Best Thread Correlation Trading - Basic Ideas and Strategies

[NVP]

EU has struggled today for me ............mainly because Euro has been pretty bull and I have been hunting for weak currencies as/when usd went bull

3 possible phases for me ..........but no more that 10 pips really on offer at any time

N

 

[NVP]

ok ..........still giving the usd plenty of chances to go bull as you can see from my posts ..........

look back to earlier this week and the usd has easily gone 20-30+ pip moves on its own from such humble beginnings .......

as F says the key is to keep plugging away to get in on the ground floor of big moves !

back later
N

 

[NVP]

if viewers are stuggling on usd pairs today don't lose sleep........this is a pretty tight choppy London session today so far

look at today vs last 2 days .......... in truth today has been 2 choppy sessions separated by 1 move south on usd ........not perfect vs the previous 2 days which had more ATR for usd pips and smoother moves

 

[NVP]

hey all

still plugging away here plus some other admin stuff I need to do today

the usd is one SOB today ............damn thing WILL NOT breach big time yet ......we are labor day weekend in US but was hoping for more life than this .........

Heres UCHF shown .............one of the pairs I hunt .......5-10 pip scalps around as I keep attacking usd buy bounces.....but nothing to retire on

chart is GMT

later
N

 

[NVP]

http://www.trade2win.com/boards/tra...-fx-intraday-trading-f-co-33.html#post2621460

ive been playing usd buys .....finally got a real flyer on 1.30 bar

euro and Chf the sells


all of the G8 currency indexes below are available free on my links below

N

 

[NVP]

comfortably up now so going to make some calls

started here as the usd finally went king kong bull

http://www.trade2win.com/boards/tra...-fx-intraday-trading-f-co-33.html#post2621460

some of the resulting charts below

N

 

[NVP]

signing off

Boom Boom ......
N

 

[NVP]

been a fascinating ride today ..........the usd really has turned up the volatility

that bull burst never lasted .......by 2pm BST we had confirmation of resells and down she came all the way back to where we started .......

the original support line tried to hold things temporarily but looks like resells are taking charge again

rollercoaster ..........but the big sell offered a lot of time to trade usd pairs

N

 

[NVP]

Ucad was a sell but I delayed the trade till I was 100% happy with the momentum of the cad as a buy for usds strong extended sell moves

60+ pips there to date

great day
N

 

[NVP]

from my previous post people will see the usd bounce around 3.21 BST.......I havnt chased it much as targets hit a while back so not to fussed

ucad has bounced north for over 60 pips .......... Gu has dumped 20 pips or so and was best sell of the Europeans todate

N

 

[NVP]

EU

You know my KT's

you now the basic LR set ups

You can read PA

End result - tight stops and great RR's

Forexmospherian is up early today and making pips

so - heres my take on that situation above ...........GMT on my charts and i'm using 3 LR's and 2 of my currency indexes available free below in my links area

Blue line = Euro index
Green line = usd index

commentary

usd bounced off a support at 5.26 BST (left side chart)

euro was not selling though
wait for damn euro to sell

5.40 BST = first indication of Euro selloffs (LH)
but usd now flat - wait !

5.57 BST = usd breaches new resistance level and euro still falling = Trade

yes even though we are 3 mins off of new 30m/60m bar change

small win but absolutely solid move for 10 pips :smart:

forexmosperian was ahead of me on the signal by 6 mins - but I needed to see more from the individual currencies to risk it :smart:

N

 

[NVP]

6 45 am

GU

Just mentioned with Nick how I like looking for GU in sync on scalps with EU and EJ - ie a triple sync leading to larger scalp moves

The GU start rising as i was taking my first EU scalp sell - so was out of sync

From approx 6 30 am - that all changed - all 3 in a scalp buy scalp

heres the 4 currencies mentioned on a index chart

note these are 4 independently loaded indexes from my free links below - therefore the scaling is different - BUT I am not interested in scaling on this chart - just direction ! :smart:

