Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

I am so embarrassed !!!

ummm ..........has anyone spotted my stupid error here !!!

corries been gradually signalling a SELL GBP and BUY USD Trade whislt I have been setting entry levels on the right hand pairs chart that are for a SELL USD and BUY GBP........

so the FXcorrelator was 100% right here......unlike the jerk operating it ......which is why I
dont trade with real money again yet !!!

jesus I need to get a life....................!!

sorry.......!
N

 

[NVP]

Thank you and goodnight !

been a long week my friends and its only wednesday !

 

[NVP]

moving swiftly on then.......

thank god the correlator works better than the operator !

anyway despite the US holidays things are moving quite nicely so far
this morning......selling GBP mainly against the Tag......USD is so strong that selling EUR would have worked as well but much more to do with the USD Strength than Euros weakness (its neutral)....keep that in mind for later as its important...Euro is kicking GBP's ar*e at the moment.....

now wheres that idiots guide to reading a pairs chart.....

N

 

[NVP]

going just fine so far............

Trade of the morning has been Sell GBP buy USD (or EUR)

(are you sure today NVP? )

all consolidating presently , but with no USA to come onstream today they only have the other markets to ponder.....Aussie D looking bearish ?

N

PS - had a real chuckle with some trading compardres re yesterday and got some well earned teasing.....I had about 4 things going on at once and was dipping in and out of the thread far to fast trying to impress everyone with my scalping calls...........so guess what happened !

If you have real money on the table (especially scalping) 200% focus is needed on the charts....lock the door close the blinds and FOCUS.........thats what real professionals do ! :smart:

 

[NVP]

the G8 CORRIE

Hi all

ive just been asked why the corrie they received has 8 lines and i only use 5 max

(to remove lines in Metatrader go to the properties for the indicator and double click on the colour and select "none")

umm heres why !!!...........(and I cant even work out a pairs chart !)

seriously its far to crowded for human consumption and you'll go mad....so I remove
swissie , NZD and the CAD as I have more than enough to play with on the remaining 5..........do what you want though and tailor the view to your own favoured currencies !


N

 

[NVP]

Mr Twiggs........a good newsletter

Hi all

Colin Twiggs is good and i like his newsletter........hes a kind of Corrie fan as he does quote the Daily Currency indexes a lot - especially the USD

heres an extract below of his recent thoughts on the Greenback....Chart 1 is his then Chart 2 is my equivalent on the Daily Corrie with all other currencies as well...finally chart 3 is my Corrie index that shoows tag vs the stocks, oil and Gold

note
I cannot get the 1000/1 to work on my current PC as multiple chart corries use up a lot of memory and I have reduced the number of Bars they all take to increase the speed...lower TF's are fine but the Daily on a 1000/1 is a bridge to far !...its close enough though to Colins Chart for reference

what do you think....do you agree with Colin ?.....for me the interesting thing is that the Yen(yellow) is certainly not looking bearish at the moment and not running with its chum and in fact therefore driving it even lower than if they were together....watching the Yen is the key for me and I am always nervous of any trade where they are not going the same way....it never last long though fortunately......if USD keeps falling (and I would really like to see the Yen falling as well)...the Euro looks a solid buy although theres always the GBP .

Re the final chart its only a 200/1 setting due to feeds and memory so becomes more distorted...however yuo cannot ignore the phenomenal performance of all the indices in the top half of the chart all way above their 200 MA (which is in effect their distances from the Zero line)...the Yellow Yen is virtually climbing into the top half here with usd bubbling below.....if those indices all started to fold downwards then clearly selling USD would become a more nervous proposition......but how long have we been saying that the markets are over extended !

you pays your money and takes your choice..........

N

 

[NVP]

what goes up..........

hmmmm

Consolidation continues........are tag team going to fall now into the afternoon ?

Price action / patterns will dictate the trades looking for LH LL if they start to fall

i'm playing with the indices on a 1000/1 as well now (Chart2) but god knows why the USD is (grey)is working as I though it was a holiday...its a ODL futures feed I suppose

N

 

[NVP]

the market.........

Flat as a pancake now..............

Turkey anybody ?

N

 

[NVP]

Text book stuff........

wow ...........I wish today was everyday !

 

[NVP]

Its Friday........!!

lets see if the tag get the friday feeling today.....they have certainly had a great Thursday and already the early moring Friday antics are promising

on the 4h (1000/1 setting) right side chart we see that the USD is back at a critical resistance point for the second time.....the Yen has already blown its own version out of the water way back so will be interesting to see if it can drag USD with it this time round..the middle chart is on the 30m and tag looks real strong still

the top left chart is the Risk/index correlator with the tag team, 3 stock indices + Gold and OIL its on a 30m 14/3 setting because that just gives more of a directional signal that the higher MA's do.....what do you see ?

I see plenty of index action in the lower half supporting the strong Tagteam..... however they are well established there now and that can sometimes mean consolidation/retrace.......

If indexes stay stong and the Greenback gets/holds above that 4h resistance level we could see some serious Tag team domination into the weekend - time will tell.........


N

 

[NVP]

Friday friday......

look at Gold on the small chart.....moving USD up on its own !!

