Best Thread Correlation Trading - Basic Ideas and Strategies

[montmorencyt2w]

hey D

If it were easy everyone would be doing it.......welcome to an elite club :smart:

N

Yes, well, through my own fault, I am now feeling sympathetic to what Stealth expressed.


I foolishly anticipated a bounce in USD .,... that never came, and got caught on the wrong side of what should have been a great buy of GBP/USD. Rank bad trading and there's no excuse. 🙁

Ah well, tomorrow's another trading day. It's a bit like gardening; you can pull up your failures and replant...


BTW, someone on AL's forum was talking about working from correlation charts. Must try to find out more...


(According to AL, it's down to the IMF (at least partly) that the USD is currently so weak. (They said it was overvalued)).

 

[NVP]

Hey all

The usd has certainly taken pain today

See it - Trade it

(Sounds like a new catchprase to me)

Nike eat your heart out

Later all
N

 

[pbylina]

Hey NVP, Can you code the FXcorrelator so we can have an option of setting ma applied to High, Low, or close price? Thanks.

 

[NVP]

Hey NVP, Can you code the FXcorrelator so we can have an option of setting ma applied to High, Low, or close price? Thanks.

Hey P

No worries if anyone wants to do it for me............due to the nature of the indicator the results are actually not that different to be honest

why are you asking as I may be able to suggest another approach ?

N

 

[NVP]

heres the week so far

SEE IT - TRADE IT :smart:

N

 

[NVP]

overnights

 

[NVP]

gonna be busy today again.......wiil post when I can

hey who rattled the nzd's cage ?

N

 

[StealthTrading]

let us know the exact approach you are using here onthe thread and I may be able to help............:smart:

N

Well, I was trading the 5 min, looking for entries when the tag team went south and GBP north.

Ended up -65 for the day. I think it was just a ****ty day in the markets.

I've read the manual again so I'll see what it brings today.

Have you tried trading this with real money?

Thanks for everything
D

 

[NVP]

Well, I was trading the 5 min, looking for entries when the tag team went south and GBP north.

Ended up -65 for the day. I think it was just a ****ty day in the markets.

I've read the manual again so I'll see what it brings today.

Have you tried trading this with real money?

Thanks for everything
D

Hey D

sorry - i'm a little rusty on my memory of that manual I produced last year .....:whistling

what system were you using ?

if it was 5 mins i am guessing it was a 20ma and 80ma combo ?

heres yesterdays action.......3 charts........the evening session was choppy and the pm session was deteriorating as well with viscious kicks from USd and the GBP....the morning was nice though

I would recommend using perhaps a 3rd screen to thighten those signals on a ma setting beteen 5 and 7 depending on your speed preference

you can also utilise and adjust the triple arrow corrie indicator available below in signature area and set the arrows on :-

top - 5min - 80ma Delta 1
Middle 5min - 20ma Delta 1
Bottom 5min - 5 -7(?)ma Delta 1

perhaps setting the main chart to the Bottom setting you are watching

N

 

[StealthTrading]

Hey D

sorry - i'm a little rusty on my memory of that manual I produced last year .....:whistling

what system were you using ?

if it was 5 mins i am guessing it was a 20ma and 80ma combo ?

heres yesterdays action.......3 charts........the evening session was choppy but the 2 other sessions look fairly solid on getting some G/U buy pips ?

N

Yeah I was trading 5 min with 20ma and 80ma combo and had 15 open.

But today I've gone fro 5min open and then watching the 1min to scalp.

I also turn off some of the other currencies so I can clearly see what is moving. I think yesterday was a bad day for GU and I was trading it all day chasing looses 😱

Anyway I'm sitting patient today trading with a demo to see how it goes.

Cheers
D

 

[montmorencyt2w]

Bernanke to speak at 13:00 GMT.
I might have expected that to be somewhat $-positive, but if the story that the IMF talking down the $ was essentially coming from the Fed (or approved by the Fed), then perhaps there will be more of the same.

Geithner also speaking later, but not sure if this is so important.


Mervyn King to speak at 13:20 GMT. It used to be that he talked down the £, but I think times have changed a bit. £ has been strong lately, and seemed to respond +vely to UK news at 09:30 this morning.



(Good for buying your travel US dollars, if relevant, but I still feel like a pauper these days when buying (or considering buying) Euros!

 

[NVP]

Yeah I was trading 5 min with 20ma and 80ma combo and had 15 open.

But today I've gone fro 5min open and then watching the 1min to scalp.

I also turn off some of the other currencies so I can clearly see what is moving. I think yesterday was a bad day for GU and I was trading it all day chasing looses 😱

Anyway I'm sitting patient today trading with a demo to see how it goes.

Cheers
D

Hey S ...I really respect you trying the approach here on the thread 👍

first if you are gonna be a GBPUSD man clear the cr*p from your 80/20 screens by right clicking the indicator and using the indicator tools to hide the other colours except yen usd and the gbp.........play around - it wont break

then ignore the dow........at these levels it wont matter as you are scalping

then wait for the signals..............and please please please apply some common sence and price action rules on the pairchart itself to decide on entering the trades that are signalled by the corrie

I see 3 below............yes I know that the bars will stretch and move around in reality but thats practice and waiting for the bar to close before trading

first one was 10 pips but in reality i may not have entered ......why ?......because i am looking for the next bar on the actual G/U chart to move beyond the previous signal bars Low to enter (or at least its close) - so noooooooo trade

the second was pure joy and what we are always lookign for

the third was untradable as you would not have got near it before it was falling back

keep your comments coming as a lot of people are supporting yuor progress here 👍

N

 

[NVP]

as I leave heres a setup coming ..............remember the tag is the difficult thing to wait for ..the gbp can move the 20 and 80 in the blink of an eye.........!!! :smart:

N

 

[NVP]

wait for the signal to be active at the close of a bar N

 

[montmorencyt2w]

Euro strengthened quickly from 12:47 GMT ... not sure why.

Both tag team members fell, but not to same extent.

Not sure if it is Bernanke-related, but in any case, probably not trade-able by mere mortals (and certainly not by me).

There may be a more Euro-related reason (as well, perhaps).

 

[NVP]

the safety catch is off and in position

 

[NVP]

ok G/u bar got breached but the red 20ma is below the zero still....no entry yet

can anyone else see the major problem with taking this trade re risk management ?

N

 

[NVP]

no trade .....and heres the answer to the risk/reward question :smart:

 

[NVP]

here we go again......

in fact forget my comments on the chart......reset that buy line if the red gbp closes a bar above the 20ma zero....

 

[NVP]

LET THE BAR CLOSE ABOVE THE 20 MA ZERO :smart: