Eurodollar

[fandyur]

I trade both the Eurodollar and the ED spreads.
I just went long the Eurodollar, I believe it ended its correction the end of December.

My indicators tell me that both the Ed and the spread (JUn2010/Jun2011)
are both in an uptrend.

Anyone else trading these.
Any thoughts.

 

[bluewater18]

You don't need an indicator to tell you that something is in an upward trend. You need only look at the price.

 

[arabianights]

I would be pretty careful of going long MM if I were you... steepning's gonna happen *some time*

And tbh you might as well just trade M1 anyway rather than the spread.

 

[fandyur]

You don't need an indicator to tell you that something is in an upward trend. You need only look at the price.

true, a look at prices will show the trend.
however, when the price goes into a correction.
Is it a correction, or a trend change.
Thats where the indicators come in.

 

[arabianights]

I believe the trend change will be pretty obvious when it happens tbh

 

[fandyur]

I believe the trend change will be pretty obvious when it happens tbh

How will it be obvious?

 

[arabianights]

How will it be obvious?

Someone on the FOMC will more or less say they're about to raise rates

 

[bluewater18]

Someone on the FOMC will more or less say they're about to raise rates

You may have missed my perhaps-too-subtle point.

The point is, if you're building an algorithmic system, you need to program some numbers into your code to define a trend.

It's not the indicators which are doing the work for you. It's the way you look at the price, be it through ATR, stochs or MACD or just daily closing prices.

You have to define a trend before you can write a program which trades trends.

 

[fandyur]

Defined it with my indicator.
It shows when a correction will happen.
Therefor it shows the direction of the trend.

 

[bluewater18]

Read that post back slowly to yourself.

It makes no sense whatsoever.

 

[fandyur]

You read it again

 

[bluewater18]

Quote: Defined it with my indicator.
It shows when a correction will happen.
Therefor it shows the direction of the trend.

Ok, here goes -

Your indicator shows when a correction WILL happen (ie the future)

AND

Your indicator also shows the (CURRENT) direction of the trend (ie now)


That's one fine indicator you have there. I look forward to you taking over the world within the month.