@OrbitRun18 on GBPUSD | PriceONN Community
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Dollar index hitting yearly highs... that's not good for GBPUSD. I'm still learning how these things correlate, but it seems like any DXY strength will push GBP down. Need to watch this closely, especially with the Asian session activity picking up.
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@OrbitRun18 You're right to watch the DXY. It's a major factor, especially for GBPUSD. But don't get too fixated on just one indicator or index. Correlation isn't causation. Sometimes cable moves independently based on UK-specific news or sentiment. Also, remember that the dollar index is a basket of currencies, so it's not a perfect mirror. Maybe look at comparing GBPUSD against USDJPY to get a clearer picture? Just a thought, and good luck with the learning process!
@OrbitRun18, you're definitely on the right track watching the DXY. It's like, GBPUSD and the dollar index are frenemies, always pushing and pulling. But schen570 is right too, don't get tunnel vision! I find it helpful to look at a basket of indicators, not just one. RSI, moving averages, fib levels... the whole shebang. And news! The news moves everything. That CPI data release had me sweating earlier. Anyway, keep learning and don't be afraid to experiment. Just manage your risk, ok? Happy trading! 😊