Forex platform?

[ayush2020]

Mubzaveri, all forex pairs are correlated by virtue of their mathematical relationship.
There are many mathematical relationships to consider, but let me cover the very basic:
Open the chart and check the rate anytime you want, and you will notice that EUR/USD*USD/JPY=EUR/JPY. In algebra we learned that when like terms are in the numerator and the denominator, they cancel out or equal 1. In this equation, the USD's cancel out and you are left with the EUR/JPY. So, we conclude that the EUR/JPY is half related to the EUR/USD by this very relationship.
As far as the GBP/USD and USD/CHF are concerned, they are half related by virtue of the common currency, the USD. If there is a strong move in the USD Index, like what we saw this week, then it will be the USD moving those currency pairs. The USD Index moved south, so the GBP/USD has moved UP, and the USD/CHF has moved DOWN.
You are going to notice over the next several months that the GBP/CHF is going to rise much higher. During these months there will be times when the GBP/USD and USD/CHF will move north together.

There is also a way to prove mathematically how to determine which currency is going to be the strongest mover of any currency pair. If you are interested, I'll share that.
The thing I love about the mathematics of the markets is that it simply dispels so many of the theories concerning the markets' movements, and even takes the argument completely out of its respective movements.

yes dear im interested to learn this one.. as u have pointed out here

There is also a way to prove mathematically how to determine which currency is going to be the strongest mover of any currency pair. If you are interested, I'll share that.

 

[4xpipcounter]

Ayush, I'm happy to. Give me 24 hours from this post to get it together. It's late here now, and there is a little more than meets the eye, but you will be convinced when I'm finished. It is solely the mathematics of the forex markets.

yes dear im interested to learn this one.. as u have pointed out here

There is also a way to prove mathematically how to determine which currency is going to be the strongest mover of any currency pair. If you are interested, I'll share that.

 

[mubzaveri]

paul sir,
me too waiting to learn............

 

[ayush2020]

Ayush, I'm happy to. Give me 24 hours from this post to get it together. It's late here now, and there is a little more than meets the eye, but you will be convinced when I'm finished. It is solely the mathematics of the forex markets.

k .. will wait ..:thumb:

 

[4xpipcounter]

In order to prove the point of what I'm about ready to show, I am going to use 3 currencies, which will be the Euro, GBP, and the yen, while be compared to the USD.
It is a fact that it does not matter what currencies you use, as it could just as well as be the CAD, CHF, NZD being compared to the NZD.

First, let's establish one fact, and this is for the ones that read this post that have not read my previous posts of mine regarding the mathematics of the markets. Again, we can choose any currency pairs because it is still pure mathematics:
GBP/USD*USD/JPY=GBP/JPY. If you don't believe it (I kind of hope you don't, then you will check it for yourself.), then check the current rate of the GBP/USD and the USD/JPY. Multiply them together, and see if it does not equal GBP/JPY.
Algebraic proof is we have USD in the denominator and numerator, so the cancel each other out, because anything over itself equals 1. We are left with GBP/JPY.

The next query is which currency moves which currency pair. There is a lot of FA conjecture along those lines, but anyone that knows 4xpipcounter, he could care less about FA's. They put him to sleep. He only wants to know facts. So, here they are.
The first thing we need to look at are the daily ranges for this year:
EUR/USD: 148
GBP/USD: 144
USD/JPY: 65
EUR/JPY: 146
GBP/JPY: 140
EUR/GBP: 69
The range is the average high/low spread for any day.

Next is the current rates that I used for this montage:
EUR/GBP: .8554
EUR/JPY: 104.52
GBP/JPY: 122.21

What does that mean?
For every .8554 pips the Euro moves, GBP will move 1 pip in order to stay in the same place. In other words, if the GBP moves 10,000 pips north, and the euro moves 8,554 pips north, then the rate for the EUR/GBP will still be .8554.
Here's an example. The current rate for the EUR/USD was 1.3448 and GBP was 1.5722 (Divide the EUR/USD rate by the GBP/USD rate and tell me what you get.). If the GBP/USD moves up to 1.6722, and the EUR/USD moves to 1.4303, then the EUR/GBP is still .8554. Notice the GBP would have risen 1,000 pips and the euro would have risen 855 pips.

