Original subtitles

you would look at the September contract I believe these renew

year so the way futures contracts work is they have

certain commodities that are relevant to the economies. So

well they're the type of indicators that you've got in

money, but in particular as well when it comes to

general economy and how this impacts our currency pairs. So

you need to there's not a direct correlation every single

especially of course you've got the other ones such as Saudi

for example with gold and DXY you're not going to see an

through dairy you'd look for the dairy chart on here. In

commodities, understanding supply and demand. Um

aware of the main correlations. So yeah guys take care and I'll

there might be certain types of the year where oil and petrol

of interest and they're both correlated then we can expect

understanding different asset class correlations. Now my

don't trade these currency pairs I mainly look at USD CAD

and all these kind of commodities they not be in high

relation is. So obviously moving back looking at stock

oil which is WTI US oil and then UK oil Brent UK oil. Uh

mainly drives the US oil market then that also leads into the

the the economies may be quite similar in their monetary

open interest as well you can look at COT data for this as

can I use bar chart. com for? Pretty much everything that

risk on periods while it decouples and becomes inversely

use of course you know you you've got gold and jewellery

gold gold moves and actually understand its price patterns

comes to different asset classes. So always understand

have gold or yellow silver platinum everything like that

we'd always look at is the impact on US dollar and then

fundamental plan. So if you're looking at the fundamentals of

markets, the bond markets and then the main correlation that

currencies and no iron ore exports and how that impacts

seasonality also comes into play over here as well. So

hope this was very informative. Obviously take notes but be

going to be looking at as well. And that can be explored

relevant one that you want to be looking for obviously link

everything is related in the markets especially when when it

it's more about the movement of investment, the movement of

frames and do do your analysis on there as we've explore

time as you may expect however we just use it as an extra

directional bias of both of them you're going to understand

how that impacts other pairs for example. So yeah guys I

bottom right there once you have the chart you open it up

the fundamentals and keep them on point. Understand what their

was meant to be in the last last presentation right there

learnt in the past two videos and be prepared when

fundamentals of oil so you need to look at OPEC so pretty much

general you should stick to the main correlations that we've

increases obviously you need to look at supply and demand

of people's most favorite pairs because of this reason now

lead into any trades that you need to understand for USD CAD

what impact US oil has on CXY for example and then that could

demand. Therefore what you going to expect for price. Now

traders actually trade the commodity by itself. A lot of

Australia, this is one of the main things that you're

classes is to simply improve our understanding of the

takeaway message. The whole reason we look at other asset

for example New Zealand if there increase in exports

it's iron ore and gold now having looked at a chart for it

them will trade futures contracts. It's slightly

we've just explored. Uh personally I'm only looking for

through here if you're looking for a chart as well. So what

everything like that before we move on to the last lesson I'd

there so that's a good thing about Barchart. com not only

fully and then that's when you can go on the different time

expiration dates so if we're in September of 2021 for example

however it's something that you must incorporate into your

understand the fundamentals of DXY for example you're going to

because you're not going to see an exact correlation as I said

exact correlation there same thing with iron ore as well

their economy USDCAD of course has an inverse correlation with

commodity that looking at then once you click on that on the

policies and everything this is the differentiating factor. You

full size so you're going to get all this information at the

it for FX pairs and understand the open interest lines and

whether they look at fundamentals or not in the

moving. So if you're trying to look for any more commodity

currencies so it's one of the main exports of Australia so

factors usually start to see drop it a drop in in price for

website called bar chart. com. Then at the top of it you've

future's contracts the relevant ones are going to be the ones

direction of the CXY because it's such a large export of

like to also explore a bit about the eye and awe

have a clear understanding of USDAD and this is USDCAD is one

oil. So you've got two different types. You've got US

and everything like that. But it's main use is as a source of

pairs or futures contracts we call it because this is how

there. Then when you click that click the commodity that you

want to look at so it's going to have a range it might

technical strategy it moves quite a lot you know although

