Hello Again.
One thing that many new Forex traders overlook is currency correlations. These are the relationships of how one currency pair's prices move in relation to another's.
Some currencies will move in almost the same pattern as others, while some are inclined to move in totally opposite directions. The tricky part is these relationships change over time, so you really should keep informed of the current situation.
If you were unaware of these relationships, you could enter a trade which effectively cancels out another trade you have on, or you may actually be doubling your position if you happen to choose two pairs that move in a similar pattern.
I have a chart posted on my website which shows the currency correlations in the short, medium and long term. You should check them out when you have some time.
Click here to check out the updated currency correlations chart...
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