Currency Correlation Table
See how 8 major forex pairs move together or inversely. Manage risk by understanding correlation between your positions.
| Pair | EUR/USD | GBP/USD | USD/JPY | USD/CHF | AUD/USD | USD/CAD | NZD/USD | XAU/USD |
|---|---|---|---|---|---|---|---|---|
| EUR/USD | 1.00 | 0.92Strong + | -0.78Moderate − | -0.87Strong − | 0.76Moderate + | -0.81Strong − | 0.72Moderate + | 0.58Moderate + |
| GBP/USD | 0.92Strong + | 1.00 | -0.71Moderate − | -0.82Strong − | 0.80Strong + | -0.74Moderate − | 0.75Moderate + | 0.52Moderate + |
| USD/JPY | -0.78Moderate − | -0.71Moderate − | 1.00 | 0.65Moderate + | -0.62Moderate − | 0.70Moderate + | -0.58Moderate − | -0.44Weak |
| USD/CHF | -0.87Strong − | -0.82Strong − | 0.65Moderate + | 1.00 | -0.68Moderate − | 0.75Moderate + | -0.65Moderate − | -0.48Weak |
| AUD/USD | 0.76Moderate + | 0.80Strong + | -0.62Moderate − | -0.68Moderate − | 1.00 | -0.62Moderate − | 0.88Strong + | 0.45Weak |
| USD/CAD | -0.81Strong − | -0.74Moderate − | 0.70Moderate + | 0.75Moderate + | -0.62Moderate − | 1.00 | -0.60Moderate − | -0.50Weak |
| NZD/USD | 0.72Moderate + | 0.75Moderate + | -0.58Moderate − | -0.65Moderate − | 0.88Strong + | -0.60Moderate − | 1.00 | 0.38Weak |
| XAU/USD | 0.58Moderate + | 0.52Moderate + | -0.44Weak | -0.48Weak | 0.45Weak | -0.50Weak | 0.38Weak | 1.00 |
ℹ️ Values are approximate quarterly averages (Q1 2025). Correlations change over time. review quarterly. Data based on daily close prices.
Trade with Exness. From $10 · Ultra-low spreadsAffiliate link. we may earn a commission if you sign up
Key Correlation Insights
EUR/USD & GBP/USD (+0.92)
Highly correlated. Both are USD-denominated and respond similarly to USD strength/weakness. Trading both longs doubles your USD exposure.
EUR/USD & USD/CHF (−0.87)
Strong inverse correlation. CHF is a safe-haven like EUR. When EUR/USD rises, USD/CHF typically falls by a similar magnitude.
AUD/USD & NZD/USD (+0.88)
Very high correlation. both antipodean currencies closely linked to commodity prices and Chinese economic activity.
USD/CAD & EUR/USD (−0.81)
Strongly inverse. CAD is a commodity currency closely tied to oil. USD/CAD moves opposite to EUR/USD in most market conditions.
XAU/USD & EUR/USD (+0.58)
Moderate positive correlation. Gold often benefits from USD weakness, similar to EUR/USD. But gold has its own safe-haven premium.
USD/JPY & EUR/USD (−0.78)
Strong inverse. JPY is a safe-haven currency. USD/JPY rises when USD is strong, which typically means EUR/USD falls.
FAQ
What does correlation mean in forex?
Correlation measures how two currency pairs move in relation to each other. +1.0 = always move together, −1.0 = always move opposite, 0 = no relationship.
How do I use correlation for risk management?
Avoid holding multiple highly-correlated positions simultaneously. it multiplies your risk. If EUR/USD and GBP/USD are +0.92 correlated, trading both longs is nearly the same as doubling your EUR/USD position.
Do correlations change over time?
Yes. Correlations shift based on market conditions, economic cycles, and central bank policies. The table shows Q1 2025 approximations. review correlation data quarterly for accuracy.
Which pairs are good for diversification?
Pairs with low or near-zero correlation offer the best diversification. XAU/USD has a moderate but not extreme correlation with most forex pairs, making it a useful portfolio diversifier.