How can I calculate the American dollar index (USD Index)?
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Thread: How can I calculate the American dollar index (USD Index)?

  1. #1
    Is there any new formula?I found an old formula, but it does not give me the same result as the current USD Index number in Reuters.

  2. #2
    The easiest way would be to find the index symbol on your graphics and simply draw it.

  3. #3
    Another option is to use this page: [http://tick.ino.com/chart/](http://tick.ino.com/chart/

  4. #4
    Thanks for all the answers, but the method I currently use to calculate the index does not match the USD Index in Reuters.I don't understand why.Could there be another different formula?Is the aud/USD torque included in this formula?Someone told me that the formula could include up to 7 pairs.

  5. #5
    No, the AUD/USD is not included in the USD Index formula.The pairs used are EUR/USD, USD/JPY, GBP/USD, USD/CAD, USD/CHF and USD/SEK.

  6. #6
    The difference is probably due to the small adjustments in the real time data that different platforms use.What you see in Reuters may not be exactly the same as in other places.

  7. #7
    If you want to calculate it, the USD Index formula uses a weighted geometric average of those currency pairs.EUR/USD has the greatest weight, almost 60%.

  8. #8
    Thanks for clarifying it!I didn't know that the audience was not in the formula.Could you explain what that "weighted geometric" means?

  9. #9
    The weighted geometric average means that each pair of foreign exchange has a specific weight in the calculation of the index, and those weights affect how the index moves together.It is a mathematical calculation that you can look for if you are interested in deepening.

  10. #10
    To calculate it, you need to apply the weight of each pair to the movement of that currency against the dollar.There are internet guides that show you how to do it step by step, but I warn you that it can be tedious.

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