Aside from watching economic data analysis for keeping track of Central Bank policy basis monitoring other financial markets can also be helpful in predicting Forex price moves to be specific there are currencies that move in tandem with effect price or precious metal while others are negatively correlated to other financial markets. For one the Australian Dollar has been observed to have a positive correlation with gold price this is probably because Australia is a the third largest gold producer in the world and any increase in the precious metals value is found to be positive for the land down under eyes at review this then translates to better growth prospects which boost the Australia value . Another interesting financial market for relation with forex is that of US dollar and gold Unlike the Australian Dollar the US dollar has and Inverse correlation to the precious metal price after all gold is usually treated as a has to us inflation aside from that traders tend to park their money in Gold if risk appetite is stronger. This takes place when Global economic performance is strongly and traders are more confident in pursuing riskier assets. In that case the law building and save her one US dollar gets dumped in favour of gold on the other hand when risk aversion is in play traders by up the US dollar and get goat of their gold positions. More often than not the Swiss France also have a positive correlation with gold as most of the country's reverses are liked to Gold. When it comes to other commodities and currencies it has also been observed that crude oil and the Canadian Dollar have a positive correlation this is because Canada is one of the top oil producer in the world with roughly $2 million worth of barrel per day. The US economy is its top oil buyers which means that pricing fuel demand from the global economy can derive the Canadian Dollar higher aside from community prize Bond prices also tend to have a correlation with Forex market price action simply put a bond is an iou issued by an entity to its bondholders. Bond price and yield that are monitored by traders are usually government debit securities . Thanks.
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