Are you talking about the influence of one market over another?
Can Tik Tok mess up Forex?
- Thread starter terrifrancis
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Yep, tighter the spread, fewer pips will be required to trade in profit. I usually scalp with fxview and fxpro because of their graphs, technical indicators, and pips. Is there any other broker offering better scalping tools or I should stick with these?
Been reading a lot about it and you seem to be right. The Canadian dollar and Japan are correlated to oil. Same way, Australia and New Zealand are correlated to both gold and oil prices.
Don’t forget that quite often, the correlations break down and reverse for extended periods. You must be careful and vigilant while monitoring the opportunities.
yes exactly ; some forex pairs are highly correlated with some commodity markets : for example USDCAD et oil ; there are many other examples.
Nonetheless traders must realize that the divergence can last for a longer time than they expected.
That’s true, financial markets are surely inter dependent. What I find hard to digest is that the shape of the economy does not always have its impact on the market!
Correlation scale is fine. Even if you’re a beginner, the scale of -1 to 1 is very easy to understand.