Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

nice !!!

Hi N,

Been tracking E/U sideways (grabbing a few pipadoolies here and there), G/U downards and E/G upwards all morning on M1 and M5 tfs, but now we are near Uncle Sam joining in on the bun fight everything looks to be pausing before a market direction can establish itself.

I'm keying any recovery or continuation pattern on the 10:30 hrs (GMT/London local) bar as for all three pairs this seems to have drawn a sort of line in the sand for today - anything can happen in the next half hour though!

Trade well and regards,
Simon.

Hey mate

all nice calls (see the chart below) especially making dinaros on the E/U which was like a minefield and not really the easy money today so far (you like it tough eh ? )

good luck as the USD wakes up now.........any big news out there today ?

N

 

[NVP]

the Indicies correlator

Hey dudes......

The tag team is a train at the moment.... and look at that "supporting cast" helping them out by
fuelling the boiler....................


ROCK AND ROLL !!!!

N

 

[jrplimited]

Hi N,

Only real dangermouse news just passed at 13:30 hrs our local London time for cousins across the pond:-

13:30 CAD Foreign Securities Purchases 13.59B 3.23B 5.07B
13:30 CAD Leading Index m/m 0.7% 0.8% 1.2%
13:30 CAD Wholesale Sales m/m 0.2% 0.6% -1.5%
** 13:30 USD Unemployment Claims 505K 503K 505K

Against my "key" thought bar (the 10:30 hrs print) E/U now showing off its falsey b/o whilst E/U goes ahead and then stutters and good old cable starts to wind itself ready for coiled spring move.

Trade well and regards,
Simon.

 

[NVP]

14.10pm

USD falling and Yen still rising...........somethings up ! :|

 

[NVP]

14.14pm

USD fallen a little in last few minutes....and Yen is very slowly and grudgingly starting
to follow

if USD's (inevitable) retrace is weak and shortlived then it could be a Sell USD afternoon...

but what do I know ?

N

 

[jrplimited]

Hi N,

I'm seeing that also - U is weak against G and E but out of E and G its looking like E is the stronger of these two at the moment - but watch for that coiled spring.... - E/G duly obliged and broke free from my last post.

Trade well and regards,
Simon.

 

[NVP]

USD pulling back now a little on 1 mins

so if its weak and then reverses and continues down thru the 1min LL

sell time !

N

too fast for charts....will add later if this is sucessful call ....

if its all pants i'll delete the posts.....

 

[NVP]

Hi N,

I'm seeing that also - U is weak against G and E but out of E and G its looking like E is the stronger of these two at the moment - but watch for that coiled spring.... - E/G duly obliged and broke free from my last post.

Trade well and regards,
Simon.

is the coiled spring a crouching tiger or are we watching the wrong movies ?

N

 

[jrplimited]

is the coiled spring a crouching tiger or are we watching the wrong movies ?

Hi N,

Absolutely no idea!!! I never ever try to guess markets as its like trying to answer wifey's question of "...do shoes match handbag?..." What do I know? Whatever I say will be met with stony silence.....

Me "thinks" G/U is a downer for next hour or so.

Trade well and regards,
Simon.

 

[NVP]

look how USD has bounced off of the support line on 5m.....if it retraces now and falls though on second test then we are in business.........

ORRRR.....perhaps the tag are back on the upwards trail now having survived the early US action ?

there was a lightening trade on AUD on 1 min as it moved down vs all others going
up but jees that was fast.......actually shes still going strong as a call at 14.44pm

N

 

[NVP]

A rare beast

so i took a picture !

N

 

[NVP]

If I were a trader.....yiddle yiddle yiddle

this was nice......Fosters tinnie anyone ?

N

 

[NVP]

hes a little Aussie Battler........

stay on the sell AUD.....still not over yet and coming on again i think....?

madness we have Just Yen pointing down on 1 min and others now pointing up ???

