Quote:
|
Originally Posted by traderix
Hi Nina,
I need some explanation about the correlation EUR/USD and USD/CHF.
They work normally as a mirror. If the big boys are long USD.. EUR/USD will go down and USD/CHF up.
But what happens if both go in the same direction?
THXS
traderixx
|
Hi traderix,
I'm not Nina, nevertheless my explanation:
CHF is a currency which is a little bit more constant than the others.
So if usdchf goes down, that means normally (when the others pairs with the usd inside don't show other things) usd will get weaker.
When usd gets weaker --> eur will get stronger --> eurusd will go up.
This are crossrates - currency x to y, what mean there are always two contrary sides.
The last thing happens not very often and the only for a short time. Thats a dangerous signal because it is not durable.
b.r. mibl