Hi,
Maybe a silly question but it does seem logical to me.
If we are trading variable base currency pairs against the USD. (ie GBP/USD, AUD/USD and NZD/USD) then as a general rule would all of them follow the same trend?
All go down for instance due to climbing USD!!
AND CONVERSELY - USD base currency pairs (ie USD/JAP, USD/CAD) be falling due to due to stronger USD making it's pair weaker.
Hope this is explained well enough. Just asking if this logic would be a fair assumption.
Given the fact that is indeed the case - then if you are going short on say AUD/USD then it would be pointless going short on JPY/USD, due to conflicting trends.
Thoughts please
Maybe a silly question but it does seem logical to me.
If we are trading variable base currency pairs against the USD. (ie GBP/USD, AUD/USD and NZD/USD) then as a general rule would all of them follow the same trend?
All go down for instance due to climbing USD!!
AND CONVERSELY - USD base currency pairs (ie USD/JAP, USD/CAD) be falling due to due to stronger USD making it's pair weaker.
Hope this is explained well enough. Just asking if this logic would be a fair assumption.
Given the fact that is indeed the case - then if you are going short on say AUD/USD then it would be pointless going short on JPY/USD, due to conflicting trends.
Thoughts please