Complex Correlations individual currency indicies

Been keeping my eye on this and there may be a trade set up coming on EURGBP.

Not normally a pair I trade but it seems to be the best op at the moment. Not a huge difference between the 2 lines and I would wait until the turn to converge, but there is a favourable pattern forming too.

Lets see how it transpires.

G-Man

here are a bunch of scalps on the 5min using correlation of EUR-CHF-USD. I am showing entries on the EURUSD for all signals even if signal is for USDCHF I show it on the EURUSD chart. This is very interesting to me. you see all these scalps would have worked within about 30 minutes for a couple pips.

here is an entry on the scalper setup that made money quickly.

here is a potential exit or partial profit area for the scalp.

video of the 1minute correlation indicator. The indicator is a bit clunky but it does not repaint.
i have accelerated this video a lot so you see several minutes in 22 seconds.

you should be able to open from current location and watch.

Hey Fxorce,

When I opened the zipped file the file extension wasn't recognized by my computer. What file format is it saved in?

Thanks,

Mike

http://www.dropshots.com/day.php?use...9&ctime=122321

Looks like this would have pulled in 10-12 pips after spread. Not massive but it would be OK for this pair and shows that there may be some mileage in this indicator.

G-Man

right now i'm only really interested in scalping with the indicator. a friend of mine tried day trading and swing trading with this system and ended up in a huge drawdown after averaging in. before he hit the drawdown he had made 4000+ pips a month so perhaps it's worth it at some point but right now i'm only interested in using this to filter scalp trades with my other systems.

The moral of the story is 10 pips a day is what will make me millions in a couple years.

I don't have any statistics to support this, but it appears that the majority of trading concepts and strategies, both posted here and in the wider trading community in general are 'reversal' type strategies. i.e. they look for tops or bottoms and oversold or overbought conditions. Presumably this is due to the oft quoted theory that markets only trend 30% of the time and range 70%.

The problem is, as experienced by your friend, is that when you hit one of those trending periods, huge drawdowns could be experienced. I think this is something that all traders should be aware of when determining their trading strategy.

I like the idea of using the indicator as a scalping aid. With low spread pairs there could be some mileage in using it as such on short timeframes. It's success I guess would depend, like all concepts, on where you TP and SL are placed.

FxORCE, what do you use the BB for in your scapling?

G-Man

BBs are a great tool for scalpers. Use them as overbought oversold indicators and combine with correlation or RSI for confirmation.

Hi THE FxORCE,

I quite like this, this is a great tool, didn't know how to use it much, but I gave it a go and got the hang of it and make some quick pips, 5 to 10 pips per trade!

Though as you say what else would be good to use to filter out bad trades, also when to take trades and what to look for, as I am not brilliant with this indicator, but I think there is a lot of potentional with this tool!

Thanks in advance,
Guess

the secret is looking to larger time frame (1hr) then entering on pullback during smaller time frame (1min).
use BB and RSI for entry. Complex Correlation can show you when a pair is ready to roll over. Look for both currencies in the CC to start to point toward each other and enter on retrace.
Use F12 on MT4 to test one bar at a time forward. Spend hours doing this and I believe you'll improve your success greatly.

When i said RSI i meant CCI. There are upgrades to CCI out there that are better than regular CCI as well. I advise putting a moving average on top of your CCI so it smooths out. Also Tick chart CCI's are much better. Look for charting that allows tick charts instead of time compressions. you'll get much less divergence on tick charts which makes trading with an indicator more accurate.

I like this. I did make a couple of modifications to it so it shows and compares only the four currencies I trade, and also to make it work with my broker platform (IBFX). I'm not much of a fan of indicators usually but this one compliments my system really well.

Hi guys, how do I get this working? Trying to load it in the expert advisor but nothing comes up. Any advice?