PS name that film where the post title was said

N

 

[NVP]

cmon all please post !

guys duty calls elsewhere..will try to get back online later...

poo

N

 

[mikebondi]

im looking at eur/usd to pull up to the 1.4920 mark or so and eur/chf to pull down to 1.0130 or so.

gbp/chf to pull up to 1.6970 or so and eur/gbp to pull down to around .8910.

i have no stake in either as they were not quite right when i left for work but that is what i would be looking to see happen in the next 24hrs.

mike

 

[NVP]

i'm back !!!

lordy lordy.........isnt life pure sometimes

look at that LH, LL pattern ad-infinitum on the Tag team in last hour or so.....

makes you want to kiss them !!

N



:smart:

the USD/Yen displays the classic correlational relationship here....in a gradually confirming downward move for the Tagteam, the Yen (being more volatile) closes in on the USD and usually (if we are real good) will crossover and come through it.

interestingly the GBP/EUR has not displayed their classic correlational relationship, which is basically the same as the Tag team but in reverse......GBP should have been closing on the EUR as the tag team were falling and giving the Europair the upward impulse...

soooo if this current set of trends continues we could expect to see a high probability of the GBP still closing on the EURO (Buy GBP sell euro do I hear somewhere ?).....

conversely if 3 out of the 4 currencies are behaving to Standard rules but GBP is not showing its normal strength to move up here against the euro what does that tell you about the EuroGBP realationship at this point ?.....lets be clear, the GBP should be getting stonger but its not....so if the Tag Team turns and the EUR/GBP start to fall whos more susceptable at this moment to weaken faster than normal ?
(jees my brain hurts.....) ....answer the GBP will fall like a stone (perhaps!)


oh by the way - that EUR/GBP call above (if the EUR/GBP keep rising) is the "correlation code" first (only ?) trading pattern (well the one I saw in the preview stuff)...and by the way the tag team turning (scenario 2 above) is why it will deffinately not work as much as you were sold in the seminars ......hope you are all making back your course costs

if you want to be a professional trader who makes consistent money in all markets then find your edge and make sure you then learn everything about it and what relates to it (write a Phd on the subject if you have to)......you dont make money by pressing a button and watching an indicator flash red and green.....

I am not a professional trader and am not even on the starting grid so lets make the journey together !

hmm,,,,,on that correlation code stuff ... C,mon someone must have bought it that wants to talk ?! :whistling

 

[NVP]

Scenario 2 above ?

this is all Crazy scalping STF stuff but looks to me like the GBP is not going to make headway much
and i'd sell it against the USD now.....even sell against EUR really for reasons already discussed

N

 

[NVP]

back again......

Hi all.......sorry had some things to do.....

now what happened to above ?

TEEEEEOOOOOUUUUUCCCCHHHHDDDDDDOOOOWWWWNNNN !!

sorry couldnt resist that....I dont get out much !


few scalpy pips (10-15?) on the GBPUSD cos the GBP was looking to be feable....could've gottem on the GBPEUR as well but never as many .....

sure....the GBP reversed big time afterwards - but we are here to scalp and not try to take 50+ pips a trade on the 1 and 5mins.... (horses for courses).

(why is he talking about horses now ?)

N

 

[mikebondi]

there it is folks the eur/usd usd/chf have hit the targets. so to bad i skiped the trade that would have been 100 to 120 pips depending on where you set targets.

still in on the other i have no doubt it will get there jsut take some time

mike

 

[NVP]

more corrie batches released !

Hey all you correlators !

early xmas presents now on their way to you............enjoy !

please please all post and share your thoughts good or bad with this indicator and relatively new way of looking at the markets.....

sure....we are all busy....but I cant make the journey on my own and I have only scraped the surface so far on what this stuff can really do.........

will try to post some current market observations later.......

c'mon first to post a corrie chart here wins a free seat on my up and coming overbooked webinar.......

http://www.trade2win.com/boards/for...256-dont-buy-correlation-code.html#post964262 :cheesy:

N