Trading Forex in Baskets to diversify trading risk for both, speculative trading or hedging Forex risk by 
There are many way’s to rank strength and weakness of the currecy pairs.
Below the ranking of the currecy ETF’s as we did in earlier posts.
Currency ETF’s traded on US exchanges are quoted in US Dollar, so different from trading spot markets.
In this ranking I am looking in the right column to the 3-month ROC, so we see the Yen 8% up and the Mexican Peso 11.3% down in the last 3-months.
The column with the colors are the weekly trends while the next column tells me how many days that trend is running plus the percentage change of the weekly trend.
Most currency traders however are trading the spot markets and like to have a quick view as well what is strong and what is weak on daily or intraday basis.
Of course there are many ways, but a simple way of doing this is by comparing the RSI of the major currencies and show them on top of each other.
The purple line at with RSI 64 is the USD/JPY and the green line 61 is the GBP/USD turning down.
At the bottom we see the EUR/GBP with a very weak RSI.
These are not trading signals but gives a first indication were the currencies are so you can do a next step in your analyses.
