Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

as discussed ...........I am watching for sells on usd this morning

N

 

[NVP]

as discussed ...........I am watching for sells on usd this morning

N

hi all ...........sorry I havnt been around much

as mentioned in last post .............I was hunting usd sells as I sensed it was due to sell off .................

and it did for 4 hours....excellent !!!

euro and gbp were the main buys ...........hope you had pips

then around lunch the usd turned north again and has been running ever since .............can you see how many currencies rotate and take turns to sell against the usd ?.........

this is the secret in forex trading and using strngthmeters .........you have to realise that currencies (indexes) cycle up and down as well as currency pairs ......and go with the flow !!!

anyway currently the swissie is taking a hammering off a rising usd .....................are you on it ? :smart:

N

 

[jfw215]

Hi NVP,

I just saw your last post on Forexmospherian's thread. I have seen your correlation chart before but didn't know you had a thread. I'd like to read it from the start. Have you found following the correlation trend being a good way to give you bias for trading fx?

I'll be jumping back on the thread after my CAIA exam in less than 2 weeks.

Cheers,

J

 

[NVP]

morning all

well the usd has been trending south through the Asian session .............looks like the bias changed just after the 7am bar

now going north it seems

N

 

[NVP]

will try to trade but got a call to help out some old work colleagues on some bids so may be tied up next few days

N

 

[NVP]

Hi NVP,

I just saw your last post on Forexmospherian's thread. I have seen your correlation chart before but didn't know you had a thread. I'd like to read it from the start. Have you found following the correlation trend being a good way to give you bias for trading fx? - well it works for me dude :

I'll be jumping back on the thread after my CAIA exam in less than 2 weeks. - good luck in those :smart:

Cheers,

J

hey there

see above

N

 

[NVP]

usd still coming north .......swissie is lead sell

 

[NVP]

usd is looking to go north again right now .................

 

[NVP]

uchf boiling under .9603.......

 

[NVP]

man o man the usd is over bouight and swissie is oversold.............i'm ok anyway on that pair so certannly not buying more at moment

hmm

N

 

[NVP]

if I were playing a countertrade I would have to look at selling uchf now with right triggers

 

[NVP]

3 bull phases on usd since 8am

4th ??

N

 

[NVP]

if I were playing a countertrade I would have to look at selling uchf now with right triggers

nope the usd still bull as already mentioned

 

[NVP]

the usd is cruising north

ive hung a 20ma off of the usd index to show the flow ...........can you see how that correlates to the 20ma FXCorrelator in lower area ?

that's what the strengthmeter does - it simply shows you where a currency index is verses the ma you set on the indicator ...........so the usd is above the zero indicating it is rising and above its 20ma !

all the other currencies shown as well

strengthmeter - 101 !

N

 

[NVP]

hey gang - ive got to do spme work for a few old work colleagues ...........

back online later hopefully ..............

if you got into the usd bull run earlier from 8am you should be doing ok ............most usd pairs have made some pips since then especially Europeans .........uchf has had 20-30 pips on table at times

N

 

[NVP]

quick update - last for a while

usd is still bull .......great run since 8am and since my last post at 8.50 ish .........

eu one of a few nice sells

N

 

[NVP]

back for 2 mins .....

usd now firmly bear ...........it got tested repeatedly from 11 am onwards and didn't respond north further

massive cad spike earlier .........jees

N

 

[NVP]

people are always asking me how my approach has evolved over the years ........well essentially it hasn't in essence ............I'm just hopefully more patient and wait longer for the right signals

for example heres the usd index (free in links below)..........its pretty obvious we are in sell mode....right ?

so wait for the retraces north and attack them when they come back to trend (falling again) ......

how ?......................well that's up to you friends

from fibs to ma momentum signals .....even multiplexium algorithmic symposium megaindicators .............to simple eyeball work ..................anyone can see then the damn line is slowing down on the retrace and heading back into trend ........

theres no magic formulas or numbers dudes ..........you pick a spot and go for it ..........picking a currency to trade with the usd on the way .........

N

 

[NVP]

see we are in the second retrace phase now ................will it hold ?.or is it now firmly a buy signal and I am in the wrong mindset / bias ?

how do I know ...........just try to steal 5 pips on a scalp before it does !!!

N

 

[NVP]

I attacked the usd sell move at 14.00 hrs ..........right on the hourly

so far most pairs have responded to the move that I called correctly

(I went Ucad and GU)

now I need to buckle up and ride things for as long as they last

later
N