Also as a result of the agreement, and as an attempt to restore stability in the global marketplace, participating countries were prohibited from devaluing their currency to benefit their foreign trade. The policies set forth by the Bretton Woods Agreement were short lived, however, as the trading volume of the international Forex market led to massive movements of capital. This was caused by post WWII prosperity, which in turn destabilized the foreign exchange rates established in Bretton Woods.

A new system was needed to answer this growth and provide an arena for better trade in the burgeoning Forex market.

The Free-Floating System

In 1971, in large part due to the U.S.'s abandonment of the gold standard, the international economic community abandoned the policies set forth in the Bretton Woods Agreement. By 1973, the currencies of the leading industrialized nations now floated more freely across nations. Essentially, trading borders were torn down as Forex trade increased and became a large institution in the global financial market. This resulted in an increase in trade volumes, speed of transactions, and price volatility, which all continued throughout the 1970s. Also, new financial instruments, market deregulation and loose trade restrictions emerged.

After the failure of other attempts to monitor the Forex market - The European Joint Float, established to lessen Europe's dependence on the U.S. dollar as a reference currency, and The Smithsonian Agreement, a last ditch effort to sustain the U.S.

dollars role in international trade - in 1978, the free-floating system was officially mandated.

The Foreign Exchange Market Today

There have been many factors that have led to the current structure of the Forex market. Since the early 1970s the Forex market has been profoundly transformed in size, structure, and operation. This transformation is also a result of structural changes in the world economy and in the global and international financial systems. Among the major changes and developments in the international and global financial market are the following:

The change in the international monetary system from the fixed exchange rate system of Bretton Woods to the flexible/floating exchange rate system of today. With this new system in place, nations can choose to float their exchange rates or to follow other exchange rate pricing policies.

Financial deregulation throughout the world and the elimination of governmental control and restrictions in nearly all countries. This results in more freedom for national and international financial transactions.

A shift toward the institutionalization and internationalization of savings and investment. Now, funds managers and institutions around the globe have more capital to invest in the Forex market.

A shift to international trade liberalization put forth in multilateral trade agreements, such as NAFTA (the North American Free Trade Agreement).

Major advances in technology. This makes possible the instantaneous real-time transmission of market information worldwide, quicker (almost instant) transactions, and advanced communication availabilities among international institutions.

The development of innovative, new financial instruments and new theoretical approaches to finance and economics.

All these changes led to a shift in the development of international markets. As a result of this transformation of the Forex, markets have seen enhanced freedom, increased cooperation among nations (which increases activity and, in some cases, profitability and currency value), improvements in trading and informational efficiency, and the creation and implementation of better market techniques and instruments.

In the current environment, the Forex market has expanded from consisting of only banks to one where many other kinds of financial and non-financial institutions also participate. The evolution of the Forex - from a range of loosely connected national financial centers to a single integrated international market - has resulted in a system that offers means of trading to not only financial professionals but also individual traders, and one that also plays an important role in our economies - both individual and national.

Since the late 1970s the Forex has seen an influx of financial entities, such as banks, hedge funds, and brokerage houses, as well as individual traders enter the Forex arena. Today, instead of being controlled by national banks and governments, the main factor that drives today's Forex markets is supply and demand. The free-floating system is ideal for today's Forex markets as international trade and commerce are abundant in the 21st century. The tremendous growth and application of technology in the Forex market broke down all barriers between nations, as well as time zone

barriers eventually resulting in a 24 hour market throughout the American, European, and Asian time zones. Transactions in the Forex market increased from nearly 1 billion dollars a day in the 1980s, to more than $1.9 trillion a day two decades later.

As Forex trading has grown, several international cities have emerged as market leaders. Currently, London, England has the greatest share of transactions with over 32% of the total trade volume. Other leading trading centers listed in order of volume are New York, Tokyo, Zurich, Frankfurt, Hong Kong, Paris, and Sydney.

The New Generation of Forex Brokering and Trading

A great challenge to the Forex market has been the emerging technological presence in the field of investing. Internet-based trading platforms are quickly (if they haven't already) replacing brokers and other middlemen on the Forex market. Electronic brokers and electronic brokerage systems and market news sources like Reuters are providing computer platforms where bank dealers and traders can interface with the market through a computer (or EBS, electronic brokering system) without the need for a human broker. This increases the speed, and efficiency, of transactions, and also provides instantaneous prices and vital information, all the while cutting costs for most participants in the Forex market. Unfortunately, though, this has led to the human element of the brokerage process to be all but wiped extinct.

