The U.S. Dollar Index or DXY is a very important tool for currency traders. Around 70% of all FX transactions involve Dollar, having a broad-based index to see what the Dollar is doing can be very useful.

In this video, Giles Coghlan, Chief Currency Analyst at HYCM, will outline how the U.S. Dollar Index is made up, how you can use it, and particularly underline the importance of the dollar index for EUR/USD traders.

HYCM Lab is a financial analysis source that provides regular insights on how global news affects the markets including forex, commodities, stocks, indices, and cryptocurrencies*. Run by the HYCM team, it equips traders with everything needed to make informed trading decisions.