portfolio are correlated. Click on the various currency pairs to generate their respective charts below the main currency. The length of the series is given by the "Num Period" field. Two correlated currencies will have a coefficient close to 100 if they move in the same direction and of -100 if they move in opposite directions. Modification of the market, a modification of the correlation, principally over the long-term, may demonstrate that the market is undergoing a change.
Real time forex correlation analysis by timeframe
Correlation measures the relationship existing between two currency pairs. To learn more click here. If you're happy with this continue to use our site without changing settings, or find out how to manage cookies. For example, if eurusd and gbpusd are strongly correlated for several months and then de-correlate, that may be a sign that market sentiment concerning the EUR and/or GBP is in the process of changing; one may be seeing the start or end of a trend. For example, it enables us to know whether two currency pairs are going to move in a similar way or not. Breaking News, currency Pair: time Frame: Number of Periods:, calculate. In this case, it is important to adjust the size of the positions in order to avoid a serious loss. For further information about the calculation, you can visit the Wikipedia page: How is the data used? Use the pull down menus to choose the main currency pair, the time frame and amount of periods. The correlation of currencies allows for better evaluation of the risk of a combination of positions. This tool displays correlations for major, exotic and cross currency pairs.