Now we take the range factors. This is where we divide the ranges to decide how much faster once currency is moving than the other.
The EUR/GBP is 1.0278, which means the euro moves 1.0278 times as fast as the gbp, or 2.7% faster:
EUR/GBP:1.0278
EUR/JPY: 2.2461
GBP/JPY: 2.2154

Now we divide the current rate by the range factor in order to determine which currency has the greatest effect on the pair. In order to cut ot the chase for now, a number over 1 favors the primary currency and under 1 favors the secondary currency:
EUR/GBP: 1.2015
EUR/JPY: 2.1490
GBP/JPY: 1.8128

Those numbers tells us almost invariably, the EUR/JPY is moving in the same direction as the EUR/USD, but the euro against the GBP does not have quite the obvious effect, as the euro has against the yen.

This can be proven by pulling out the daily charts and comparing candle for candle the EUR/USD and EUR/JPY and see what few exceptions there would be in their respective candles moving the same direction. Yet, you will notice more exceptions by comparing the EUR/USD to the EUR/GBP.

It was just a few years ago when it was the yen that moved the GBP/JPY. There was so much stereotype in those days because most people thought the GBP that moved the pair. This is because the GBP/USD was always a faster moving pair than the USD/JPY. In recent years, the yen has gotten even slower, and the rate on the GBP/JPY has dropped significantly. What you had a few years ago was a lower range factor with a higher rate to divide by, which meant a significantly lower dividend that was less than zero, which meant the yen moved the GBP/JPY.

 

[mubzaveri]

awesome, that means that if we see trend reversal in one pair,then we can expect the same in other related pair,
million dollar info............................

 

[4xpipcounter]

Yes, but I have a special discount today. I'm only charging you one thousand dollars--lol.

You are right, but I still prefer evaluating a single pair within its on context. Go back and look at that post, and notice the higher the price goes the more it favors the yen.
If the forecast is right concerning the EUR/JPY heading below 100, then it will be all the more that you will notice the movement in the EUR/USD and EUR/JPY directly correlated. The same can be said for the GBP/JPY and GBP/USD.
As long as the EUR/GBP keeps dropping, that scenario will also favor even more the euro.

awesome, that means that if we see trend reversal in one pair,then we can expect the same in other related pair,
million dollar info............................

 

[Piratetrader]

In order to prove the point of what I'm about ready to show, I am going to use 3 currencies, which will be the Euro, GBP, and the yen, while be compared to the USD.
It is a fact that it does not matter what currencies you use, as it could just as well as be the CAD, CHF, NZD being compared to the NZD.

First, let's establish one fact, and this is for the ones that read this post that have not read my previous posts of mine regarding the mathematics of the markets. Again, we can choose any currency pairs because it is still pure mathematics:
GBP/USD*USD/JPY=GBP/JPY. If you don't believe it (I kind of hope you don't, then you will check it for yourself.), then check the current rate of the GBP/USD and the USD/JPY. Multiply them together, and see if it does not equal GBP/JPY.
Algebraic proof is we have USD in the denominator and numerator, so the cancel each other out, because anything over itself equals 1. We are left with GBP/JPY.

The next query is which currency moves which currency pair. There is a lot of FA conjecture along those lines, but anyone that knows 4xpipcounter, he could care less about FA's. They put him to sleep. He only wants to know facts. So, here they are.
The first thing we need to look at are the daily ranges for this year:
EUR/USD: 148
GBP/USD: 144
USD/JPY: 65
EUR/JPY: 146
GBP/JPY: 140
EUR/GBP: 69
The range is the average high/low spread for any day.

Next is the current rates that I used for this montage:
EUR/GBP: .8554
EUR/JPY: 104.52
GBP/JPY: 122.21

What does that mean?
For every .8554 pips the Euro moves, GBP will move 1 pip in order to stay in the same place. In other words, if the GBP moves 10,000 pips north, and the euro moves 8,554 pips north, then the rate for the EUR/GBP will still be .8554.
Here's an example. The current rate for the EUR/USD was 1.3448 and GBP was 1.5722 (Divide the EUR/USD rate by the GBP/USD rate and tell me what you get.). If the GBP/USD moves up to 1.6722, and the EUR/USD moves to 1.4303, then the EUR/GBP is still .8554. Notice the GBP would have risen 1,000 pips and the euro would have risen 855 pips.

Now we take the range factors. This is where we divide the ranges to decide how much faster once currency is moving than the other.
The EUR/GBP is 1.0278, which means the euro moves 1.0278 times as fast as the gbp, or 2.7% faster:
EUR/GBP:1.0278
EUR/JPY: 2.2461
GBP/JPY: 2.2154

Now we divide the current rate by the range factor in order to determine which currency has the greatest effect on the pair. In order to cut ot the chase for now, a number over 1 favors the primary currency and under 1 favors the secondary currency:
EUR/GBP: 1.2015
EUR/JPY: 2.1490
GBP/JPY: 1.8128

Those numbers tells us almost invariably, the EUR/JPY is moving in the same direction as the EUR/USD, but the euro against the GBP does not have quite the obvious effect, as the euro has against the yen.

