Looking at the indices...

[Technically Fundamental]

I've been looking at the indices

FTSE/DOW/SP500/Russell virtually identical Jan high now being tested as support

France/Germany/Spain/Italy no high in Jan but two weeks later in feb... now being retested as support

Asian indices and US tech... high correllation and no test of either jan or feb high

This is far from a sound trade so I'm just observing and testing whether US Tech is heavily reliant on emerging/asian economies and/or if price action from the west ripples around the world.

Anybody have and ideas on what they think will happen or have any other factors they think I should be considering?

 

[foredog]

FTSE is Dows bitch

 

[Technically Fundamental]

Yeh but the trading pattern is virtually the same. I'm only on about charts here not the fundamentals. Try again son.

 

[foredog]

Yeh but the trading pattern is virtually the same. I'm only on about charts here not the fundamentals. Try again son.

Exactly...THe FTSE follows the DOW.

Trying to point you in the right direcion and you get cocky.


Think about that son.

 

[Technically Fundamental]

FTSE/DOW/SP500/Russell virtually identical Jan high now being tested as support

I know it does. Expand on the hypothesis son.

 

[foredog]

There is vastly more capital in the US so that's what pushes around the 3 indexes maention, so when the Dow hits a level and stall so does the FTSE.

Look how often the FTSE flits about in the morning and only rally moves after 1430.

What is was trying to point out is that all 3 move the same so it's best to look at the larget of the 3 as the other two will follow.

Have done for the 10 years i've been trading, but then again you probably know best.

 

[Technically Fundamental]

I not disputing what you're saying foredog lol.

"This is far from a sound trade so I'm just observing and testing whether US Tech (which can influence the DJ > FTSE) is heavily reliant on emerging/asian economies and if price action from the west ripples around the world"


I grouping US and UK together due to their high correllation. Then Western europe over to more towards the east. Then Asia.

I want to know if the Aisan market relies on US tech or vice versa and to follow the action to see if the us ripples around the world on the daily weekly TF.

 

[foredog]

To be fair if one rallies/craps out enough it will affect all the others. If Aisa craps out the US will wobble and vice versa.

 

[Lord Flasheart]

When America sneezes the rest of the world catches a cold. What Foredog is saying is true,there are some classic exeptions such as when there is a major correction in a currency. If the £ is week then lots of us traders will invest in uk stocks often causing the ftse to outperform the dow.

 

[Technically Fundamental]

Yeh I'm talking about tracking the price action. Asia and US Tech havent retested Jan/Feb lows. FTSE/DOw have and France/Italy/Spain are about to (it seems) Is this enough info to get in early on asia?

 

[foredog]

No, they haven't moved for a reason. What that is I don't know.

Wait for them to start going lower then sell.

 

[Technically Fundamental]

Nor do I foredog. What I'm saying is If everyone else has fallen will Asia start to fall for definite? Could you short asian markets based on the rest of the major indices re-testing new jan/feb high for support.

 

[foredog]

That's like buying EURUSD becasue GBPUSD has risen. Maybe it'd be GBP's strength rather than USD's weakness...so you see GBPUSD rally 100pips get into EURUSD and it drifts back 20 pips.

Asia may follow the other markets...BUT...wait for a signal that Asia is following rather than second guessing.

Just my opinion though. I could be wrong and you'd clear up getting in ahead of the crowd.

 

[Technically Fundamental]

I think that Forex are too liquid and too volitile to draw comparison. We know the sh*ts linked I'm just trying to find out if we see the waves coming from a distance. Even if re-test it could be a one off lol.

Nobody else is interested.

 

[foredog]

All I'm saying is that just becasue everything else is doing something and one isn't doesn't mean it will go with the crowd.

Wait for confirmation of this. Put it on a watchlist....

 

[Technically Fundamental]

I just realised something. I've been learning for a few months and I'm already falling into the trap that many trading legends fell into. trying to understand the puzzle. I'll stick to learning to increase returns lol.

 

[foredog]

Exactly mate. lightbulb moment....

KISS

And no that's not me showing my affection

Keep
It
Simple
Stupid