Currency Strength Meter

Frequently asked questions

What is a currency strength meter?

A currency strength meter ranks currencies by how much they are rising or falling against each other, rather than looking at a single pair in isolation. It helps you see, for example, whether EUR/USD is moving because the euro is strong or because the dollar is weak.

How is currency strength calculated here?

Each currency's score is the average of its own performance across the major pairs it appears in, over the chosen window. The euro's score comes from EUR/USD, the pound's from GBP/USD, the yen's from USD/JPY (inverted), and the dollar's from all three, cross-checked against the dollar index. Positive means the currency strengthened.

What data is this based on?

Liquiditrax's own daily closing prices for EUR/USD, GBP/USD, USD/JPY and the dollar index, refreshed each session. Every figure is derived from real closes — there are no estimated or filler numbers.

How do I use currency strength in trading?

A common approach is to look for pairs that combine a strong currency with a weak one, since those tend to trend more cleanly than two currencies moving the same way. It is context, not a signal — Liquiditrax does not tell you what to buy or sell.

Why only four currencies?

This meter covers the currencies our data set tracks directly — USD, EUR, GBP and JPY — so every score is backed by real prices rather than proxies. More currencies may be added as coverage grows.