Equity & Forex Market Co-relation

Equity markets can be used as a key indicator for movement in the Forex market. With latest technology, investing in global equity markets has become far more feasible. A Bull market in any part of the world dish out a perfect opportunity for an investor of any geographic location. This results in a strong correlation between a country's equity markets and its currency; as rising market brings more foreign investment & thus buying of local currency pushing it northward. Perfect Example is to be seen in respect of Indian Equity Market & Indian Rupee.