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How Key Market Correlations Affect Your Trading

Posted in Technical Analysis
2 minute read
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Understanding how and why different assets correlate is key to your success as a trader. The immediate performance in price of any given asset is far from random; it can often be explained by how each market interrelates to other assets and broader macroeconomic themes. Read on to learn more.

How the FX market interrelates with stocks, bonds, and commodities

Stock traders getting into FX

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Source: TradingView, AUD/JPY 07/04/23

Fixed Income and FX

Commodity traders

Oil Traders

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Source: TradingView, USD/CAD 07/04/23

Gold Traders

Copper Traders

Base Metals

The Bottom Line

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