Discussion of article "Testing patterns that arise when trading currency pair baskets. Part II"
Two questions.
- If EURUSD is traded, why is only the USD basket analysed and the EUR basket is left out of brackets.
- It is written under the chart with signals: "Just mark the buy entry signals in blue and sell entry signals in red." There is either something confused or understated here. Since the basket is USD, buying USD means selling EURUSD and vice versa. Either the colour should be changed, or it should be added to the phrase that it means buying and selling USD, not the instrument. The chart clearly shows that the indicator is inversely related to the price.
The whole series of articles is devoted to trading currency baskets. The section, the phrase from which you quote, explains what signals we are talking about - buying/selling of the basket. It makes hardly any sense to repeat in each article what is buying and selling a basket.
And trading is NOT conducted on EURUSD. Trading is done on USD, as an example.
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
You agree to website policy and terms of use
New article Testing patterns that arise when trading currency pair baskets. Part II has been published:
We continue testing the patterns and trying the methods described in the articles about trading currency pair baskets. Let's consider in practice, whether it is possible to use the patterns of the combined WPR graph crossing the moving average. If the answer is yes, we should consider the appropriate usage methods.
We see that there are enough signals. Let's assume that the situation is similar on other currency baskets and we do not need to check them.
The screenshot below illustrates the indicator operation:
A lot of potential signals immediately catch our eye. Obviously, there are many false ones among them, but it is too early to think about it. We will paint buy signals in blue and sell ones in red.
Author: Andrei Novichkov