GBP/USD and USD/JPY Correlation

Beginner Questions
1

Hi,

All along Ive heard people say that those two pairs have a strong reverse correlation, but when I look at Correlation Charts or online Correlation tools that I find the results usually suggest that there is little correlation between the two. Whats the case with these two pairs guys? Thanks!

2

I don’t see a strong correlation between the two either. However, they will move inversely if the cause of the move is because of USD. If USD is strengthening, GPP/USD will move down assuming GBP is staying constant.

If USD is strengthening, USD/JPY will move up assuming JPY is staying consant.

Does this help?

Paco

3

I like to trade with currencies correlated i prefer

EURUSD – USDCAD

GBPUSD – EURGBP

USDJPY – EURJPY

and what i achieved

1year3.jpg700Ă—347 60.3 KB

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4

Lazaras has risen…9 years after his death, probably smells a bit

5

I am still confused how to choose pair that has corelation and how to trade with, gbpusd and usdjpy, mighht that has corelation is on usd currency, if these currency move strong hece another pair that has element of usd will move strong too

7

Thank you for giving the good information about trading in these pairs and i will see how much trading i am able to do in them now :wink:

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