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Current signal: Buy AUD Sell USD

Updated matrix is available every 15 min (when the markets are open).

 

Sym 1 Hr rank 4 Hr rank 1 Day rank 1 Week rank Total weighted score
AUD 1 2 1 2 14
GBP 2 3 4 3 28
CHF 3 5 5 4 41
EUR 4 8 7 1 55
CAD 5 1 2 6 33
USD 6 7 8 7 68
JPY 7 6 6 8 66
NZD 8 4 3 5 55

01

How is this matrix calculated?

Currency Strengths Matrix is calculated by plotting rank of each currency based on it's strength across all four timeframes - 1 hr, 4 hr, 1 day and 1 week. For example - if EUR is the strongest currency for 1 hr period then it's rank for 1 hr period is 1. Similarly if USD is the weakest for 1 hr period, it's rank is 8 and son on. Since there are 8 majors, there are 8 rows for each time period listing 1 to 8 rank for each currency. Same rankings are calculated for other three periods and plotted in a table as shown above. Sum of the ranks across all 4 timeframes consitutes the overall rank of that currency.

02

How is this matrix useful to traders?

Any forex trader can check this matrix to get a quick overview of where each currency lies in terms of it's strength across the four timeframes. Currency with lowest rank is the one that has highest probability of trending upwards in near future and vice-versa. This can provide a good guidance for short-term where the currency pair can be quickly identified for trading. Traders can then do more research and analysis and make the trading decision.