Recent content by tlcap

Global Forex Trading says they do with their new beta version. www.gftforex.com I havn't tried it though. I don't use GFT because they don't trade minis.

based on my quick research it does vary over time but rarely drops below .5 for example, EUR/USD, AUD/USD have a corr. of .951 over the last year but it's only .716 over the last 3 months. I would love to see numbers on emerging market correlations if anybody has any info.

yes, .5 is on the low end. most are between .7 and 1. However, I think these tend to change if a country experiences a local crises (i.e. an earthquake) so you would have some risk protection. I am not sure about emerging markets but I would bet you would get diversification benefits there.

The correlation vs the $ is above 50 for most of the major pairs most of the time. So going long/short the $ vs multiple currencies isn't going to help much from a diversification standpoint. Spread bets are the best option for risk control. The one exception to this is the Yen lately. I...