Forex pair connectivity is multiplication. What is the best trading strategy?

 

The forex price movement obey the following pattern below: 

pattern 1 >> (1)EUR/AUD = (1) EUR/GBP * (1) GBP/AUD

pattern 2 >> (-1)EUR/AUD = (-1) EUR/GBP * (-1) GBP/AUD

pattern 3 >> (0)EUR/AUD = (-1) EUR/GBP * (1) GBP/AUD

pattern 4 >> (0)EUR/AUD = (1) EUR/GBP * (-1) GBP/AUD

pattern 5 >> (1)EUR/AUD = (0) EUR/GBP * (1) GBP/AUD

pattern 6 >> (1)EUR/AUD = (1) EUR/GBP * (0) GBP/AUD

pattern 7 >> (-1)EUR/AUD = (0) EUR/GBP * (-1) GBP/AUD

pattern 8 >> (-1)EUR/AUD = (-1) EUR/GBP * (0) GBP/AUD

pattern 9 >> (0)EUR/AUD = (0) EUR/GBP * (0) GBP/AUD

(Basic Currency Price Movement of Slope Pattern)

What is the best strategy to use in forex trading?

 
Tan Ek Kun: The forex price movement obey the following pattern below: pattern 1 .. 9 (Basic Currency Price Movement of Slope Pattern. What is the best strategy to use in forex trading?

What are all those "patterns"? I have no idea what your post is about or what you are asking!
 

THIS IS THE FULL LOGIC

Core of forex price movement(NO MATTER HOW IT CHANGE, IT OBEYS THIS RULE)
Introduction
Forex trading is popular all over the world. Everyone trade at almost everyday for 24/7. But how many of them really know about forex? We are not discussing the news but open a new perspective on the mathematical understanding of the forex and currency pairs connectivity. In simple word, we could describe it in multiplication relation.


Analysis
There are many popular main currency in the world such as AUD,EUR,GBP,USD,CHF,CAD,JPY,SGD,NZD and many more. Simply pick three currency to form a simple multiplication notation, such as AUD, EUR and GBP.

We generated 3 currency pairs as GBPAUD, EURAUD and EURGBP.

In multiplication notation, GBPAUD represents GBP/AUD, EURAUD represents EUR/AUD and EURGBP represents EUR/GBP .


Writing in equation, we get

EUR/AUD = EUR/GBP * GBP/AUD

The price of EURAUD is simply the multiplication of the price of EURGBP and GBPAUD.



When we further analyse the slope of the multiplication over time, we know that the pattern of the slope in this form



>> 1 as positive slope, -1 as negative slope and 0 as sideway



pattern 1 >> (1)EUR/AUD = (1) EUR/GBP * (1) GBP/AUD

pattern 2 >> (-1)EUR/AUD = (-1) EUR/GBP * (-1) GBP/AUD

pattern 3 >> (0)EUR/AUD = (-1) EUR/GBP * (1) GBP/AUD

pattern 4 >> (0)EUR/AUD = (1) EUR/GBP * (-1) GBP/AUD

pattern 5 >> (1)EUR/AUD = (0) EUR/GBP * (1) GBP/AUD

pattern 6 >> (1)EUR/AUD = (1) EUR/GBP * (0) GBP/AUD

pattern 7 >> (-1)EUR/AUD = (0) EUR/GBP * (-1) GBP/AUD

pattern 8 >> (-1)EUR/AUD = (-1) EUR/GBP * (0) GBP/AUD

pattern 9 >> (0)EUR/AUD = (0) EUR/GBP * (0) GBP/AUD

(Basic Currency Price Movement of Slope Pattern)

***Proofing the all pattern is not shown here, but you can prove yourself by simple drawing a line with a gradient of 1 or -1 or0 and multiple together.


Application
By study the change of slope over time for all the three currency pair at the SAME time, we would forecast the future trend just by matching on the nine pattern as shown above.


Conclusion
Currency price movement is predictable. To reduce investment risk, everyone should study the possible movement of currency price. 1 sideway, 2 trending opportunity. 0 1 -1 or 0 -1 1
 
We ALL know that forex prise oscillate in between MA13 so we would use 3 correlated pair trend pattern to predict the trend. 
 
Tan Ek Kun #:
We ALL know that forex prise oscillate in between MA13 so we would use 3 correlated pair trend pattern to predict the trend. 

What a load of rubbish! MA13 is a single line. There is no "in between" with a single line so price cannot oscillate in between it!

" use 3 correlated pair trend pattern to predict the trend." Meaningless drivel.

 
Keith Watford #:

What a load of rubbish! MA13 is a single line. There is no "in between" with a single line so price cannot oscillate in between it!

" use 3 correlated pair trend pattern to predict the trend." Meaningless drivel.

IF price do not move in between MA13, then there must be a SUPER TREND. Let's just buy 100 lot or ALL IN. 

