How can This Tool Help You on Your Trading? Looking at the heat map, traders can spot which currencies are stronger, and weaker in real-time, and how strong they are in relation to one another. The currency heat map displays a quick overview of the FX market price action. Just like a Forex strength meter, a currency heat map, works about the same way.
The overall result of the currency strength for the Euro will be extracted from the recent values of this base currency against a pool of several other currencies.įor example, to measure the strength of the Euro currency, the strength meter would calculate the exchange rate strength of all pairs with EUR EUR/USD, EUR/JPY, EUR/CAD, EUR/AUD, etc.
Using Trend Indicators to Confirm a Currency Pair Strengthįorex Strength Meter and Currency Heat Mapįorex strength meters use the currencies exchange rates of different pairs to originate a comparable strength for each currency.How to Use Currency Correlations to Calculate Currency Strength?.
