Resolved Question
How can we use Intermarket Analysis to Swing trade Forex?
I read john Murphy's book about the above subject but haven't got any clue how to trade Forex using it, (Swing Trading or Day Trading)
about 1 year ago
Best Answer - Chosen by Asker
I haven't read John Murphy's book myself but I presume the content is similar to other books discussing intermarket analysis. The topics might be a bit heavy but it could be useful to take note of the correlations mentioned in the book, such as commodity prices and futures prices. What you can do is monitor the behavior of these assets and use the correlations to predict how particular currencies would behave.
about 1 year ago
Answers (1)
You can use intermarket analysis in a variety of way to trade currencies. Commodities like gold and oil, for example, are positively correlated with the Aussie, Kiwi, Loonie, and Swissy. Here, if you see an uptrend in either gold or oil prices, then you can use it as a gauge to go long on the mentioned currencies as well.
about 1 year ago
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