|
Indices
A few people have asked me about my thoughts on correlation between USDJPY and the Dow Jones.
As mentioned in previous posts I consider Crude Oil to be the Chairman of the Club, with Gold the Manager who controls the players being the Major Currency pairs including USDJPY
I also like to visualise this 'Chairman' as having his sticky fingers in many a pie including the Stockmarkets.
See how the stronger Dollar on the back of weaker Crude gives impetus to the Dow Jones, who coincidentally is the CEO and driving force of the rest of the major Indices. Frankfurts XetraDax, Paris's CAC40, London's FTSE100, Tokyo's Nikkei225 and so on are all bossed about by the Dow, who I like to see driven by the opposing directiojn of Crude Oil at the moment.
Naturally this is not always the case and it won't last forever, but it's a very good benchmark to use right now as the snap-shot clearly demonstates.
__________________
I'm now sending trading notes out twice a day with videos too. Have a look HERE.
There's one set at 6:30 UK time for London and one at 12:00 for U.S session, plus I will send a summary video after each session 
|