Hedge and Correlation Strategy | Page 58 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Correlation + Momentum Strategy? 6 replies

MT4 MTF Correlation table and Correlation oscillator indicators 155 replies

InsomiaFX Correlation Double Hedge EA 66 replies

Looking for EA for Correlation Strategy 6 replies

Hedge strategy (not a hedge fund) 13 replies

Attachments: Hedge and Correlation Strategy
Exit Attachments

Hedge and Correlation Strategy

  • #1,141
  • Sep 10, 2009 1:39am Sep 10, 2009 1:39am
The gap has gone crazy:

Attached Image (click to enlarge)
Click to Enlarge Name: chart3.jpg Size: 130 KB


Currently: -160 pips

I've added second time, current open positions:

GBP/USD 30K (short)
GBP/CHF 30K (long)
  • #1,142
  • Sep 10, 2009 1:42am Sep 10, 2009 1:42am
Quoting Lenoxer
Dear TE Lawrence,

See p. 54 in this thread, post #803.

My best,

Lenoxer
Thanks but how can we update this information, i.e. in real time, to have actual values?
  • #1,143
  • Sep 10, 2009 1:46am Sep 10, 2009 1:46am
Quoting Gothamcity
i am not going to close the order...

I want to see where this will go...

It might just burn the account but it will be a good experience...

no pain no gain right

i just hope that the pairs come close tommorow when i wake up
Same here. I'm with you. Read my posts - I'm updating my situation. Staying in trade like that can teach us a lot.
  • #1,144
  • Sep 10, 2009 4:20am Sep 10, 2009 4:20am
Quoting jeffreytp
Same Pair MT4 StaticOverlay vs MarkerScope. Almost similar but not quite.
StaticOverlay is not the same as the other overlay charts, it was intended to be like that. It uses the same formula but unlike the other overlay's it don't show the repainted past.
An normal overlay example: if at 12h the gap for an given pair is 50 pips. Then 2 hours later at 14H the current gap is 60 pips, but looking back at time 12h, it is now 70 pips. This is repainting, and they all do it (look for your self if you dont believe me)
Now, staticoverlay will show gap at time 14h as 60 pips and at time 12h as 50 pips.

There is nothing wrong with the other overlays repainting, they where meant to do that. Also with SOverlay is that you have to pick the period, normal overlay just take the current visible bars as the period. I'm sorry if I did not explain it better when I posted it, but I hope this clears a few things up
  • #1,145
  • Sep 10, 2009 4:28am Sep 10, 2009 4:28am
Quoting bobfourie
StaticOverlay is not the same as the other overlay charts, it was intended to be like that. It uses the same formula but unlike the other overlay's it don't show the repainted past.
An normal overlay example: if at 12h the gap for an given pair is 50 pips. Then 2 hours later at 14H the current gap is 60 pips, but looking back at time 12h, it is now 70 pips. This is repainting, and they all do it (look for your self if you dont believe me)
Now, staticoverlay will show gap at time 14h as 60 pips and at time 12h as 50 pips.

There is nothing wrong...
Your work is very much appreciated. What would be the overlaying formula of the indicator?
  • #1,146
  • Sep 10, 2009 4:58am Sep 10, 2009 4:58am
Quoting chamane
What would be the overlaying formula of the indicator?
You just take the range (highest high - lowest low) for an period for the current symbol divided by the range of the other symbol which you will be overlaying with. This is the ratio that you will be using.

then you take the midpoint of the overlay symbols price (range / 2) and do the same for the current symbol (its range / 2)

now subtract the overlay symbols midpoint from its price,
multiply this with the ratio and plus the current symbols midpoint.

Do this last bit with every bar in the period.

I see you are really struggling to choose between marketscope and dailyfx charts, as jeffrey already showed, they are the same (they use the same method as describe above). If there periods and timeframe are the same there values will be the same. In my last post I also pointed it out, they pick the current visible bars as the period (higher zoom means less bars, smaller period, causing the gap to change). This seems to be what the big misunderstanding are, everybody are looking at same symbol but with different periods (zoom levels)

So you should be less concerned which chart to use, but rather look into which period and timeframe are best suited for you.
  • #1,147
  • Sep 10, 2009 6:21am Sep 10, 2009 6:21am
you should be better by now....BOE rate decision

Quoting T.E.Lawrence
The gap has gone crazy:



Currently: -160 pips

I've added second time, current open positions:

GBP/USD 30K (short)
GBP/CHF 30K (long)
  • #1,148
  • Sep 10, 2009 6:23am Sep 10, 2009 6:23am
Quoting redart007
you should be better by now....BOE rate decision
+30 pips Still staying in this trade.
  • #1,149
  • Sep 10, 2009 7:02am Sep 10, 2009 7:02am
well at least the gap stopped widening, its a good sign...

