USDOLLAR - The Dollar Index
The Dow Jones FXCM Dollar Index Basket (USDOLLAR) was developed by traders for traders allowing you to take advantage of US Dollar appreciation or depreciation with precise tracking and maximum liquidity.
The Index Basket
The index basket is designed to be as easy to understand as it is to trade. It reflects the change in value of the US dollar measured against a basket of the most liquid currencies in the world:
The Dow Jones FXCM Dollar Index began on January 1, 2011, at a value of 10,000.00. It represents an equivalent $10,000 position in each of the currencies that make it up. It rises when the Dollar rises against the Euro, the British Pound, and the Australian Dollar and falls as the Dollar depreciates compared to these currencies. For example, if the US dollar rallies 100 pips against each the EUR, GBP, JPY, and AUD, the index will appreciate by approximately 100 points. It's that simple.