N

 

[NVP]

11am (ish) call

Hi all

Tag are taking a breather....and the indices are fighting back a little there on the small chart.....Tag are not exactly collapsing though so my bet is they are gonna keep coming north .....that 4h on the right needs to just hold now and it could be a sustained assault on markets into December (?)

the Yen is flying..........its taken nearly 400 pips off of the USD in the last week or so and thats the currency it runs with !.......GBP is nursing a 650 pip hangover for the same period.....whoa :-0

My 4h corrie on the 1000/1 has to go back to April to see these levels of JPY strength (when it was still falling back from the big highs we saw in late 2008/early 2009 which in term were the highest since the mid 90's) so the BOJ must be starting to warm up the "sell" engines if this continues (despite their claims they wont) ......

guys you cannot beat the markets and they've been looking for a catalyst to send them down....Dubai has been a big shock to the global financial system this week....anyone want to buy a camel ?

oh god..........I hope our esteemed Global financial leaders dont start trying to calm the markets

N

 

[NVP]

3 months Thread aniversary - yesterday !

It seems like only yesterday I started this thread...YEA arty::cheers:

hmmm would be nice to hit the 14,000 views today........anyway me and corrie are in for the long haul so bad luck T2W you're stuck with us !

Thanks again to the great team that has helped me over the first few months on this thread and in the many Private conversations I bored them with

Ingot54+, Alan5616 , JRPLimited , Ross, Boilersuit, Mikebondi (briefly?) and Lance Beggs who was a real mentor and inspiration before this even started

c'mon gang I know you newbies are out there as I sent you all the corrie recently !...if you cant load it contact me here and we can sort it out...still awaiting the $1997 cheques by the way....:whistling

I would love to have others posting their correlation thoughts and observations here as I need a rest to play with about 10 corrie variations I want to test out privately !

thanks again.........
N

 

[jrplimited]

Re: 3 months Thread aniversary - yesterday !

Hi N and all else out there,

So, happy 3 month anniversary eh? This thread of yours certainly attracts a lot of views especially in the past two weeks or so, but where are all these peeps? Just seems to be you talking to you and posting some great corrie charts...

I've just finished a "honey-do" day today as US is on bird day holiday so wifey collared me and issued instructions - or rather destructions as I'm rubbish at diy!

Thanks for creating this thread and I'm looking forward to seeing more revealing stuff as this progresses forward - will be contacting you via usual channel over weekend.

Have a good weekend, trade well and regards,
Simon.

 

[NVP]

Hi Simon.......

thanks ...and we got the 14,000 views in today so thats good

Ive seen some great friends viewing the thread today so hope you are all trading profitably at the moment....

looking forward to more Newbies on board soon so that will make things more fun than my ramblings ..........(no one arguing with me then )

have good weekends
N

 

[glynnt]

: Correlation Trading - Basic Ideas and Strategies

Anyone actually trading this live yet on a daily basis....any consistent results to inspire others to get to grips with this?

 

[NVP]

Live Trading

Hi Glynnt....

I have Traders experimenting with it in the Background but thats it....

no one I know uses the FXCorrelator as a front line trading tool / approach...yet

there may be traders using this principle by other names and variations but again I see no evidence of front line usage on any Website or forum in the cosmos (and I look)

I would assure you I would be doing it tomorrow......but I am not Trading at all at the moment as i'm building this Thread (and slowly increasing my experience of corrie), building an FXcorrelator Forum, liasing with the Traders helping me on a daily basis (and chasing the ones who have corrie but havnt started yet !), testing about 10 corrie derivatives + a full time job and trying to constantly placate my wife and family who never see me....

this is pretty new in approach........the capability to trade using price action/pattern methodology on lower TF Currency index charts!!

(there are daily index charts quoted as you know out there the USD being most famous)

the principle of the corrie is undeniable in truth....on the 1000/1 setting you are simply looking at the consolidated results of combining about 57 individual pair charts for all the G8 currencies involved...nothing more and nothing less....if a currency is going up its going up !

how you use the information is when you start to drift into the world of trading success or failure and the "best" and most profitable trading systems....and we are only scraping the surface so far with some basic price action methodologies (albeit more powerful as you are able to make selections across the whole currency family)

have you got my corrie ?......go to my home T2W page and contact me to join us

I want guinea pigs to test it and the ideas I put forward here.....

1) play, observe and get familiar with the corrie..posting here on thread please (I will help a lot)
2) paper trading to build up confidence in methodologies you develop
3) go live and make real money.....

so when can you start ?


N

 

[NVP]

Duty calls......

out now till sunday night...

brainless Shopping adventures (for xmas ??) then visiting my mother in law and staying overnight....

actually shes great.....I showed her my FXcorrelator charts last time she visited and she said

"thats nice dear"

....my first testimonial then !

N

 

[jrplimited]

Re: : Correlation Trading - Basic Ideas and Strategies

Hi glynnt,

Just popped online before the missus catches me for yet more honey-do stuff - urgh!

I'm sure NVP will respond to you separately over your question, but in the interim I'm actually using the corrie indy on a real time basis and trying out a few theories for NVP. I've got the corrie indy on my second pc and, with a demo account, have been watching this on and off for the past two weeks (this last week was short due to US bird day holidays) and can very safely say that there is a tremendous potential to be had out of corrie "plays" by jumping in on a trade in lower time frames, grabbing a few pips then getting out of Dodge City mucho pronto!

If you havent already got a copy of corrie then get one from NVP (use his PM) and set the indy up as per his criteria, read through this forum from start to end as there are lots of great examples and then have a go yourself with a demo account - try it as its free, unlike all that rubbish out there on the wibbly wobbly web, as its very comparable to the CC system which was recently sold for $2k....

Enjoy the weekend.
Simon.

 

[jrplimited]

Re: : Correlation Trading - Basic Ideas and Strategies

Eek! NVP "ghosted" in and did a reply for you glynnt whilst I was tapping away at the keyboard - ahh the magic and wonder of this internety thingy!

Go try it and join in on the fun, the more people we have trying out ideas means a greater "power" to finding out its best optimum application.

Wifey now shouting at me so its offski time.
Simon.