Best Thread Correlation Trading - Basic Ideas and Strategies

hey all

I really enjoyed my time at the Trading Expo over the weekend ……some good speakers and experts were there and I enjoyed a chance to talk to some of them

anyway heres the market using a Dow chart (left) and a 1000ma FXcorrelator
last week on the 1 hours we see that the falling dow gave the Yen a chance to really fight back …and the USD in fact as well ….the BIG sell was the AUD…

using the 80/20 system or whatever you have decided to use these days to fit your trading style there were some great signals out there…or even use the 1000 or 500 ma and just simply trade these guys when they breached up or down key price lines or support or resistance ……

yes its that easy - keep it simple please....

anyway theres also a daily below as well …..see the power of the S&P ?…since last october its a juggernaut…

now the shame about this is that only 1 of our famous correlation currencies has taken the pain of this rise…and thats the (yellow) Yen …the (green) usd has stayed remarkably resilient over this period due to increasing belief in the USD (or is that increasing disbelief in everything else ?)

anyway selling Yen has been the easy trade for a long time now….and could still be the strategy for Q2 2012

but predictions are for Fortune tellers and soccer pundits…..trade what you see….always ! :smart:

N
 

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yesterday was purrrrfect......yum :)

Dow up
Yen and USD Down

nuff said.....

N
 

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hey T

i'm gonna announce something soon regarding the VIP site and newbie access to it........the current Crew have all nearly been in for 6 months now and will also be wondering what happens next

as people may be aware if following me at my free site (FXcorrelator.com) .....My IT guru and business partner sylvie was very very ill over the last few months and we had to keep our Platform Services at a very modest level to ensure IT support for the initial VIP crew subscribed

(I naturally waffle on there every day regardless of the IT issues !!)

watch this space !

N
 
hey all

Trading is about finding your own edge and polishing it to perfection – then following it to the letter wihout distraction

” successful Traders are smart enough to create a winning system – then dumb enough to follow it " - NVP

think about it………!

yesterday the Dow retraced on 1hrs …..so you either sit on the sidelines on the higher MA’s (like 80/20) or are more aggressive trading Yen and USD buys by dropping to faster combo MA’s ( like 5,8,13) or the 80/20 on lower timeframes than usual

your money your risk :smart:

and remember - theres no such thing as a non trending market ....your just not looking at the right Timeframe ! ;)

N
 

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yesterday was a greeat day .....Dow futures falling

so ...guess what happened ?

Orange is AUD and Yellow is Yen

N:smart:
 

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hey all
heres the x men results

top chart is a 1 ma setting (months performance) and yon can see the Red x-man (GBP) is winning….just hedging out the (Blue) Euro

Orange AUD has been a big big sell….

the bottom chart is a simple 3 ma to record the first 3 months….GBP is the star for 2012 but look at the Yen…its terrible February keeps it the sell of the quarter


this indicator is available here

http://www.trade2win.com/boards/for...-basic-ideas-strategies-1068.html#post1801140

N:smart:
 

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hey all

well we are nearly at the end of Q1 2012 !

the Dow rallied in the US session yesterday but only the EURO and the GBP were correlating with the move on the 1 hours…

it took until much later in the day for the Yen to Fold …..and the USD was very very slow to turn

such is life !


N:smart:
 

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Hey all

heres Jack at Black swan trading.........

if you follow correlation you will be aware of this relationship

but I never try to call the highs and lows....I just trade what I see and the rest follows......

personally I tend not to play this trade (DJ up = buy U/J and vice versa) as usually if its happening there are more profitable trades elsewhere trading against the USD and Yen ....but then again ....;)

N

DJIA and USDJPY: Is this correlation telling us something?
 
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hey all

yesterday’s early trading (asian and London) was a nice nice run selling the Dow……see chart

(its a 500ma setting FXCorrelator indicator - available free on this thread or at FXCorrelator.com)

this enables some great buys on (Green) usd and (Yellow) yen mainly into the (blue) EURO and (brown) CAD.....but I dont generally trade CAD pairs…

then US opened and it was all change with the DOW retracing since……the USD Sold off immediately… but the yen is taking longer to turn……

beware this juggernaut that is the Yen….if dow keeps chugging north we will see the Yen fall like a stone now

AUD (Orange and bottom feeder on the chart) is my prediction to feel the real love on this move

last day before Easter so make it count......:smart:

Regards
NVP
 

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Me ?

I am a part time trader

I am a teacher/trainer of strengthmeters and correlation strategies

I am very very aware of my faults as a Trader**...so work in progress (y)

N


** not enough space here to even start that one :LOL:
 
I have just had my signature area removed again for infractions and advertising...........apologies to moderators........
 
what a week last week

dow collapsed

(Yellow) Yen rose
(Green) USD rose mostly...then sulked last 2 days (pants NFP's friday)

and (Blue) euro was the Sell of the week.....(y)

this week will be a slow start as we are still in Easter holiday mode

then game on again :smart:
N

if you have any questions on my approach - or want to learn more about strengthmeters and correlation - then read this thread or contact me at my home page here at T2W
 

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Sorry VIP Crew - the Site was down today for a while while we prepared for the launch of the new VIP Archive Site and edition :smart:

Normal service s/be back !

N
 
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