FAQ Content:
1.How to identify correct currency symbols from correlation matrix?
2.what correlation percentage is advisable to form a basket of currency pairs?
3.why we choose neutral and negative pairs in basket?
4.how to manage trades?
5.why we need to watch upcoming economic events?
1.How to identify correct currency symbols from correlation matrix?
*Choose 300 Period Daily Correlation.( https://www.investing.com/tools/correlation-calculator )
*We need to choose three pair in three different category 1.Main Pair (+100% correlated) 2.Negative Pair ( -70% to -100% correlated) 3.Neutral Pair (+10 to -10% correlated)
2.what correlation percentage is advisable to form a basket of currency pairs?
2.what correlation percentage is advisable to form a basket of currency pairs?
3.why we choose neutral and negative pairs in
basket?
*Neutral currency acts as an equilibrium to hold positive and negative currency in control.
*Negative currency helps to minimize the risk and maximize the profit even in adverse situation through our advance ATI algorithm.
4.why we need to watch upcoming economic events?
* Currency Drainage issue
i.e)For example, if our trade basket floating with EURGBP,GBPJPY,EURAUD and then comes news about interest rate hike in USD.
Traders holding fund in gbp,eur,jpy and aud will drain there fund and put it on usd thus our basket trade does'nt form expected equilibrium due to currency drainage.
