DislikedBy setting diff=false there is no trend by definition. I am always long below 0 and always short above 0. USDCAD vs. NZDUSD seems to have very stable coefficients, its one of the nicest two-pair hedges in my opinion.
I have started trading it last week at level 2 and now its at level 4 so at the moment I am in drawdown. I made some quick&dirty visual backtests (after observing how stable the coefficients are even during longer periods) and this seems to be quite profitable.Ignored
Very nice "simple" Basket indeed!
It has been in this range since july 2007, that's the longest ranging basket i've seen so far.
Looking at this period, it seems like it is now due for retrace...
Going long very soon!
Attached is my "Basket Profit 2 Pairs" indicator that i have developped to probe 2-pairs hedging baskets.
I have also put a template that will plot it with your NU/AC basket.
Use D1 chart.
The "grid" levels are profit levels in $;
Lot sizes are set to 0.894/0.8 lots, so that's not even 1 lot each.
And at this rate, each 0.5 SD step is roughly $1000...
Switching to H1, we can clearly see that there is room for the Grid to make money on smaller moves.
Basket Profit 2 Pairs sq.mq4 17 KB | 802 downloads