What Does it Mean for Trading When Two Currencies Move in Opposite Directions

What Does it Mean for Trading When Two Currencies Move in Opposite Directions – Forex Trading Forum


What Does it Mean for Trading When Two Currencies Move in Opposite Directions

 

There was a time when bank traders were free with disclosing real money flow information.  Those were the days as we used bank traders used to post on our private global-view forum.

Those days are long gone.

Nowadays, even if bank traders wanted to pass on flow information they are no longer permitted to do so.

This leaves those on the outside looking for any clues to reduce risk and time when they are real money flows in the market

How to identify the timing

One way is to identify the timing is to use my Amazing Trader charting algo where its trading lines (I.e. falling blue or rising red) indicate real money flow orders in the market.

When two Currencies Move in Opposite Directions

A way to identify what real money flows are driving the price action is to look at crosses for clues.  In this regard, when two currencies move in opposite direction it is an indication that track money flows are behind the moves.

Learn How You Can Use Currency Crosses to Trade Spot Forex

A good illustration was on Feb 17, 2025 where flows out of the EUR into the JPY weighed on the EURUSD while helping to weaken USDJPY while giving support to GBPUSD.  I call this a tug-of-war and a way to identify what real money flows are driving a market.

 

Forex HEATMAP (EURUSD, USDJPY down, GBPUSD up

What Does it Mean for Trading When Two Currencies Move in Opposite Directions

EURGBP DOWN

What Does it Mean for Trading When Two Currencies Move in Opposite Directions

 

EURJPY DOWN

eurjpy

 

EURUSD DOWN

eurusd

 

GBPUSD UP

What Does it Mean for Trading When Two Currencies Move in Opposite Directions

 

USDJPY DOWN

usdjpy

 

 

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