 
Tan Ek Kun #: IF price do not move in between MA13, then there must be a SUPER TREND. Let's just buy 100 lot or ALL IN. 

Any moving average is plotted always as a single line/curve. It has no "thickness". Nothing can move "in between" a single line/curve. Data can only "move around it, above or below it".

It also does not matter what period is used for a moving average, be it 13 or 1300. price data will always "move around it". That is why it is called a "moving average".

3 Symbols such like "EUR/AUD = EUR/GBP * GBP/AUD", just form unit balance, and it is very seldomly unbalanced. That is why it is used for the Triangular Arbitrage Strategy in high frequency trading.

It seems you understand very little about the Forex market or Mathematics.

 
Fernando Carreiro #:

Any moving average is plotted always as a single line/curve. It has no "thickness". Nothing can move "in between" a single line/curve. Data can only "move around it, above or below it".

It also does not matter what period is used for a moving average, be it 13 or 1300. price data will always "move around it". That is why it is called a "moving average".

3 Symbols such like "EUR/AUD = EUR/GBP * GBP/AUD", just form unit balance, and it is very seldomly unbalanced. That is why it is used for the Triangular Arbitrage Strategy in high frequency trading.

It seems you understand very little about the Forex market or Mathematics.

Genius responds. Ma13 responds faster to any change of the price movement. Ma1300 need to wait 1 month to see any changes.  3 Symbols such like "EUR/AUD = EUR/GBP * GBP/AUD" MUST balance. 

In high level trading, trader can look for trend angle of multiple MA line or crossing of multiple MA line instead of price crossing. Goodluck to all trader. 

 
Tan Ek Kun #:

Genius responds. Ma13 responds faster to any change of the price movement. Ma1300 need to wait 1 month to see any changes.  3 Symbols such like "EUR/AUD = EUR/GBP * GBP/AUD" MUST balance. 

In high level trading, trader can look for trend angle of multiple MA line or crossing of multiple MA line instead of price crossing. Goodluck to all trader. 

Why do you keep posting this nonsense?

 
Keith Watford #: Why do you keep posting this nonsense?

Because he is immature. He has also been harassing me via PM.

 
Tan Ek Kun #:

THIS IS THE FULL LOGIC

Core of forex price movement(NO MATTER HOW IT CHANGE, IT OBEYS THIS RULE)
Introduction
Forex trading is popular all over the world. Everyone trade at almost everyday for 24/7. But how many of them really know about forex? We are not discussing the news but open a new perspective on the mathematical understanding of the forex and currency pairs connectivity. In simple word, we could describe it in multiplication relation.


Analysis
There are many popular main currency in the world such as AUD,EUR,GBP,USD,CHF,CAD,JPY,SGD,NZD and many more. Simply pick three currency to form a simple multiplication notation, such as AUD, EUR and GBP.

We generated 3 currency pairs as GBPAUD, EURAUD and EURGBP.

In multiplication notation, GBPAUD represents GBP/AUD, EURAUD represents EUR/AUD and EURGBP represents EUR/GBP .


Writing in equation, we get

EUR/AUD = EUR/GBP * GBP/AUD

The price of EURAUD is simply the multiplication of the price of EURGBP and GBPAUD.



When we further analyse the slope of the multiplication over time, we know that the pattern of the slope in this form



>> 1 as positive slope, -1 as negative slope and 0 as sideway



pattern 1 >> (1)EUR/AUD = (1) EUR/GBP * (1) GBP/AUD

pattern 2 >> (-1)EUR/AUD = (-1) EUR/GBP * (-1) GBP/AUD

pattern 3 >> (0)EUR/AUD = (-1) EUR/GBP * (1) GBP/AUD

pattern 4 >> (0)EUR/AUD = (1) EUR/GBP * (-1) GBP/AUD

pattern 5 >> (1)EUR/AUD = (0) EUR/GBP * (1) GBP/AUD

pattern 6 >> (1)EUR/AUD = (1) EUR/GBP * (0) GBP/AUD

pattern 7 >> (-1)EUR/AUD = (0) EUR/GBP * (-1) GBP/AUD

pattern 8 >> (-1)EUR/AUD = (-1) EUR/GBP * (0) GBP/AUD

pattern 9 >> (0)EUR/AUD = (0) EUR/GBP * (0) GBP/AUD

(Basic Currency Price Movement of Slope Pattern)

***Proofing the all pattern is not shown here, but you can prove yourself by simple drawing a line with a gradient of 1 or -1 or0 and multiple together.


Application
By study the change of slope over time for all the three currency pair at the SAME time, we would forecast the future trend just by matching on the nine pattern as shown above.


Conclusion
Currency price movement is predictable. To reduce investment risk, everyone should study the possible movement of currency price. 1 sideway, 2 trending opportunity. 0 1 -1 or 0 -1 1


this strategy is also known as triangle trading, I've try it for a while using an automated system calculating the correlation between these patterns, attached is a picture for this software.
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