Discover How Markets Move Together
Visualize the correlation between currencies, metals, indices, crypto, and CFDs — identify trading opportunities and hedge smarter.
Finup Global — Market Correlation Matrix
Compare correlation across major, minor, metals, crypto, and index pairs.
What Is a Correlation Matrix?
The correlation matrix helps traders understand how different assets move relative to each other.
A value of +1 means two assets move in the same direction, while –1 means they move in opposite directions.
Understanding these relationships allows you to diversify your portfolio, hedge risk, or build pair-based strategies.
Example:
If EURUSD and GBPUSD are highly correlated (+0.9), they often trend together.
If XAUUSD (Gold) and US30 (Dow Jones) show negative correlation (–0.7), gold tends to rise when stocks fall.
📊 Why Correlation Matters
| Benefit | Description |
|---|---|
| 🧠 Better Risk Management | Avoid overexposing your account to similar trades. |
| 📉 Smarter Diversification | Mix assets that don’t move together to stabilize returns. |
| 🔁 Hedging Opportunities | Offset risk by balancing correlated and inverse assets. |
| ⚡ Improved Strategy Design | Build portfolio or grid systems that rely on cross-pair behavior. |
🧮 How to Use the Correlation Matrix
1️⃣ Select the pairs or assets you want to compare (majors, minors, crypto, metals, indices).
2️⃣ The table shows correlation coefficients from –1 to +1.
3️⃣ Green cells = move together (positive correlation).
4️⃣ Red cells = move opposite (negative correlation).
5️⃣ Use this data to plan hedges, diversified positions, or multi-asset strategies.
💡 Quick Example
| Comparison | Correlation | Insight |
|---|---|---|
| EURUSD vs GBPUSD | +0.88 | Strong positive correlation – move together. |
| USDJPY vs XAUUSD | –0.65 | Inversely related – yen strength often means gold up. |
| BTCUSD vs NAS100 | +0.72 | Crypto tends to follow tech stocks. |
| XAUUSD vs SPX500 | –0.75 | Gold rises when equities fall. |
📘 Educational Insight (Finup Academy)
Professional traders use correlation to manage exposure across asset classes.
By tracking relationships between currencies, indices, and commodities, you can build strategies that adapt to global risk sentiment.
Learn how to integrate correlation analysis into your trading with our Advanced Risk & Strategy Course at Finup Global Academy.