I read that GBPJPY is positively correlated with CHFJPY. ie, if GBPJPY go up, CHFJPY also go up.
I fully understand what correlation is. But what I dont understand is the correlation number.
ie, GBPJPY and CHFJPY has a +80 correlation.
I know that a correlation of 100 will exactly mirror each other. But what about 80? does 80 mean 80% (ie, GBPJPY go up 100pips, CHFJPY go up 80pips) ?
Or is there some other Magic involved?
I fully understand what correlation is. But what I dont understand is the correlation number.
ie, GBPJPY and CHFJPY has a +80 correlation.
I know that a correlation of 100 will exactly mirror each other. But what about 80? does 80 mean 80% (ie, GBPJPY go up 100pips, CHFJPY go up 80pips) ?
Or is there some other Magic involved?