Best Thread Correlation Trading - Basic Ideas and Strategies

NVP

Legendary member
36,588 1,858
morning all

ok another big brexit day .......im already selling cable so far .....nice signal around 3188 earlier down to 3167

N
 

NVP

Legendary member
36,588 1,858
market a little screwy at moment ...yen dropped south as well as usd .....and whilst GBP has retraced north dramatically ive been hesitant in buying it so far ......all change at moment
 

NVP

Legendary member
36,588 1,858
E/J rebuys doing ok......good signals earlier around 124.40s to rebuy ...been to 124.61so far
 

NVP

Legendary member
36,588 1,858
hey gang

sorry but i’m taking a couple of days to do some business consulting with a few old clients .....it keeps my hand in and freshens me from 24/7 trading ....

if any of you guys are 100% full blooded trading you will know how fried you can get ......then you need to change the record for a brief while .....

i don’t really do hitting golf balls or sitting on a mountain meditating ......so i simply put my consulting hat on and do that.......a change is as good as a rest......ask my wife .......sit me in a sunbed for 10 mins and that’s already 9 minutes too long ......hahaha

I just wanted to comment on something’s really basic that i get asked a lot

what is the most important difference between profitable and losing traders ??

jees what a question ......no pressure them .......

having met and worked with several hundred profitable gamblers and traders over nearly 50 years.......my answer is this

the winners don’t give their profits back to the market ......that’s it

that’s it NVP.....???

yep......they don’t give their profits back .....

were you expecting that ?.......be honest .......what we’re you expecting ??......a holy grail bullshit answer like the marketeers and vendors will sell to you ?......sorry i don’t do that stuff.....you all know me ......i tell it straight ......

the best traders in the world do all the good stuff losing traders do......but they also ensure they
don’t do dumb silly wasteful foolish reckless stuff .....that’s where the secret is........

DONT GIVE IT ALL BACK TO THE MARKET

i have met a lot more losing traders than the several hundred winners i mentioned earlier......thousands of themselves over time ........and they will remain losers ........because they never ever got to learn how to hold onto the moneys many of them made in their good times ......and many of them were profitable for brief periods in their careers ......

so remember this .......any idiot can make money’s briefly in trading .......but only the real pros ,make the jump and manage to retain those profits over time

learn that 1 skill and you will be profitable in a lifetime of trading.....

now.....where’s the sunbed ?

N
 
Last edited:

NVP

Legendary member
36,588 1,858
still early days this morning (im scalping for a couple of hours)

nothing has really moved enough yet ....

remember as ive just said ...the secret to sucessful trading is not doing dumb / half-assed trades .....and giving back hard earned profits

N
 

NVP

Legendary member
36,588 1,858
morning all.....

GBP and yen getting sold this morning .......so thats where i am

EJ buys , Cable sells in frame

N
 

NVP

Legendary member
36,588 1,858
all change for yen now going bull...........i'm still mainly selling cable so stick with it
 

NVP

Legendary member
36,588 1,858
ok early days so far ....

yen and GBP banging the Bull drums.......but very volatile

and i dont like those guys being on same team .....
 

NVP

Legendary member
36,588 1,858
GOT LAST CABLE SELL IN AROUND 3050......3015 SO FAR
 

NVP

Legendary member
36,588 1,858
out earlier at 3015....waiting for more resells ...i was scalping EJ buys earlier but all long long gone

GBP index swung some 60 pips bear in a few minutes and has set the bias for london now
 

NVP

Legendary member
36,588 1,858
jees its hard work today.....im buying cable at moment ....last 90 mins really

low buys at 3090s up to 3108 so far ......almost range trading at moment
 

NVP

Legendary member
36,588 1,858
Simple Strategies using the FXCORRELATOR Indicator :-

[reproduced from a recent question raised on another Forum]

Ok - I have written literally hundreds of strategies for using my indicator over the last 20 years or so.

However the primary use of this tool is to get traders onto :-

THE RIGHT CURRENCY PAIR(S)

AT THE RIGHT TIME

IN THE RIGHT PLACE

In other words the primary use of this indicator (and any FX strengthmeter) is to ensure traders are only focused on Currencies and related currency pairs with the highest probability of delivering winning trades.

Now there are many interpretations of this - just as there are infinite ways of determining what is a good trading signal or pattern - however in this article I will reduce the criteria to just seeking Pairs with strong trend signals for ease of discussion.

so heres my indicator on a pair that is demonstrating a strong trend .....(attachment 1)

ok lets remove the other currencies just leaving the Green USD and the Red GBP.....(attachment 2)

Better ? - ok if you read the guides published in the signature / links areas below and look at my videos on youtube you will know that the ZERO dotted line on the indicator chart is very important to my trading ......it tells me that any currency index ABOVE the zero is showing bull and strong for the Moving average being used (default 20ma here) and any index line BELOW the zero is showing bear and weak.

can you see how this immediately provides more information than just the dumb and humble yellow 20 MA line on the chart ?

not sure ?....see below and how we can identify the OPTIMUM and powerful situations when both currencies are showing Strength and Weakness at the same time ......(attachment 3)

In this simple strategy we should only consider looking for trades when the 2 currencies are on OPPOSITE sides of the ZERO ......as any other time the currencies are on the same side (either both Bull or both Bear) and NOT displaying strong enough BIAS to consider trading

from this basic benchmark a trader can begin to introduce their more familiar signals / patterns and other indicators that they use to trade the market. However by this simple method they will now be able to remove at least 50-60% of the 28 Currency pairs available to trade in the G8 and focus on the BEST opportunities.

This simple and basic Rule is the foundation of literally Hundreds of FXCorrelator trading strategies I have used over the last 20 years ...it is the building block for many i still use , alongside more traditional chart based patterns and indicators combinations

try it in any trend following strategy and see if it helps you start focusing on the pairs that are trending ....rather than your 2-3 favourite pairs (we all have them) that you trade continuously and follow signals loyally.....

REMEMBER THIS

when you decide to trade a currency pair without consulting the Fxcorrelator there is only a 27/1 chance you are trading the best signal .......do you really want to take that risk ?

More Strategies using the FXCORRELATOR Indicator :-

I have spent the last 20 years trading systems based on this indicator and its derivatives ......please visit the signature / Links page below on this thread to see the many resources available and the Free indicators , advice and consulting i have provided.

People that know me will tell you I am a Successful independent Trader and Business consultant who choses to provide commercial FX training at times based on demand from traders that have profited from the multitude of free training material, indicators and articles I have published in the last 15 years.

I hope you enjoy the indicator and this Thread together with my associated Free website / Blog .....please do not hesitate to contact me if you have any questions and i look forward to perhaps talking one day ......

Best Regards and wishing you a successful trading career.....

Neil
NVP
 

Attachments

Last edited:

NVP

Legendary member
36,588 1,858
morning all....and april fool !!!

anyway no fooling around this morning ....good bullish start to GBP so far ......

ive been scalping cable up from the mid 3050 levels....up to 3080 so far

cable is back at good rebuy levels ....3055/56 ...get ready for rebuys

yen and NZD are the main sellers at moment ....but not really interesting to me

N
 

Similar threads