The forex industry is made up of countless definitions and it's easy to forget a few along the way. But because no forex education can be complete without a glossary of forex terms, we've compiled one which aims at explaining key definitions in the simplest way possible. This way, you'll never be lost or confused again!
A technical analysis methodology that examines the correlations between four major asset classes: stocks, bonds, commodities, and currencies. For example, Stock Market and Treasury Bonds are positively correlated. Whereas Interest Rates are negatively correlated to both markets. Commodities and Bonds usually move in opposite directions. The US Dollar and Gold are also negatively correlated.
Category: Technical Analysis