On the Forex market Correlation between financial instruments defines the relationship between the assets.
A positive correlation means that the price of different financial instruments will act in a similar manner on the financial market, meaning if the price of one asset rises the other is likely to rise as well.
A good example of positive correlation is GBP/USD and EUR/USD.
A negative correlation means that the price of different financial instruments will act in an opposite manner on the financial market, meaning if the price of one asset rises the other is likely to fall in price.
A good example of negative correlation is USD/CHF and EUR/USD.
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