News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Gold
Bullish
GBP/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • Chinese Foreign Ministry: Noticed Report on US halting Huawei supply Urge US to withdraw wrong decision US Huawei move damaging internet supply chains - BBG
  • Canadian Dollar Outlook: USD/CAD Rebound May Continue Ahead of BoC - https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/euro_open/2021/01/18/Canadian-Dollar-Outlook-USDCAD-Rebound-May-Continue-Ahead-of-BoC.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $CAD $USDCAD https://t.co/xfAI9M7wi0
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/cP7ZhDHoNA
  • Heads Up:🇨🇳 FDI (YTD) YoY (DEC) due at 07:00 GMT (15min) Previous: 6.3% https://www.dailyfx.com/economic-calendar#2021-01-18
  • Wall Street Futures Update: Dow Jones (-0.133%) S&P 500 (-0.193%) Nasdaq 100 (-0.184%) [delayed] -BBG
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwMVKo https://t.co/dPj0seqzQS
  • An upbeat China Q4 GDP reading sent mainland and HK stocks higher, but failed to lift stocks in the rest of Asia: - CSI 300 (+1.20%) - Shanghai Composite (+0.91%) - Hang Seng (+0.65%) - Nikkei 225 (-1.01%) - ASX 200 (-0.78%) - Straits Times (-0.80%)
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in NZD/USD are at opposite extremes with 68.27%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/dNtaWoHOAB
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.15% 🇪🇺EUR: -0.04% 🇨🇭CHF: -0.04% 🇬🇧GBP: -0.16% 🇦🇺AUD: -0.23% 🇨🇦CAD: -0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/FXFxoaAZph
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.12% Wall Street: -0.16% France 40: -0.17% US 500: -0.24% Germany 30: -0.30% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/XHqhYhvlBt
Correlation Doesn't Align Traders Positions Among EURUSD, Shares, Gold

Correlation Doesn't Align Traders Positions Among EURUSD, Shares, Gold

2016-03-31 03:48:00
John Kicklighter, Chief Strategist

Talking Points:

  • There are a number of strong correlations in the financial market from the thematic to the practical
  • Yet, despite strong statistical correlations, related assets often see very disparate positioning
  • We look at a number of remarkable divergences including: USDCAD-Oil; USDJPY-SPX and EURUSD-USDCHF amongst others

See how retail traders are positioning in the majors using the FXCM SSI readings on DailyFX's sentiment page.

There are a number of popular correlations drawn across pairs, assets and markets. Yet, the speculation doesn't always conform like price does. Among the motivators there are fundamental supply-demand connections, practical capital flows linking and thematic drivers (like risk trends). Yet as clear and pervasive as some of the most popular cross-market connections may be, there are frequently wide gulfs in the way that traders are positioned in the bedfellows. On a 'risk' basis, price correlation between USDJPY and the S&P 500 has proven remarkable. Yet, despite the strong link, we find speculative positioning among retail traders (SSI) and speculative futures traders (COT) very different. It can vary so dramatically in fact that there are severe disparities in trading views across global equity indexes. We look at a range of correlations with surprising speculative backing including US Oil - USDCAD, AUDUSD - NZDUSD, gold - silver, and EURUSD - USDCHF as well as what the market and trading implications may be in today's Strategy Video.

To receive John’s analysis directly via email, please SIGN UP HERE

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES