Best Thread Correlation Trading - Basic Ideas and Strategies

[Itshamish]

busy busy again today folks.......

have a good day
N

'Evening, all.

Some End of Quarter Forex Ideas > CashBackForex

some very useful comment to muse over by the very good analyst, Mr Ralph Shell.

Trade canny,

Hamish.

 

[NVP]

thanks H - i'll take a look....

n

 

[NVP]

Meanwhile back at corrie HQ....

dow has been bullish and the yen has been nicely south over recent period.....not sure what the USD is doing but selling Yen has been generally rewarded :smart:

now if they could only get back together more often !......

N

 

[NVP]

mornin all......

Boring but consistent**....as dow fades we get the yen strengthening though the night

later
N

** sounds like my 35 year career as an Accountant

 

[maggieo]

Hello dear friend!!!

Surprise!:clap: I thought I would stop in and give a hello.

I need to set up again.....and refresh everything I knew..... still don't know about getting the usd/jpy

I've been incarcerated, for the most part, in and out of hospital. Ugh. Hopefully I can stay and visit awhile but I'm sure it will still be sporadic.

Gotta go for now but wanted to say hi.

mornin all......

Boring but consistent**....as dow fades we get the yen strengthening though the night

later
N

** sounds like my 35 year career as an Accountant

 

[NVP]

Hello dear friend!!!

Surprise!:clap: I thought I would stop in and give a hello.

I need to set up again.....and refresh everything I knew..... still don't know about getting the usd/jpy

I've been incarcerated, for the most part, in and out of hospital. Ugh. Hopefully I can stay and visit awhile but I'm sure it will still be sporadic.

Gotta go for now but wanted to say hi.

Hi Mags

great to talk to you ....hope you are feeling better these days and the family is well......

Sylvie is gradually feeling better but is still pretty weak so doesnt get involved anymore in the trading business - but naturally we still keep in touch

look after yourself and remember to take it easy M ....

N

 

[NVP]

hey all ...

well well yesterday we got some action from the GBP....as USD and Yen got south off a rising dow ....a perfect correlation signal !

keep going north you fool ....I need to buy some Euros soon for holidays !

later
N

 

[NVP]

hey all

well heres easter......thats a quarter under the belt already !

if you follow me here you will know I introduce you to 2 simple strategies regarding intermarket correlation and strenghthmeter analysis.....

its simple and straightforward and is just an intro if you wish to experiment and dip your toe into my world.....the world of forex relative strength and correlation

system 1 - trade when the usd and yen on the same side of the Zero (trade them against other currencies on opposite side of the zero)

system 2 - trade only when the Dow is rising and the USD (and/or yen) are falling below the Zero

system 3 - combine the 2 !

thats it - use the default 20ma on everything and try it

heres the week below......

system 2 (dow) was sloooooooow this week ......virtually zero signals indicating a lot of conflicting messages in the market

system 1 was better ........getting those 2 together on same side of the Zero then trading what was moving on the other side ........I've put yellow ticks in the areas of signal ...not bad ...

monster signal on previous Friday - buying usd and Yen - and seling euro and swissie

Monday ...finally a little action selling USD&YEN into the rising commdolls.....

Tuesday....sell the Europeans into jointly rising USD&YEN

Wednesay ...buy the Euopeans into a falling USD&YEN

Thursday....a mess .....very low volatility ahead of Easter

Last chart is Thursday / Friday revisited above

Thursday had a Sell signal on USD&YEN and friday was Easter Break .....

ask me any questions here .....have a great easter !
NVP






follow the corerelation of USD and Yen together

 

[NVP]

so how'd your quarter go ?

good - bad - indifferent ?

the crack trade was buying AUD or NZD into GBP.......

The x-men chart below (monthly on a 3/1 setting) shows the turquoise NZD and (hidden) AUD raking in the pips for the Quarter and thumping the poor GBP (red)

To the tune of some 7% !.....7% !

the USD pairs represent 80% of pair trades so pat yourself on the back if you bought AUD and NZD into USD through the quarter and also if you dumped GBP against the Greenback....although if you look closer at the x-men chart you will see that Selling GBP into the USD was a much more lucrative move than buying the aussies into the USD ......

Respect !
N

PS - the X-men indicator is available in this thread somewhere - have a search for it

 

[NVP]

mornin all......

its Easter so whilst markets are open I am not keen to review ....

trading is hard enough in normal conditions !

I am researching and testing systems today as per normal....happy to try to answer any questions people have on intermarket correlation and or Strengthmeter based Forex systems

I'm not saying I will have the answer...but I may be able to provide some clues for where you look

have a great Easter
N

Jedster - I am looking at some of our recent work today if I get the chance

 

[Itshamish]

mornin all......

its Easter so whilst markets are open I am not keen to review ....

trading is hard enough in normal conditions !

I am researching and testing systems today as per normal....happy to try to answer any questions people have on intermarket correlation and or Strengthmeter based Forex systems

I'm not saying I will have the answer...but I may be able to provide some clues for where you look

have a great Easter
N

Helicopter Ben tells us how he/it is:

http://www.theonion.com/articles/drunken-ben-bernanke-tells-everyone-at-neighborhoo,21059/
:

 

[NVP]

mornin all......

yen is rocking so far this week...but will it last ?

i'll tell you late friday
N

 

[NVP]

mornin all.....

jees but GBP got hurt yesterday ......were you in it ?

later
N

 

[NVP]

mornin all ....

ive spent about 30 mins trying to get my Platform to feed..........hmmmm

Ive got some serious indicators running and looks like memory has gone "I dont think so"

will upload the basic 20ma screens here when I can revive it .....

N

 

[NVP]

had to delete some indicators ....baaa humbug .....

anyway heres the overnights .....for those not yet aware Japan had a big meeting and delclared that the Yen is dead ..........long live the Yen

thats if we all live long enough to spend it .....

N

 

[NVP]

mornin all

heres the Week ...........Guess the currency that moved the most ?...

Friday Gameplan ?

alongside any Economic News i'd watch the GBP and the Yen for Reversals....Euro came a long way from Wednesday & yesterday as well......

Use the USD in the pairing if any retrace significantly

have a good day :smart:
N

 

[NVP]

hey all.......

pretty quiet on the moves I was looking for........and in fact they are generally moving more with the recent trends

lets see what the US session brings...a continued run south on the Dow will certainly do it i'm sure......

N

 

[NVP]

CAD just got slammed .........thats screwed the correlations .....

hmmm
N

 

[Jedster2001]

Are you serious? Did you see the news releases on Friday for the Loonie? No wonder CAD took a dive on Friday afternoon....

Sorry, really busy at the moment, but if you were trading on Friday then because of the announcements about the Loonie, the weakness on the CAD should come as no surprise...

Right, back to another glass of rouge...deep in rural France... :cheers:

 

[NVP]

Hey Jedster.....

got the PM's .........relax and enjoy the break .....no rush or worries here dude

N