Using foreign indexes to your advantage


Established member
This is something me and some friends over at often do with success and im just wondering who else does / has done it, its not something i was massively familiar with until i was shown exactly how to do it by another trader... But basically many stocks will have a counterpart on other major stock indexes, like the NYSE, as an example Bank Of Ireland (BKIR) had a counterpart on the NYSE called (IRE)

It is configured differently for example 1 IRE share = 4 of our BKIR shares.... so if BKIR was €0.40c you times that by 4 = €1.60 and then convert in to dollars which is $2.37... Although its not that simple, in this instance IRE is usually slightly ahead of BKIR but if you get to know how they move its a great way to get an idea of whats going to happen.. take yesterday for instance, BKIR was lower than it should of been at 25.8c... in the after hours even when the LSE was closed IRE was climbing up and ended up at $2.02 which equates to €0.34... now this isn't verbatim, so it doesn't mean BKIR has to be 34c on UK opening, but nevertheless it has climbed after UK hours which indicates to me there will be a rally over here too. Low and behold there was a 9.45% increase today, and i have seen this many times.

Im wondering if any of you guys use this type of info to your advantage?
If so please explain as im interested to see what variety of stocks it effects.


Come on guys, someone must know about this?

What about people using asian markets to help predict openings etc?