Structure of the Foreign Exchange Market

The Forex market can be separated into three main regions: Australasia (Australia and Asia), Europe, and North America. In each region there are several major financial centers. For example, the major centers in Europe are London, Paris, Frankfurt and Zurich. Banks, investment firms, fund managers and dealers all conduct Forex trading for themselves and their clients in each of these markets.

The opening of the Forex market begins with the Australasia region, followed by Europe and then North America. As the markets of one region close, another opens, or has already opened, and continues to trade in the Forex market. At various times throughout the day, the markets overlap. In these hours of overlapping, some of the most active trading occurs. Essentially, the Forex is a 24 hour market, as trading

occurs across borders with little attention paid to time and space. Any trader in any region can trade at any given time. For example, if a trader in Seattle decides to trade currency at 2 a.m., they will be unable to do so through Forex dealers located in North America but they can use dealers in Europe or Australasia to make as many trades as they want. In summation, there is no point during the trading week that a participant in the Forex market can't potentially make a currency trade.

Institutions and Trading Agents

The Forex market consists of a network of dealers and traders grouped around the world. These players are linked by a system of computers, phones, and the internet.

This provides a platform where pertinent information is freely exchanged.

The Major Dealing Centers

While there is no true center, the Forex market has major dealing centers located in London, New York, and Tokyo. These are labeled 'major centers' because the activity in these places hold tremendous influence on the market. There are other centers labeled 'minor centers,' which also play a significant, albeit smaller, role in the market. These 'minor centers' Hong Kong, Singapore, Sydney, Frankfurt and Zurich. The 8 regions are very influential when it comes to the trading practice of the Forex market. Everyone from the daytrader to the Hedge Fund manager keeps an eye on the markets and their activities.

Central Banks

The majority of developed market economies have a central bank, whose role differs from country to country. Central banks play an important role in the Forex market. They try to maintain the money supply, interest rates, inflation, and other market factors. A nation's central bank also has the fundamental responsibility of maintaining the market for its national currency. This entails monitoring and checking the prices dealt in the Forex market. Participants in the market all tend to respect the opinions of

the central banks because of the power and control they have over the value of their national currency.

Banks

Both small and large banks, working for themselves and their clients (institutions, individual investors), participate in the Forex markets. According to the Bank for International Settlements, approximately 50% of all Forex transactions are strictly interbank (See Key terms section) trades. Some of the more active large banks may trade up to one billion dollars daily. And while some of this trading is done for customers, most of it is for the bank's own account.

In the past banks relied on Forex brokers to handle their accounts in the role of middlemen, but with the emergence of technology in the Forex arena, they have been replaced by computers and other devices. Today, transactions are made by telephone with brokers or by an electronic medium, with the transaction time being between 5 and 10 seconds.

Market Makers

Forex market makers are the banks and brokerage companies that facilitate the 24 hour trading capabilities of the Forex market. Market makers literally "make the market" for the currencies. They ensure that the market is always functional and that the currencies in it will always obtain the market rate. To achieve this level and efficiency of trading, Forex market makers update their prices at least two times per minute allowing the trader to get the most complete up to date price and information as possible.

QUICK TIP - See our list of popular Forex brokerages . To get started as as trader you will need at least one account!

Corporations

Small and large companies also play an important role in the Forex market. These companies often use foreign exchange to pay for goods or services. Compared to banks and hedge funds, corporations trade less amounts of currency. Although they also do not hold the influence of banks and hedge funds, they keep the market strong through international trade and foreign currency exchange between multinational companies.

Fund Managers

Forex fund manager are similar to money managers in the investment field. However, fund managers do business in both the domestic and international arena for individual investors, corporate pension funds, governments, and even central banks. Fund managers usually have a large pool of investments to oversee for a wide variety of clients. Dealing with hundreds of millions of dollars, they invest money across a range of countries to maximize returns.