can expect that the price of oil will drop because as supply

can actually understand how it's moving and why it's

when it comes to understanding US oil you need to look at the

on a lower time frame maybe that kind of confirmation but

these so if you can understand the fundamentals of oil and

that are traded at the time then you open up the chart in

previously or as I'm going to explore you start to look at

see. The the main correlations with that is of course you've

different from what we trade in Forex. Um but yeah if you're

you click on that then you get the relevant contract month and

they're like the Fed of of oil they look at supply and demand

DXY is the understanding of investment and where people put

wanting to search them up what you do is you go on this

of it so of course when they increase supply for example you

Now for oil so gold obviously provides diversification in the

example and obviously vice versa so that's one thing that

call it sweeter than the US oil or the WTI that we start to

their money are they put it in is it a risk on or risk off

that up to the time that you're in right now because the

DXY as well now the main correlation between XAU USD and

correlated during periods of stress. That point right there

the directional bias now don't take this as gospel you know

oil so in this case we're going to be looking at CAD

point of interest and AED USD enter higher time frame point

some kind of movement in the same direction same thing for

portfolio and it's correlated with the stock market during

environment and what does that entail obviously look back to

our first lesson where we looked at risk on and risk off

and start to look at that so as again you're not going to see

Arabia and Russia but personally I don't trade I

can you use it for commodity pairs but you can also look at

got to look at the the economies that export a lot of

just different types of oil. I believe Brent oil is a bit they

every few months or every month it just depends on the type of

so in terms of gold this is one of the most heavily traded

confirmation so if for example we gold enter higher time frame

got the commodity pull down bar. So you click that right

as you can obviously realize however now we're looking at

movements however they are going to be quite similar in

United States it do quite a lot of goods but especially when it

on the high time frames and understanding that the

XAU and UST. As you get that on the downturn you start to see

that you must be aware of in fundamentals. It's mainly its

you go to see certain types of investments that happen and one

of that bias of course you're not going to get the same exact

usually you'd start to see some kind of similarities in terms

here that we look at and of course you've gotten to

of them in particular is gold. So what you're going to see is

investment as and as a hedge against inflation. So as we

these types of correlations. As gold in this example you get

understand when there's high inflation around the world you

DXY buying up. Then if you compare gold and also AED USD

and everything like that. So gold is an essential commodity

know you know you can get a 200 pit move in impossibly 10

understand the main the main ones from each sort of ex water

commodities in the world it moves very very quickly as we

minutes, whereas you might not get a 200 pit move in a whole

you've got to be you know quite experienced to understand how

Saudi Arabia of course you know it's all about the oil and the

Dairy National Index or something like that that we

week on Euro USD for example so that is very volatile and

comes to technological goods but of course they import quite

a lot as well so I would say it's more these markets right

when it comes to Canada we look at their oil in particular when

it comes to Australia you look at iron ore and gold New

look at for Russia it's natural gas and their oil products

Zealand is the dairy products which is the dairy New Zealand

exporters when you have a look at some of the main exporters

which is ZA are on the currency pair they do a lot of gold

few others that we're going to be looking at. So the main

in the world and especially when you know you can actually

diamonds platinum and a few others but particularly gold

trade them pairs these are the ones we look at so South Africa

prominent with the the Australian market and with a

natural gas and then iron oil. Now iron oil is particularly

It's the one from the UK. Then you've got gold and silver,

Oil which is Brent Oil is just a different version of the oil.

currency's endogenous factors. So what that means is the

and the main commodities that we look at is crude oil, Brent

all Australia, New Zealand, Canada, Japan and United States

domestic sort of workings and what's going on inside their

this can give us an insight into the fundamentals of a

comparing commodities and certain economies is first of

economy. The main countries that we look at in terms of

commodity rich countries that export a lot have a large

amount of confluence with certain commodity pairs. Now

what markets are affected by commodities? Generally

Yes, hello everyone. Welcome to the next video. So in this one

correlations which is commodities and currencies. So

we're going to be looking at the next asset class

see you in the next video.