When the whole NASDAQ does same thing

[chibiks]

NASDAQ is fairly predictable in that the whole market does one thing ie. group of stocks tend to move together up or down. Rarely do you find some stocks going up and others going entirely opposite direction in one trading day. So what obtains!

I need to be able to trade markets that dont move in tandem so uniformly.

Will it help to trade NYSE stocks as well? I just want to focus on one instrument type instead would have ventured into futures as well. But just want to focus on stocks - any inputs?

 

[NVP]

correlation in Equities is an interesting subject ...........I have looked at it in the past but these days I focus on correlation in the Forex market

you need to inititally work out what you are trying to do to make money re equity correlation

everyone leaps on the non correlated market strategy to not put eggs in same basket etc etc

if you do adopt this strategy make sure those markets are truly non correlated ....or the strategy is worthless and you may as well chase the momentum like everyone else :smart:

Good luck
N

 

[Mr. Charts]

NASDAQ is fairly predictable in that the whole market does one thing ie. group of stocks tend to move together up or down. Rarely do you find some stocks going up and others going entirely opposite direction in one trading day. So what obtains!

I need to be able to trade markets that dont move in tandem so uniformly.

Will it help to trade NYSE stocks as well? I just want to focus on one instrument type instead would have ventured into futures as well. But just want to focus on stocks - any inputs?

This is not so. There are plenty of stocks which do not move with the index virtually every single day. I know because I have been trading Nasdaq and NYSE stocks for a living for 13 years.

 

[JamesWright]

http://www.google.com/finance?q=NYSEARCA:QID&ei=PDDDUqDRGYKFwAOWoAE

http://www.google.com/finance?q=NYSEARCA:QLD&ei=bzDDUoDEE-eZwQPEkAE