Best Thread Correlation Trading - Basic Ideas and Strategies

[GMP]

GMP.....you cannot believe how much Simon is playing down the time and blood he has spent creating his "gubbins"........

N

I think I can imagine, if my own research is anything to go by!

 

[NVP]

either the markets are to strong at present and will fall back or the Tag are to expensive and will fall back ........hmmm !

 

[NVP]

huge surge on gold.......will this bury the USD ?

 

[GMP]

Hi mate ............i'm NVP on FF , TSD Forex, T2W and whenver I comment at moneyweek + henry liu's blog etc etc................shimples !

as mentioned in my very early posts here...(c1937 - when JRP and I were in shorter dresses) the FXCorelator is a Hybrid of work done by TRO (who appears sometimes here) and FerruxFX (an unbelievable programmer)......who based their hybrids on the grandaddy of strenghtmeters......the CCFPp

in truth I cannot remember the details but Corrie shows USD in its purest form...moving freely alongside the other G7.......The TRO and FerruFX Versions were USD based as Strengthmeters with the USD placed on as "decoration" (ie any zero crossover was a curency crossing its USD pair)

also the FXcorrelator is based on some of the simplest coding ive seen......KISS !

on the FXCorrelator the Zero line is the G8 average price line - not affiiated at all to the USD......so in the Corrie if USD line crosses another currency thats its pair MA crossover point (and not the zero line)

I still use these versinos somtimes as to be honest most of us just watch the X pairs so having the usd as a base is good call......you can easily reprogramme any Currency to be the baseline if needed ..............

go onto FF as the CCFP is still dscussed at length by programmers with PHd brains !

N

Thanks Neil
I cut right back on the amount of chart windows I have open at any one time (MT's "Open Deleted Chart" option is very handy) so that's probably the best workaround for cpu load.
I've currently got your corrie open alongside a version of CCFp and there's an interesting divergence between the two in the strength of the kiwi which I'm keeping an eye on, and which should help me decide which one to use for an overview. I'm certainly sticking with yours at shorter time-frames as an alternative to my usual indicators.

 

[NVP]

i think markets ar holding so I'm assuming tag will fall now and release the spring....

 

[NVP]

GBP weakest in the G8 pack..may fall now

 

[NVP]

pain in the **** eh !

sell GBP but whos the patsy to pair it up with ?

Euro and CHF look stonger than USD

n

 

[NVP]

and now I think the tag are finally gonna tumble.....that will put the cramps in the gradual GBP fall....

 

[NVP]

anyway gotta go now.....later dudes

 

[GMP]

pain in the **** eh !

sell GBP but whos the patsy to pair it up with ?

Euro and CHF look stonger than USD

n

I don't touch the CHF anymorw - it does too many strange things for my liking. Those Swiss banks are a law unto themselves...

 

[NVP]

Thanks Neil
I cut right back on the amount of chart windows I have open at any one time (MT's "Open Deleted Chart" option is very handy) so that's probably the best workaround for cpu load.
I've currently got your corrie open alongside a version of CCFp and there's an interesting divergence between the two in the strength of the kiwi which I'm keeping an eye on, and which should help me decide which one to use for an overview. I'm certainly sticking with yours at shorter time-frames as an alternative to my usual indicators.

hi mate

i'm not denegrating this stuff but I know the hybrids I played with needed a fix on Kiwi D as it was being averaged in wrong direction....i'm assuming the CCFP is ok though (?)

also check your feeds as Kiwi D sometimes does not feed properly in some platforms.....its a funny one the Kiwi D !

also go into tools / options / charts in yuor MT4 charts and reduce the bar feeds shown
that always speeds up your downloads as you are not processing the much older bars you usually dont need

N

 

[GMP]

thank god, the kiwi's finally broken upwards vs the Yen - strongest v. weakest for a while now

 

[NVP]

thank god, the kiwi's finally broken upwards vs the Yen - strongest v. weakest for a while now

drop screenshots on with settings and i'll confirm if the Kiwi feed is ok ........

