Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

morning all

after yesterdays fall on USD it may be a tougher market today ...........I was corresponding with the Jedster yesterday (hes always on holiday ! ) and we agreed how easy the markets have been this week....................if only it was always like this :smart:

N

 

[NVP]

ok dokey - game head on NVP

heres the 20ma on the hour ...........higher TF and gives us a little guidance for scalps

what do you see ?...........no hand holding today ..talk to me...over 800,000 views and i'm looking for more input here and who knows perhaps one day some potential trading partners :smart:

N

 

[NVP]

at the moment i'm banking on USD falling again in next hour or so.......I like the aussies as buys ...............above 9320 for AU.........europeans are languishing at present ....

 

[NVP]

cad just dumped but i'm on USD sells ...........shame

 

[NVP]

at the moment i'm banking on USD falling again in next hour or so.......I like the aussies as buys ...............above 9320 for AU.........europeans are languishing at present ....

yep usd has been falling .......

 

[NVP]

yen is shaping for more falls .............could be interesting given we may get a bounce north on usd soon..............

uj above 78.......

 

[NVP]

gbp just took hits and has fallen into sell territory.............below 6580 assuming usd rises

 

[NVP]

usd has risen as hoped and is very much back in continued buy territory...euro took most hits to date .........

 

[NVP]

been tied up today ..................looks like the usd really did get bull and euro has certainly been the sale of the day since my calls above ............my charts are GMT -1 so you can see the 9.30ish vertical below in line with my post/call............sure it took a while but it was on the cards.........and euro went south eventually.........shame about that spike as well.............:smart:

N

 

[NVP]

jack crook and the black swan boys ..........basic stuff but worth a look

http://www.screencast.com/users/bsw...rs/media/bc90c854-3be0-473d-b412-026be7e95ea4

 

[NVP]

new week .............uk bank holiday though.........

Euro under pressure

N

(bank holiday ?..have you looked out the window ?? )

 

[NVP]

time has moved on .........GBP is flying off a falling usd now .......

 

[Abdul2012]

Hi, It is good to know that , thank you for the analysis.

 

[NVP]

morning all.........

usd in second phase bear move now ...........euro is the buy


N

 

[NVP]

hey all

ive been around the block a few times on forex strengthmeters.........too long to want to remember :innocent:


its been a fascinating journey - sure its been incredibly frustrating and a real drain of resources and energy at times .............but what endeavour isn't ?

I still find the links below (in signature area) and the basic indicators therein the best and most useful platform to start your journey ...........they ae robust and say what they do on the tin

many people write to me saying that 8 currencies on a chart are too many to follow and try to trade ............

totally agree with you .........so what do you think is a good idea ?

remove some of them :smart:

N

 

[NVP]

ok so heres the chart I just posted ..........


this is a 20 ma default fxcorrelator on a 1 hr setting .......absolute bulk basic .....and the latest indicator if you cant find it on the links

N

 

[NVP]

now use the edit facilities to go to the settings for the indicator ....

click on the input folder and reset the currencies you don't want to...... "false" ....this will hide them until you want to bring them back

you can also reset the ma if you want ..........up to you

N

 

[NVP]

so lets say you are only interested in usd pairs and also you like the following

GU
EU
AU

that's it ............you are ony interested in them

so hide the other 4 currencies ..like this

N

 

[NVP]

so now what .......well I would suggest you follow the basic strategy of trend following (ie trade diverging currencies from the zero ........... and use the usd as your rudder

so only trade usd in divergence direction .........in this case it is currently BELOW the zero so only trade SELLS until it goes above the zero

 

[NVP]

how did I get the usd to be in bold ?.........

edit the indicator again and this time go to the colours folder/page

and reset the line shown to boldness you want ..........and any others if needed

that's it