I have a question on how correlation is calculated. The correlation of the EUR/USD to the USD/CHF is around -97. Its the same with GBP/USD to the USD/CHF. Here are the average daily ranges of the three for months 09/2006 to 11/2006:
EUR/USD: 69
USD/CHF: 86
GBP/USD: 112
How does range enter into correlation figures? How is correlation figured?
Thanks.
EUR/USD: 69
USD/CHF: 86
GBP/USD: 112
How does range enter into correlation figures? How is correlation figured?
Thanks.
"Its not where your at, but where your coming from"