This can be proven by pulling out the daily charts and comparing candle for candle the EUR/USD and EUR/JPY and see what few exceptions there would be in their respective candles moving the same direction. Yet, you will notice more exceptions by comparing the EUR/USD to the EUR/GBP.

It was just a few years ago when it was the yen that moved the GBP/JPY. There was so much stereotype in those days because most people thought the GBP that moved the pair. This is because the GBP/USD was always a faster moving pair than the USD/JPY. In recent years, the yen has gotten even slower, and the rate on the GBP/JPY has dropped significantly. What you had a few years ago was a lower range factor with a higher rate to divide by, which meant a significantly lower dividend that was less than zero, which meant the yen moved the GBP/JPY.

Sir I read this post 3 times with full concentration trying my best to understand this, the best of my ability the best my brain could offer But I gave up ! sir you would have to teach me some maths also now

 

[4xpipcounter]

Let me review it, then let's figure out what you do not understand:

1. I explained using the GBP/USD and USD/JPY as examples that you would take the GBP/USD and multiply it by the USD/JPY and it will equal the GBP/JPY. The reason I did that was to give a conceptual idea of how the math of the market works. If you did not do that, then I would suggest to do it in order to prove that at least this part works.

2. I gave the average daily range of 6 pairs. The range is simply a measure of the distance between high and low. Take all those distances, then average them together, and you get the average range.

Keep in mind. You do not have to go back and do all this yourself, but all the steps are necessary to figure which currency is the dominant one in a trend. The first part was used to show, in part, how every single currency is interrelated.

3. I gave the current rates. This is because we need to start somewhere. A rate is necessary to divide with the range because of the whole process.
Within that context, it is saying that if the EUR/USD moves 855 pips and the GBP/USD moves 1,000 pips, the EUR/GBP rate will remain the same. This can also be said exactly the same if we compare the EUR/AUD and the GBP/AUD
It is not necessary to understand the derivation, but the concept.

4. Next I figured the range factors. This is necessary to know in order to see how much quicker one currency moves than the other.

5. We divide the current rate and the range factor. This will show us which currency is the dominant one of the pair.

It is not necessary to understand the math, but it helps. After all, if someone says (Nothing personal here, Michael.) there is no relationship between currencies or currency pairs, then you can just go through the formula and prove to them, beyond any shadow of a doubt that there is. You would even be bale to explain to them that as a currency pair goes lower, it favors the primary currency, and as it goes higher, it favors the secondary currency.

You can even take multiple currencies and currency pairs to show their mathematical interrelationship, and prove it is next to impossible to manipulate forex.

Sir I read this post 3 times with full concentration trying my best to understand this, the best of my ability the best my brain could offer But I gave up ! sir you would have to teach me some maths also now

 

[ayush2020]

Let me review it, then let's figure out what you do not understand:

1. I explained using the GBP/USD and USD/JPY as examples that you would take the GBP/USD and multiply it by the USD/JPY and it will equal the GBP/JPY. The reason I did that was to give a conceptual idea of how the math of the market works. If you did not do that, then I would suggest to do it in order to prove that at least this part works.

2. I gave the average daily range of 6 pairs. The range is simply a measure of the distance between high and low. Take all those distances, then average them together, and you get the average range.

Keep in mind. You do not have to go back and do all this yourself, but all the steps are necessary to figure which currency is the dominant one in a trend. The first part was used to show, in part, how every single currency is interrelated.

3. I gave the current rates. This is because we need to start somewhere. A rate is necessary to divide with the range because of the whole process.
Within that context, it is saying that if the EUR/USD moves 855 pips and the GBP/USD moves 1,000 pips, the EUR/GBP rate will remain the same. This can also be said exactly the same if we compare the EUR/AUD and the GBP/AUD
It is not necessary to understand the derivation, but the concept.

4. Next I figured the range factors. This is necessary to know in order to see how much quicker one currency moves than the other.

5. We divide the current rate and the range factor. This will show us which currency is the dominant one of the pair.

It is not necessary to understand the math, but it helps. After all, if someone says (Nothing personal here, Michael.) there is no relationship between currencies or currency pairs, then you can just go through the formula and prove to them, beyond any shadow of a doubt that there is. You would even be bale to explain to them that as a currency pair goes lower, it favors the primary currency, and as it goes higher, it favors the secondary currency.

You can even take multiple currencies and currency pairs to show their mathematical interrelationship, and prove it is next to impossible to manipulate forex.

thanx for ur valuable inputs.. to understand all these I need to study it again & again..