Sunday, February 1, 2009
US Dollar Index USDX
nvestopedia explains U.S. Dollar Index - USDX...
Currently, this index is calculated by factoring in the exchange rates of six major world currencies: the euro, Japanese yen, Canadian dollar, British pound, Swedish krona and Swiss franc. This index started in 1973 with a base of 100 and is relative to this base. This means that a value of 120 would suggest that the U.S. dollar experienced a 20% increase in value over the time period.
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What is US Dollar Indexsup>®?
Just as Dow Jones Industrial Average reflects the general state of American stock market, US Dollar Index (USDXsup>®) reflects the general assessment of US Dollar. USDX does it through exchange rates averaging of US Dollar and six most tradable global currencies.
USDX = 50.14348112 × EURUSD−0.576 × USDJPY0.136 × GBPUSD−0.119 × USDCAD0.091 × USDSEK0.042 × USDCHF0.036
Those 20 countries (15 eurozone countries and five other countries, whose currencies are represented in USDX) make up the basis of global trade with the USA, have highly developed currency markets with the quotes which are independently determined by market participants. Besides, many currencies not included into USDX, are traded in close correlation with the currencies included in USDX. USDX value is calculated 24-hours a day, seven days a week.
Currencies and weights used in USDX calculation match the currencies and weights used in calculation of trade weighted US Dollar index by US Fed.
As USDX is based on indicative values of quotes, it can vary depending on quote source used.
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US Dollar Index
- symbols: DX
- months: HMUZ
- .01 of a U.S. Dollar Index
- point = $10.00/contract index points, expressed to three decimals
size: $1,000 times the U.S. Dollar Index
- minimum change : .01 pt($10)
- margin: $1,064 $800
Date:01/30/09 chart
H=86.60 L=85.90 ( between high/low .70 points => $700 , huge with less margin of 1000 if you get it right percent 87% )
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