#1 - from 6.14 I am looking at selling off the green USD
#2 - from 6.30 I see the yellow yen align to usd sells and I see the blue Euro bounce north - and red gbp reconfirm buys

so from the new bar we really get some nice correlated signals

Yen correlated to Usd as both sells
Europeans correlated together and going north

that deserves a boom boom basil :smart:
N

 

[NVP]

GU

7 01 AM

If you looked at my last chart - I just hope you saw what was going to happen around 7 00 am and under 5250

YES

A sell off again

nice early call F ...........again I missed the bus a little as my own approach told me red gbp was still pulling a little too much bull action........6.55 earliest for me which lost me 3-4 pips but felt more solid

I will make that 2-3 pip gap up on you F one day :smart:
N

 

[NVP]

a lot of Traders have been contacting me and asking how the FXcorrelator can be "real time" .....................

well in truth it cant guys .............its a lagging ma system (like any ma based system)

it is still very effective on settings of your choice to give indications and clues as to G8 dynamics (overboughts / oversolds / MA crossovers) but for scalping purposes I mainly utilise some fast settings on an FXCorrelator combined with the indexes also available below ....and then naturally some good old fashioned PA on the pair chart I am targeting...........Forexmospherian has also taught me a lot re those LR's and Time windows etc etc .........so they are in the mix as well

plus - yes a few years now of practice ...........that's the real edge for any trader - practice

N

 

[NVP]

stepping back (something scalpers do occasionally)

been a good week.........mainly bull action on USD

today has opened up bearish........but we have recently seen a solid bounce of Thursdays S/R levels

will chase it as it comes ...........happy on bull at present ..............if that support line breaches though we could have a massive selloff..........

Labor day holidays this weekend in US so will have to see

N

 

[NVP]

heres the same chart with my 3 fav currencies also added

Blue euro
Red GBP
Brown CAD

when scalping I will always gravitate to European usd pairs ........but if all else fails theres the Ucad

it is pretty rare for all 4 of these guys to be moving together ....any TF

so on a 30m TF for the week generally one can see where I would have been strategically going on scalps .......

MONDAY.........massive usd Bull session but as you can see the Europeans were also pretty bullish............there were opps though at scalp level......and if needed there was a nice nice cad selloff early afternoon .....then later in US session the cad bounced as usd sold off - real nice plays

TUESDAY.......USD was a big bad bull most of the time in London session ............Excellent selloff on red GBP right ?

WEDNESDAY.........USD still bull........bit of a bunfight on the other 3 currencies selling them when signals came

THURSDAY.......tough day for usd as it remained pretty flat until lunch ........then we had nice selloffs on the Europeans as F and I were commenting live yesterday .see how the brown CAD stayed loyall to USD for once ?

sure the lines are a little messy at times ........especially if you mix 4 or more on the screen ...............but you only need 2 indexes on a pairchart to start off practicing ........right ?

have a great trading day
N

 

[NVP]

ok taking a break soon as targts hit a while back

as stated in posts this morning ...........I have been mainly attacking usd buys since 6.50ish picking off best pairs as we went

N

 

[NVP]

i'm taking a break now - F has also mullered his targets

i'm sure the Comedy channel will be awake soon for your enjoyment here at T2win ..........until then heres a commercial break

N

 

[NVP]

hope you enjoyed the commercial break viewers, and the splendid and witty entertainment available elsewhere on t2win these days

those guys really are cutting edge funny and hip....truly side splitting satirical stuff and worthy of any local Cable channel thats for sure......

meanwhile back to anyone actually trading and heres the USD today

best fit line I can offer showing main S/R level today ..buy above , sell below so far

N

 

[NVP]

hi gang

been trading .........no posting - just focused on the Pre-post NFP party

ok heres the usd on a 5min for the day so far - NFP shown at 12.30 (times = GMT)

look at 3 simple lines used so far today to help me gauge S/R levels on USD

Note the middle one is the same as previous posts today ..topped and tailed it for new chart below

sure there are more coming now......as usd has gone bull on NFP..........but prior to that just 3 to keep me on the right side of scalps

sell into resistance level
buy off of support levels
don't rush the trades

that's it
N

(PS - I added a Boom in the chart for the fans )