Now we have to wait it out...
  • #1,150
  • Sep 10, 2009 7:09am Sep 10, 2009 7:09am
Quoting T.E.Lawrence
+30 pips Still staying in this trade.

hey t.e. i know your on demo account but really could you keep the emotions in check when your dd is very large like it was yesterday? just asking because if it was real acct. believe your emotions will cloud your judgement and panic. yes i know your just experimenting but i tell you its very hard to control it.


now theres a trade brewing on gbpusd/usdjpy right now as the gap is soo huge maybe its safe to take that trade. dont knoinw what your guys think?
  • #1,151
  • Sep 10, 2009 7:36am Sep 10, 2009 7:36am
Quoting treadline
hey t.e. i know your on demo account but really could you keep the emotions in check when your dd is very large like it was yesterday? just asking because if it was real acct. believe your emotions will cloud your judgement and panic. yes i know your just experimenting but i tell you its very hard to control it.


now theres a trade brewing on gbpusd/usdjpy right now as the gap is soo huge maybe its safe to take that trade. dont knoinw what your guys think?
I'm trading on live account - IBFX, with 0.1 lots (10K) and leverage 200:1.
  • #1,152
  • Sep 10, 2009 7:44am Sep 10, 2009 7:44am
Quoting T.E.Lawrence
The gap has gone crazy:

Attachment

Currently: -160 pips

I've added second time, current open positions:

GBP/USD 30K (short)
GBP/CHF 30K (long)

It's a good idea to start with smaller lot, if it works then ok, and if it keeps
spreading more to some point just average down and BUY/SELL again,
because it's almost impossible to time those trades exactly at the highest
spread.. I'll be averaging down too, if I see that spread going wild.
Viewer Discretion Advised: Shall we shag now or should we shag later? :-)
  • #1,153
  • Sep 10, 2009 7:47am Sep 10, 2009 7:47am
Quoting T.E.Lawrence
I'm trading on live account - IBFX, with 0.1 lots (10K) and leverage 200:1.

ahh cool so how do you control the emotions? man i tell you i cant sometimes.
  • #1,154
  • Sep 10, 2009 7:52am Sep 10, 2009 7:52am
Quoting treadline
ahh cool so how do you control the emotions?
Magic word: Russian Vodka
Viewer Discretion Advised: Shall we shag now or should we shag later? :-)
  • #1,155
  • Sep 10, 2009 7:52am Sep 10, 2009 7:52am
Quoting treadline
ahh cool so how do you control the emotions? man i tell you i cant sometimes.
I control my emotions when I trade, not when I'm posting. I've spent a long time trading on demo account and read a lot of stuff about psychology of trading. You have to practice controlling your emotions - in the same way you've practiced trading.

I really started controlling myself after I had opened my first live account.
  • #1,156
  • Sep 10, 2009 7:55am Sep 10, 2009 7:55am
Quoting bobfourie
You just take the range (highest...
Thanks for the info. What time period do you use yourself?
  • #1,157
  • Sep 10, 2009 8:04am Sep 10, 2009 8:04am
I just opened three trades CADJPY/AUDJPY, AUDUSD/NZDUSD and EURUSD/AUDUSD. I am already up +10 pips overall.
  • #1,158
  • Sep 10, 2009 8:22am Sep 10, 2009 8:22am
Quoting chamane
I just opened three trades CADJPY/AUDJPY, AUDUSD/NZDUSD and EURUSD/AUDUSD. I am already up +10 pips overall.
I cannot beleive this but Interbank FX doesn't have CADJPY.. strange.

Not a single pair starts with CAD in their MT4
Viewer Discretion Advised: Shall we shag now or should we shag later? :-)
  • #1,159
  • Sep 10, 2009 8:25am Sep 10, 2009 8:25am
Quoting treadline
hey gothemcity hows your trading going? hope its well. what was your worst dd so far with this method? mine was -100pips. i tell you i was pulling my hair out sort of speaking.
If you were using a low leverage you would be pulling no hair out
Probability Professor
  • #1,160
  • Sep 10, 2009 8:29am Sep 10, 2009 8:29am
Quoting chamane
Thanks for the info. What time period do you use yourself?
I'm looking at 30min with an 330 period. Trying out different pairs at the moment to see where the correlation best holds up. At the moment, EU and UC seem to be doing ok, best correlation and the gap seem to closing consistently.
1 trader viewing now