Hedge and Correlation Strategy

hello, thanks for the very useful indicators.
the hedge I would use for two couples
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3 do not know '
I went well with € / $ and € / £
What are 4 lines?
hello

hi duca ,I think we have used 3 pair for locking loss , eurusd eurgbp usdgbp buy sell buy

You have not downloaded the required amount of candles from history.
Therefore, there displayed a correlation of -200% date 1970.01.01
You can view the M5 chart and use the PageUp key manually load enough candles. And the same for D1 (at least two pairs of open graph)

good indicator for correlations and uncorrelated

hello

Hi there,

I don't know about the EA, but if you go to this forum, you will find an updated, lower risk,version of the strategy, and comments by the author of the strategy.

http://www.forex-central.net/forum/viewtopic.php?id=325

Please remember this strategy will only work in a trending market and because it is Martingale based it could kill your account in a ranging market.

HTH

inverted position €?

Hi boys

I read thread up to 133 page and used EA from 112 page.
My balance decrease slowly and I'm getting predominantly losses.
And from time to time positive trades.
Enter 80%, out 20% in accordance with Ctochastic.
Positive corelated pairs.

Can somebody post here account statement, EA version he use and set files as one package for newbe

user 666,

I don't see any EA on page 112. Which EA do you use?

josch

example for 3 pair trade

You aren't hedge with a Buy EU & Buy GU & Sell EG ...

yes , but this strategy we can lock our loss

how long you been using this strategy? whats your winning percentage do you mind sharing the indicator pls

Many thanks to Dreamliner and the others for this thread. I spend about a day reading almost all pages cause the idea is great.

From time to time my job require elaborating and troubleshooting algorithms so after almost finishing this thread it just struck me..
Here is the main issue with this strategy.. Somebody already posted a hint but he didn't finish his idea..

Let's say we trade a highly correlated pairs like USDCHF and USDCAD

That guy already said it's like trading CHFCAD and he was 100% right. Basically you bet in the ranging cycle of the CADCHF which in reality doesn't range all time so this is where those big DD occasionally comes from.

However there is something there so here is some simple math..
When I'm writing this,
USDCHF=0.93110
USDCAD=1.01190

That means USD=0.9311CHF and USD=1.0119 CAD

We substract second relation from the first and we get:
0.9311CHF =1.0119CAD or

CADCHF = 0.92015 (calculated in this way). However the actual value from my broker CADCHF is:
CADCHF = 0.92005

That means either the CADCHF will go up to correct that value or the other 2 pairs will change.

What I'm trying to say is the fact Dreamliner's strategy will work only if the unbalance we see in the correlated pairs is sustained by a difference in price on the third pair. Only then there will be a price correction so we should take only those trades.

I suspect this should work only on small time-frames like 1 or 5 minutes and I will look further into it but on the divergence indicator we should put the real price of the third currency as well.

Sorry, EA from post 1663.

sad to see Ronaldoaf's forward test lost all the previous gain, and now -0.7%

interesting speech
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of the charts or you experiment with demo? to better understand?
thanks and hello