Nano - Serial device data in, but Monitor out

Hi
A current thread has me questioning a related idea. Given the Nano/Uno single serial limitations, can one do the following, assuming same baud rate and bit settings:
Connect Arduino RX to external serial device TX(presuming this device is transmitting 0-5V, not classic RS232 voltages)
Connect Arduino TX to Serial Monitor to display diagnostics from the Nano

I can't think of a reason why this wouldn't work, but I don't know the under-the-hood details of the Serial Monitor connection. I don't think it requires the ability to send to the Nano(e.g.e for establishing 'connection'), I think it's just a dumb terminal, but I may be wrong.
The reason I ask is, it should be possible then to 'echo' what's coming in from the device while processing the information, and adding to the Serial monitor display at the same time. I've never seen it suggested as an option, generally the forum treats RX and TX as always to the same device.

I think the monitor only reads what is put out on the TX pin. The device you connected, is not visible to the monitor for that reason.

However there is nothing stopping you from echoing characters that you receive from the device, in software. The echoed stream should be visible on the monitor, but the TX can't be used to send data to the device.

That's exactly what I thought. Thanks for confirming.

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