Hedge Funds

Hedge funds have a reputation for aggressive currency speculation. Their influence in the market over the past decade has increased immensely (FXBlog). Hedge funds oversee billions of dollars of equity, and, due their tremendous borrowing power, may have rivaled the power and influence of central banks, if investments and market rends are in their favor. As opposed to banks and fund managers, hedge funds are primarily more concerned with managing the total risk of their investment pools.

Investment Management Firms

Investment management firms typically manage large accounts on behalf of corporate pension funds, trusts, charity organization and similar institutions. They use the Forex market to facilitate transactions in foreign securities. An example of an investment firm's activity in the Forex market is given by trading markets.com: an investment manager in charge of an international equity portfolio needs to purchase and sell several pairs of foreign currencies to pay for foreign securities purchases. Like hedge funds, investment firms are concerned with limiting risk (while, of course, maximizing returns).

Brokers and Electronic Brokers

The Forex broker is very similar to a stockbroker. One difference, though, is that Forex brokers only deal with banks. They, in a very efficient manner, act as the primary agent for bank transactions of the Forex market. Due to technological innovations in the market, many traditional brokering duties have been computerized, decreasing the need for human handling of the orders.

This technological takeover of the brokerage aspect of the Forex market, has led to the emergence of 'straight through processing.' Straight through processing is the automatic processing of an order as soon as it becomes. This has opened up Forex trading to a new, wide range of individuals and companies. Some of the most popular trading platforms include Forex.com, FXconnect, and FX Solutions. These sights, and others like them, allow Forex market participants, mostly the larger banks and

corporations, to access the market directly, instead of going through a broker or a middleman, ultimately cutting costs significantly.

Basic Principles of the FOREX

Exchange Rates

Exchange rates (Foreign-exchange rate, Forex rate or FX rate) between two currencies specify how much one currency is worth in terms of the other.

For example, an exchange rate of 32 U.S. Dollar (USD) to the Swiss Franc (CHF) means that USD 32 is worth the same as CHF 1.

The exchange rate value is found by stating the number of units of the "term currency" that can be bought in terms of 1 unit of the "base currency."

For example, for the quotation EUR/USD the exchange rate is 1.5877. This translates into 1.5877 U.S. Dollars per Euro, the term currency is USD and the base currency is EUR.

Fixed Exchange Rate

A fixed exchange rate (also called a pegged exchange rate) is a type of exchange rate where a currency's value is matched to the value of another single currency or to a basket (a collection of currencies whose value is used as a benchmark for value) of other currencies.

Many times the purpose of the fixed exchange rate is to steady the value of a currency, via the currency it is "pegged" to. It also serves as a means to control inflation. A sometimes negative result of this is that as the reference value (the value of the currency it is pegged to) rises and falls, so does the currency pegged to it.

Spot Exchange Rate

The spot exchange rate also refers to the current exchange rate. Spot exchange rates are the price a buyer expects to pay for a foreign currency in another currency. Other names for the spot exchange rate are "straightforward rates," "benchmark rates," or "outright rate."

Forward Exchange Rate

The forward exchange rate is the exchange rate that is quoted today but used for delivery and payment on a future date.

Factors Affecting Currency Trading

Exchange rates are affected by many factors; however, the most important and influential is a currency's (based on a country's exporting of goods) supply and demand.

The currency markets of the world can be viewed as a wide ranging and constantly changing mix of current events. Due to the volatile nature of current (and world) events and the constant shifting of supply and demand, the price of one currency in relation to another is always changing. No other market is affected so much by what is going on in the world as much as the Forex.

Supply and demand for any given currency (its trading value) are influenced by several factors. These elements generally fall into three categories: political conditions, economic factors, and market psychology.

Political Conditions

National and international political events and conditions can have a significant effect on regional currency markets, as well as the Forex market as a whole. As would be expected, times of political turmoil and instability can have a negative impact on a nation's economy. On the other hand, if a nation instills a new government deemed "economically friendly," favorable economic and trading conditions may result.

Economic Factors

Economic factors include governmental economic policy and economic conditions, as seen in a nation's public records and economic reports.

Economic policy includes government sanctioned fiscal policy, such as budget policies, spending, trade, and monetary policy. Monetary policy is ultimately controlled by a nation's central bank and includes interest rates and the supply of currency.

