ChatGPT is maybe my best new friend, always there, ready to answer and polite. And it`s starting to look like, my best friend can give good financial advises.
What would you use as a negative correlation to XAUUSD?
ChatGPT
When looking for a negative correlation to XAUUSD (Gold), one commonly observed pair is the USD/JPY (US Dollar/Japanese Yen). The USD/JPY pair often exhibits an inverse relationship with XAUUSD due to the relationship between the US dollar and gold.
Gold is often considered a safe-haven asset, sought after during times of market uncertainty or economic instability. When market sentiment is risk-on and investors have a higher appetite for risk, they tend to favor the US dollar as a reserve currency and may sell gold, leading to weakness in XAUUSD. Conversely, during risk-off periods, when investors seek safer assets, the US dollar may weaken against the Japanese yen, while gold (XAUUSD) may strengthen.
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What would you use as a negative correlation to XAUUSD, exclude USDJPY?
Excluding USD/JPY as a negative correlation to XAUUSD (Gold), another commonly observed pair is the USD/CHF (US Dollar/Swiss Franc). The USD/CHF pair often exhibits an inverse relationship with XAUUSD due to the safe-haven status of the Swiss franc and its relationship with the US dollar.
During periods of market uncertainty or risk aversion, investors often seek safe-haven assets such as gold and the Swiss franc. As a result, XAUUSD may strengthen while the USD/CHF pair weakens. Conversely, during risk-on periods when investors are more willing to take on risk, the USD/CHF pair may strengthen, and XAUUSD may weaken.
Re: Hobby corner
24This indicator has VWAP, I use it like with Daily Pivot, when price is above both, only long trades and when price is under both, then I am looking only short trades. I only use VWAP from that indicator, other options "false".
