Deetee 

Hi Michel, For my understanding, why would these non-correlated markets give more trading options? Dennis

Hi Dennis,

When you look at the stock index futures like FESX, FDAX, YM, ES, NQ and RTY then what strikes is how they all behave the same, they all go up and down together most of the time. These markets are correlated. So in my opinion it makes little sense to look at the NQ/ES besides the FDAX. Especially in the EU morning when Europe (FDAX/FESX) seems more leading.

When the FDAX gives no signal I think it very well could be that in some other market like 6E/6B, GC or CL a signal is triggered. These markets are driven by other factors, for example the 6B reacts strong on UK news and CL on energy news, meanwhile FDAX is less impacted. These markets are much less correlated. Although traded on an US exchange they pick up volume as EU opens and sometimes completely change direction opposite the Asian session. I wonder if you could do exactly the same in other markets I mentioned as you do in the FDAX. Will they give a signal while no signal is triggered in de FDAX, I wonder. Well, just some thoughts.

Your FDAX trade seems to go very well. It's stalling (consolidating) a little bit now (11:30 uur). I would be very, very tempted to take profit :-)

Thanks and good luck,

-Michel

@Mich62

While on the one hand I agree with what you write there, I think it must also be said that to understand all this again it also needs some experience.

Experience that makes it possible to put these market correlations, whether negative or positive, into the right context at the moment of analysis.

If I can not put this context, then it will also not be possible to put this information into a trade, if it is then made, in the right proportion. Since, even with this tool, there is nothing that is 100% set in stone, it can also complicate a trading decision.

However, if the information to be read from such correlations is clearly defined, then a look at this tool makes absolute sense. This why I agree with your above comment.

Following are two links for those who are reading along here and may be interested in this, very great tool:

This link gives a color chart overview of the most important future markets. Here you can also move the cursor over the individual charts and look at them in detail. Has nothing to do with fundamental analysis, but clearly shows that charts can also be compared with charts. The better you can read charts, the more you can see the details in the respective markets. Good certainly for the comparison in the daily charts (JMO)


https://finviz.com/futures.ashx

This second link shows, with numbers on a matrix, in which correlations the shown Future values stand. For this you have to know the symbols of these values, but this can easily be researched.

Above in the link you can also change the time frame of the correlation by choosing 30 days, 60 days etc.


https://www.mrci.com/special/corr060.php

Have a nice weekend

Symple

@Symple

I understand what you're saying but just to be clear, I am not talking about taking trades based on (non-)correlations. More the opposite, that is to trade this one system in more non-correlated markets with the aim to get more often a signal (and to make more use of a proven system with nearly the same effort).

Mich62 

@Symple I understand what you're saying but just to be clear, I am not talking about taking trades based on (non-)correlations. More the opposite, that is to trade this one system in more non-correlated markets with the aim to get more often a signal (and to make more use of a proven system with nearly the same effort).

@Mich62

Thanks for your clarification and have a nice weekend over there in the Netherlands . It's been over 40 years since I've been in your country as we went to "Zandvoort".

Symple

Monday

FDAX

Gap: up gap
Gap closed during IB: yes
Position price at 9:30: on edge inside/above prior day HL
IB direction: short (extreme HL)

Weird IB, not sure which filters to apply. So no trade

Thanks @Symple for the links, will bookmark them and see if that can help me.

@Mich62 I will work on getting the data of one of the tickers you mentioned into the tool when I have more time. And then just see what trades roll out of the tool It's definitely worth the try!

Tuesday

10:00 IFO announcement

FDAX

Gap: no gap
Gap closed during IB: x
Position price at 9:30: inside prior day HL
IB direction: short

IFO number almost same as last month, but higher than forecast.

Looking at my Excel sheets for IFO, I don’t see any good result.

Good morning @Deetee

The news in the last days were so strong that even a IFO announcement has a minor influence.
My view is that markets (in the DAX) wanted to see 13k line again which happened yesterday.
But enough is enough: the companies don't show the awaited numbers and turn down as the foreseen wins didn't arrive in last quarter and will not in the last quarter.
See energy pricing, missing chips for cars computers etc., + strange exchange rates (example NOVARTIS Switzerland -45% less wins because of the low Dollar). Things are mingling in the second half of the year. That we need to take serious.
Looking forward for the next bunch of numbers (3rd quarter) from the not so fast companies: my guess is that they performed even lower.
Of course no influence here in any way. Just my 2 cents.

Good trades
GFIs1

Wednesday

FDAX

Gap: no gap
Gap closed during IB: x
Position price at 9:30: above prior day HL
IB direction: long

I couldn’t make it yesterday morning, but checked now, for the record. It didn’t give anything good to trade.

GFIs1 

Good morning @Deetee The news in the last days were so strong that even a IFO announcement has a minor influence. ... GFIs1

Good morning,

Thanks for your 2 cents. When following my tool I don't want to trade while there is IFO announcement. I excluded these IFO days from the data.
The tool is looking at the 900-930 bar, but I have an Excel sheet where I can see the same as in the tool, but looking at the 1000-1030 bar on IFO days.

I don't recall it gave me any good trade until now, but am just checking.

Thanks,
Deetee