Economic conditions include the following:

Deficits and surpluses: Simply put, the wider a nation's deficit, the lower its currency and trade value will be.

Trade levels and trends: The higher a nation's trade levels, the higher the demand will be for its currency to perform these trades, thus increasing the currency's value.

Inflation: Characteristically, the higher a nation's rate of inflation, the lower the value of its currency.

Economic figures and reports: Reports such as GDP (gross domestic product), unemployment (and employment) levels, sales of goods, offer insight into a nation's economic growth and health. Commonly, the more healthy country's economy, the better its currency will perform, resulting in a higher demand for it.

Market Psychology

Market psychology influences the Forex market in a variety of ways:

Economic figures and reports: Economic figures that Forex investors pay constant attention to include, inflation, money supply, (un)employment, and trade figures. Also of importance are a country's economic reports outlining GDP (Gross Domestic Product), GNP (Gross National Product), GNI (Gross National Income), NNI (Net National Income), NNP (Net National Product).

"Flights to quality": Troubling international events can lead to what is called in the Forex market a "flight to quality." This flight from an "uncertain" currency leads investors to seek a "safe haven" currency. The Swiss franc is a good example of a safe haven currency (due to their known neutrality and stability) during times of political or economic uncertainty.

Long-term trends: Although currencies do not have clear growth trends like stocks and commodities, they do often move in visible long-term trends. Cyclical trend analysis looks at longer-term price trends that may rise from economic or political trends.

"Buy the rumor, sell the fact": A popular market maxim, it can apply to many to the anticipation of a particular action happening and reacting (with a trade or another transaction) in exactly the opposite direction. This is also referred to as the market being "overbought" or "oversold."

Speculation

A controversial topic and practice, speculation is the method of investing in currencies with a higher risk in order to profit from an anticipated (and usually large) movement in price. Currency speculation has become suspect activity in many countries. Many financial experts and corporate executives feel that speculation is merely "informed gambling" who can have a negative effect on a nation's economy and the Forex market. According to Gregory Millman, author of The Vandal's Crown: How Rebel Currency Traders Overthrew the World's Central Banks, speculators are "vigilantes" who help "enforce" international trade and anticipate the effects of basic economic policies in order to increase their profits. While there are well-known individual speculators, hedge funds represent the majority of speculators with the power to influence the market.

Opportunities in Forex Trading

Advantages of the Trading on the Forex Market

Key Advantages of the Forex Market:

The Forex Market is open 24 hours a day, 5.5 days a week (this includes the ability to trade beginning Sunday at 5 p.m. in the U.S.).

The Forex market isknown for its liquidity, meaning foreign currency can be bought or sold in the market without a significant change in price; the price remains stable through high levels of trading.

High degree of leverage (the use of market resources and information so that the potential gain or loss becomes magnified). Also called margin, this can lead to large gains, but also big losses. Proper knowledge of the market is required to offset the risks of leverage.

There is no bear market. This is due to the global aspect of the Forex market.

The advantages listed above are the general benefits of investing on the Forex market. However, there are more benefits to investing in the Forex market that an individual with he proper knowledge can take advantage of.

24-Hour Trading Liquidity

As mentioned earlier, the Forex market is essentially a 24 hour market. As a result of this, it usually does not face lulls in the market (a bear market) or periods of illiquidity.

Investors and clients in the Forex arena can place trades continuously from Sunday 5 PM EST to Friday 4:30 PM EST; the trading pits do not close for the day. This provides the Forex trader the flexibility and continuous market opportunities that aren't available on other exchanges.

8000 stocks vs. 4 major currency pairs

With approximately 4,500 stocks listed on the NYSE (New York Stock Exchange) and another 3,500 listed on the NASDAQ (National Association of Securities Dealers Automated Quotation System), the choices can seem both never-ending and overwhelming for an investor, and especially for a beginning investor. A benefit of the Forex market is that it only has 8 major currency pairs. This leads to a more focused and expert knowledge on a smaller scale of investment options. And, it make sit easier for a novice investor to get into the market.

