Currency Strength Meter UK. All rights reserved. Currency Strength Meter designed this site map in house. Special thanks to Forex Rate
As we approach another week, there's a few key events worth keeping an eye on. These are the usual suspects.
The free currency strength meter will help you determine which currencies have the most currency strength. The 8 major currencies are continuously monitored and the calculations are made using 28 currency pairs in order to determine each currency's overall strength.
Here is how we calculate the percentage changes for each currency pair using the standard formula:
Our meter uses more pairs and averages the gain or loss over several time periods to calculate an overall strength. It does not calculate an index price, but it measures strength using a numerical scale.
A number of economic events are worth your attention this week. These events are important so pay close attention!
Which currency is currently trending? Is it bearish or bullish? What is the current trend strength of the currency? The trend direction of the currency is bullish if it is plotted on its right side. The stronger its bullish tendency strength is, the closer it is to that upper right corner. If the currency is plotted on its left side, it is in bearish trend. The stronger its bearish trend strength, the closer it is to lower left corner.
The New Zealand Dollar has seen the largest Forex market move of all time. The New Zealand dollar has been gaining traction.
This is different from a currency index. The US Dollar Index is an example of a weighted index that compares the Dollar's value to a basket currency. At the time this article was written, the US Dollar Index is weighted as:Euro 57.6%.Yen 13.6%. British Pound 11.9%. Canadian Dollar 9.1%. Swedish Krona 4.2%. Swiss Franc 3.6%.
We calculate the underlying strength of each currency by combining 28 Forex pairs.
What currency has been the most powerful over the past 30 days? This chart allows you to compare the relative strength over a time period.
This is especially true for those who trade markets in a shorter period of time. A Monday gap-open could give you false information about the strength of a particular currency. Visually verifying what the currency strength indicator is saying about a currency is crucial.
Which currency is currently trending? Is it bearish or bullish? What is the current trend strength of the currency? The trend direction of the currency is bullish if it is plotted on its right side. The stronger its bullish tendency strength is, the closer it is to that upper right corner. If the currency is plotted on its left side, it is in bearish trend. The stronger its bearish trend strength, the closer it is to lower left corner.
* The USD is the quote for a pair. We invert negative or positive numbers, but base pairs retain their value.