N

 

[GMP]

hi mate

i'm not denegrating this stuff but I know the hybrids I played with needed a fix on Kiwi D as it was being averaged in wrong direction....i'm assuming the CCFP is ok though (?)

also check your feeds as Kiwi D sometimes does not feed properly in some platforms.....its a funny one the Kiwi D !

also go into tools / options / charts in yuor MT4 charts and reduce the bar feeds shown
that always speeds up your downloads as you are not processing the much older bars you usually dont need

N

that's interesting. In the CCFp I'm using, the kiwi's been strongest since 9.30, while in the corrie (at an approximately similar setting) it was overtaken by sterling between 9.30 & 10.25, and briefly by the Euro. In other words, both indies have the kiwi strong, but not to the same degree. It's one of the rejigged CCFp's, but if there were kiwi issues, it'd explain it.
And at the mo', your corrie is looking closer to reality on €Yen than the CCFp, so you can see which way I'm leaning!

Thanks for the MT tip btw - I hadn't thought of that.

 

[NVP]

usd looks like getting stonger now......ideally let gold fall below $1125.41 and then :-

Sell Gold
buy USD

for a while !
n

 

[NVP]

jees .....gold wont fall..................notice how the Com dolls are lapping this up with good rises !!!

 

[GMP]

drop screenshots on with settings and i'll confirm if the Kiwi feed is ok ........

N

thanks, 5 min chart, corrie's on the bottom, 40/1...oo, and the CCFp in the middle is cut&pasted and has no relation to that 300/-300 scale there

 

[jrplimited]

Hi N and anyone else,

The sun is shining again today so spring must have arrived, or is it because current UK government is about to get a good kicking in forthcoming election?!!

GU; First trade buy stop at 52782 triggered by wick of 08:10 down bar and SL taken out during 08:15 bar for a nasty but quick 21 pip loss. Chart showing upwards bias so second trade buy stop set at 52782 level once again (I never give up!) and filled by 09:10 bar. Price moved up slightly for two bars then momentum kicked in at 09:30, completely vanished on next bar then thankfully returned for following two bars, made a local high and started to slip downwards until low of 10:20 bar took out TS for 20 pip profit - probably should have tightened TS far earlier after local high print, but thats just naffing hindsight wishful thinking for you!

EU; First trade buy stop at 36753 filled by 08:25 bar, price immediately went into reverse gear and just missed SL by a few pips on low print of 09:00 bar, then it slowly started to recover upwards taking 20 minutes to reach initial entry point, formed new local high at 09:50, paused and attempted repeat of high then rolled over and took out TS during 10:20 bar for a miserable 6 pip profit.

EG; Couldnt find any decent setups so nothing doing here for me this morning.

After the past three days hyper activity this morning's rather narrow ranging and virtually directionless price action is to be expected, maybe EU might be worth a look this afternoon as it does seem rather vulnerable to short selling - trade well and regards,
Simon.

 

[NVP]

Hi N and anyone else,

GU; First trade buy stop at 52782 triggered by wick of 08:10 down bar and SL taken out during 08:15 bar for a nasty but quick 21 pip loss. Chart showing upwards bias so second trade buy stop set at 52782 level once again (I never give up!) and filled by 09:10 bar. took out TS for 20 pip profit - probably should have tightened TS far earlier after local high print, but thats just naffing hindsight wishful thinking for you!

EU; First trade buy stop at 36753 filled by 08:25 bar, and took out TS during 10:20 bar for a miserable 6 pip profit.

EG; Couldnt find any decent setups so nothing doing here for me this morning.

trade well and regards,
Simon.

hi JRP

I mentioned this recently on another Thread....look at how an experienced trader gives nothing away.....:smart:

unlike me who should change my trading name to Oxfam the way I call them sometimes.....

Armchair trading rules !

N

 

[NVP]

thanks, 5 min chart, corrie's on the bottom, 40/1...oo, and the CCFp in the middle is cut&pasted and has no relation to that 300/-300 scale there

hi mate....let me look later.....the shapes are good but the relativities are
different eh !

N