what trading is this?

[newspreadbetter]

Please bear with me, but what type of trading method is this (if any)

Watching 4 or 5 of the major indices (FTSE, DAX, DOW, S&P etc) and they often tend to move in similar directions. If 4 of them were down, say between -0.3% and -0.6% and the other was still up, theres a probability that will follow suit. Is there a name for this type of trading please?

 

[bredin]

correlation trading.

Its quite common in currencies as well.

Just remember that the "other one" is sometimes the lead, and not the follower.

B.