RECOMMENDED READING - The Forex Trading Course: A Self-Study Guide To Becoming a Successful Currency Trader - Abe Cofnas

No Middlemen

The stock markets consist of a number of centralized exchanges. A problem associated with this is the involvement of middlemen such as brokers, agents, and general sales individuals. This leads to additional costs, usually accumulating in large fees. Spot currency trading eliminates the middlemen and enables clients to interact directly with market makers. As a result, Forex traders get quicker, easier access and cheaper transaction costs.

Market Transparency

Market transparency is the ability to clearly have knowledge of what is being traded, at what price, by whom, and where. A market/exchange with a higher transparency will lead to a more efficient market. IN the Forex market an investor doesn't need to worry about Enron scandals, or large buyouts, because they have access to real time information concerning currencies and countries. Overall, this leads to a highly efficient Forex market.

Speed and Quality of Executions

Due to the abovementioned liquidity of the Forex market, the execution speed and quality is better than that of other exchanges. In addition to this, the instantaneous availability of news and prices offers the Forex investor with the most recent information to work with.

Market Trends

The monetary volume and participation in the Forex market far surpasses any other market. Due to this, there are some of the smoothest trends available in any market. This offers Forex traders and investors a relief of not having to deal with significant changes in the market like price spikes and erratic investment behaviors, and it also offers a market where volatile conditions are not present as often as the other exchanges.

Better Leverage

One of the main advantages, yet sometimes a disadvantage, for traders on the Forex is the leverage potential at their disposal. In the Forex market, traders and investors can acquire a leverage ratio as high as 400:1. If used wisely, this can lead to huge gains in short periods of time. However, leverage is considered a double-edged sword, and if not used wisely, it can lead to some large losses.

Currencies and Currency Pairs

Most Traded Currencies (Forex symbol)

1. U.S. dollar (USD) 2. Euro (EUR) 3. Japanese yen (JPY) 4. Pound sterling (GBP) 5. Swiss franc (CHF) 6. Australian dollar (AUD) 7. Canadian dollar (CAD) 8. Swedish krona (SEK) 9. Hong Kong dollar (HKD) 10. Norwegian krone (NOK) 11. New Zealand dollar (NZD0) 12. Mexican Peso (MEX)

Major Currency Pairs

The "majors" as they are called are the currency pairs that are most traded. "Majors" trades account for roughly 90 percent of the volume of Forex trading.

The Majors are:

AUD/USD "Aussie" EUR/USD "Euro"GBP/JPY "Geppy" GBP/USD "Cable"NZD/USD "Kiwi" USD/CAD "Loonie" USD/CHF "Swissy"USD/JPY "Gopher"

Top Currency Traders (Share of the market before economic shakedown in fall '08)

1. Deutsche Bank 21.70% 2. UBS AG 15.80% 3. Barclays Capital 9.12% 4. Citi 7.49% 5. Royal Bank of Scotland 7.30% 6. JPMorgan 4.19% 7. HSBC 4.10% 

8. Goldman Sachs 3.47% 9. Morgan Stanley 2.86%

Financial Instruments

Spot (Single Payment Option Transaction)

A Spot transaction is a direct exchange between two currencies. Based on volume, Spots are the most widely used financial instrument in the Forex market. This is due to the fact that it is processed and delivered in just 2 days. Along with the timeframe of the transaction, two other benefits of Spot transactions are: there is no interest used in the transaction, and it is a cash transaction without the need for a contract.

Forward

A Forward is a transaction in which money does not change hands until a specific, previously agreed upon future date. This transaction locks in the price at which an investor can buy or sell a currency on a future date. In a forward contract, the contract holders are required to buy or sell the currency at a specified price, at a specified quantity and on a specified future date. These contracts are not transferable.

Future

Futures are forward transactions with a specified period of delivery and contract size. The average term of a Futures contract is 3 months. Futures are standardized, include an interest amount, and are traded on an exchange.

Currency Swap

A Currency Swap is the exchange of principal and interest in one currency for the same in another currency. It is the most widespread type of forward transaction. I contrast to futures contracts, currency swaps are not standardized and not traded on an exchange.

Exchange Traded Fund

An ETF is a security that tracks an index, like the S&P 500 and the stock market, but trades like a stock on an exchange. New to the Forex market in 2005, ETFs are open-ended investment companies that can be traded at any time of the day.

