This thread and its associated explorer are initiated as a natural progression from the learned experience of a strategy that was used to scalp the EUR at the opening of the European markets at 07:00 (GMT+1).
It has been observed that certain currencies move in synchronicity with a basket of linked pairs. For example, when the AUD moves against the EUR, it will also move against the CHF and GBP.
Another observation is that when AUD moves in a certain direction, so too does NZD. So, if we are to trade the AUD, we should also trade the NZD.
The key to this strategy is to know which currency is the strongest at the European open. I use the IG Markets' Pro Real Time platform for its excellent currency strength table. See the illustration below where the currency strength list is on the left of a set of four EUR pairs.
This is an excellent example of the strategy at work, with strength in the AUD and NZD and weakness in the EUR. The associated explorer shows the detailed analysis of the day's trades.
The key to sensible trading.
It has been observed that certain currencies move in synchronicity with a basket of linked pairs. For example, when the AUD moves against the EUR, it will also move against the CHF and GBP.
Another observation is that when AUD moves in a certain direction, so too does NZD. So, if we are to trade the AUD, we should also trade the NZD.
The key to this strategy is to know which currency is the strongest at the European open. I use the IG Markets' Pro Real Time platform for its excellent currency strength table. See the illustration below where the currency strength list is on the left of a set of four EUR pairs.
This is an excellent example of the strategy at work, with strength in the AUD and NZD and weakness in the EUR. The associated explorer shows the detailed analysis of the day's trades.
The key to sensible trading.
Tellboy