Australia Currency And Australia ETF - Highly Correlated
Posted on December 16, 2009 at 23:01 PM EST
Figure 1 is a weekly chart comparing the Currency Shares Australian $ (FXA) to the iShares MSCI Australia Index Fund (EWA). As you can see, these two instruments are highly correlated across multiple time frames. Figure 1. FXA (blue line) v. EWA (orange line)/ weekly I have a “sell” signal on ...
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