CORRELATION TABLEThe following tables represents the correlation between the various parities of the foreign exchange market. The correlation coefficient highlights the similarity of the movements between two parities.

If the correlation is high (above 80) and positive then the currencies move in the same way.

If the correlation is high (above 80) and negative then the currencies move in the opposite way.

If the correlation is low (below 60) then the currencies don't move in the same way.Correlation Table - Advanced Correlation

EURUSD GBPUSD USDCHF USDJPY EURGBP

EURCHF EURJPY GBPCHF GBPJPY CHFJPY USDCAD

EURCAD GBPCAD CADCHF CADJPY AUDCAD AUDUSD

EURAUD AUDGBP AUDCHF AUDJPY EURNZD NZDUS

D GBPNZD NZDCHF NZDJPY AUDNZD NZDCAD XAUU

SDOZ XAGUSDOZNum.periods [?]:   

5min correlation

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

AUDUSD 100.0 89.0 73.4 51.6 69.5 -71.3 -12.8 90.3

AUDUSD

EURJPY 85.9 100.0 74.0 -9.2 3.9 21.2 53.6 92.5

EURJPY

EURUSD

77.8 74.0 100.0 51.7 46.7 -16.8 3.5 43.9 EURUSD

50 Submit

GBPUSD 10.8 -9.2 51.7 100.0 67.4 -55.4 -61.1 -42.3

GBPUSD

NZDUSD 69.5 79.0 77.0 55.0 100.0 -44.0 8.8 70.7

NZDUSD

USDCAD -71.3 -59.1 -41.4 -20.8 -44.0 100.0 39.2 -66.3

USDCAD

USDCHF 20.4 53.6 3.5 -61.1 -57.3 75.7 100.0 70.1

USDCHF

USDJPY 70.9 92.5 43.9 -42.3 -19.3 39.1 70.1 100.0

USDJPY

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

hourly correlation

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

AUDUSD 100.0 48.9 74.0 71.9 91.3 62.5 -58.8 -53.5

AUDUSD

EURJPY 48.9 100.0 36.5 32.7 28.6 7.3 -17.3 12.0

EURJPY

EURUSD 74.0 36.5 100.0 95.7 77.5 86.3 -96.0 -87.9

EURUSD

GBPUSD

71.9 32.7 96.6 100.0 76.2 84.1 -92.4 -86.0 GBPUSD

NZDUSD 91.3 28.6 77.5 76.4 100.0 72.2 -65.9 -65.8

NZDUSD

USDCAD 62.5 7.3 86.3 84.1 72.2 100.0 -86.7 -88.2

USDCAD

USDCHF -58.8 -17.3 -96.0 -92.4 -67.8 -86.7 100.0 93.6

USDCHF

USDJPY -53.5 12.0 -87.8 -86.0 -67.0 -88.2 93.6 100.0

USDJPY

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

daily correlation

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

AUDUSD 100.0 74.7 86.8 85.7 97.7 -68.3 -73.3 -70.0

AUDUSD

EURJPY 74.7 100.0 70.0 55.1 70.1 -66.8 -36.2 -32.2

EURJPY

EURUSD 86.8 70.0 100.0 94.6 87.3 -32.6 -87.8 -89.6

EURUSD

GBPUSD 85.7 55.1 94.6 100.0 85.8 -31.2 -88.3 -91.2

GBPUSD

NZDUSD

97.7 70.1 87.3 85.8 100.0 -58.7 -79.6 -73.7 NZDUSD

USDCAD -68.3 -66.8 -32.6 -31.2 -58.7 100.0 10.0 4.1

USDCAD

USDCHF -73.3 -36.2 -87.8 -88.3 -79.6 10.0 100.0 94.7

USDCHF

USDJPY -70.0 -32.2 -89.6 -91.2 -73.7 4.1 94.7 100.0

USDJPY

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

weekly correlation

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY  

AUDUSD 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

AUDUSD

EURJPY 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

EURJPY

EURUSD 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

EURUSD

GBPUSD 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

GBPUSD

NZDUSD 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

NZDUSD

USDCAD

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 USDCAD

USDCHF 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

USDCHF

USDJPY 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

USDJPY

 AUDUSD

EURJPY

EURUSD

GBPUSD

NZDUSD

USDCAD

USDCHF

USDJPY