Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

dow 30 is buy signals across most timeframes and I have nothing to trade......i'm hoping for tag to fall (naturally) now and a decent currency to step up as a buy....

bottom arrow is offering CHF and GBP ??

N

 

[aspex]

Euro was a peach sell overnight....still could be

N

I noticed that but left entry a bit late so just watched a further 100 pips being lost.

 

[NVP]

Euro and AUD are cheeky sell scalps on 1 and 5mins at present ..........into USD

 

[NVP]

I noticed that but left entry a bit late so just watched a further 100 pips being lost.

thats trading..........

its still falling as well !!!!

N

 

[NVP]

watch that gbp as well........... nice sells coming ?

 

[NVP]

Hi all

just a couple of minutes to look at charts then i'm off again i'm afraid.....

hmm - tricky today........only dude holding firm on our triple arrow has been Euro

later
N

 

[Adamus]

Totally tricky! I had a raft of signals come through mid-morning but they've all hit the doldrums. Who knows where to now.

 

[NVP]

Jees just emerged from meetings and cannot face the screens now..........

until tomorrow then
N

 

[NVP]

hey all nice overnights for our asian session followers...........

lets see if it continues :smart:

N

 

[NVP]

Hi all

someone needed indicators with sb suffix.....eg EURUSDsb
here they are

N

 

[NVP]

heres the black swans take on Euro dump.....

Personally I cannot see the Euro enduring - I see at best a 2 tier version which is in effect is stronger countries in one currency Euro A and the losers in Tier 2 Euro B

dont ask me how it works as transition would be a logistical disaster, but at least it would recognise the big economic devides we see tearing the current Euro apart

thats best case......more probable is disenchanted countries leaving (or being asked to leave) and ressurecting their previous currencies (albeit very weak) which then allows them to rebuild their economies through currency weakness to the Euro and G8

and of course the constant threat of Germany walking away which in effect is creating the 2 Tier system - as only France and perhaps a couple of others would be deemed fit to be in Euro A anyway alongside the Germans........this pressure has been building since the day Germany started to absorb its eastern bloc brother.....and as the absorbtion has accelerated we now see Germany back up their in the premier league in terms of GDP and surpluses

suits me - either way we will have more currencies to trade !!

N

 

[NVP]

that big push up on dow is finally slowing the tag team .....pity !!

 

[NVP]

told you that tag was turning.....some brilliant scalps on commdoll buys into Tag but brave trades indeed against the higher trends .......

N

 

[NVP]

I see GBP is getting royally stuffed today now.............there goes the holiday money

N

 

[oiltrader81]

the problem is placing trades when a certain level of correlation is hit by the joint analysis of 2 or 4 correlated or inversely correlated markets.

Going both long and short arbitrarily is quite dangerous if you must know at which level of correlation those particular markets are worth trading

 

[NVP]

the problem is placing trades when a certain level of correlation is hit by the joint analysis of 2 or 4 correlated or inversely correlated markets.

Going both long and short arbitrarily is quite dangerous if you must know at which level of correlation those particular markets are worth trading

Hi Oiltrader81

Agreed............what markets are you including in your own correlation plays ?

I was including Oil and Gold and a Basket of Equities a while back (privately testing) but it limited trades severely and I missed a lot of good moves

N

 

[NVP]

good G20 article from the FT..........let me take the rest of the week off to understand it

N
http://www.ft.com/cms/s/0/980b2040-...&ftcamp=crm/email/2010119/nbe/Comment/product

 

[NVP]

hey all

I see the Tag has continued to fold south (off of dow gains) but on lower timeframes the Commdolls have folded and let the Eurotribe in to start recovering North

my Triple Arrow corrie system is across 3 timeframes up to the 4h so you will get limited signals........its not cast in stone so play around on lower timeframes and ma's etc etc ..........

I have a lot of versions running all the time under testing

N

 

[NVP]

hi all

back again for a few minutes.........Jees the USD is weak today.......it gobbled down on those Dow rises and has given peanuts back upwards on a 50 point subsequent Dow fall

sooo if the Dow rises again now......?

big potential swinging buys are CAD and CHF(?) at present if USD does fall further

hmmmm !
N

 

[NVP]

the pure non correlation play would seem to be Sell GBP into CHF for anyone interested

N