On the unequal probability of a price move up or down - page 103
You are missing trading opportunities:
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
Registration
Log in
You agree to website policy and terms of use
If you do not have an account, please register
What kind of jokes? For example, repeated in public
It's simple: EURUSD | GBPUSD remains EURGBP. No need to do anything super-mathematical in the simplest task.
Y*GBPUSD remains
the rest is already traded volume between Volga and Urals ;)
left to Y*GBPUSD
The rest is already traded volume between the Volga and the Urals ;)
Right.
It's simple: EURUSD | GBPUSD remains EURGBP. You don't need to make up anything super-mathematical in the simplest task.
Right, in your example equal single lots. In this case, the cross is the same as two majors. Now consider if you have odds of 0.01 and 0.99
For example: 0.01*EURUSD - 0.99*GBPUSD. Would you also replace such a synthetic symbol with the EURGBP cross?
Or take the extreme case: 0*EURUSD - 1.0*GBPUSD. Where is the Reno residual lot here?
Right in your example you have equal single lots. In this case the cross is the same as two majors. Now consider if you have odds of 0.01 and 0.99.
For example: 0.01*EURUSD - 0.99*GBPUSD. Will you also replace such a synthetic one by the EURGBP cross?
Or let's take the extreme case: 0*EURUSD - 1.0*GBPUSD. Where is the Reno residual lot here?
Grisha, what I'm not telling you, just take it on faith.
1*EURUSD-1*GBPUSD = 1*EURGBP
graphically they are symmetrical lines:
1*EURUSD = 1*GBPUSD (+/-) 1* EURGBP
I do not remember what I used additionally in the calculation - point value, margin, etc.
1*EURUSD -1*GBPUSD = 1*EURGBP
but it's a fact.
Y*GBPUSD remains
Which is exactly what you needed to prove. And there is no way you can trade this residual EURGBP cross.
Right, in your example equal single lots. In this case the cross is the same as two majors. Now consider if you have odds of 0.01 and 0.99.
For example: 0.01*EURUSD - 0.99*GBPUSD. Will you also replace such a synthetic one with EURGBP?
Or take the limiting case: 0*EURUSD - 1.0*GBPUSD. Where is the Reno residual lot here?
So buy/sellEURGBP with a minimum lot of 0.01.
I do not understand what the difficulty is, it does not need astronomical maths and other habludes.
The system is very simple.
Grisha, what I am not telling you, just take it on faith
1*EURUSD-1*GBPUSD = EURGBP = lock, you don't need it
So I'm trying to show you and Vitalik for the third time - the special case of equal lots in majors can be replaced by trading with one cross. The more skewed the lots are, the more incorrect the substitution of two majors by one currency pair will be.
This is exactly what I have been trying to show you and Vitalik for the third time - a particular case of equal lots in majors can be replaced by trading with one cross. The more the lots are skewed, the more wrong it will be to replace two majors with one cross.
Well, the Y remains, right?
and it stays above the sell or below the buy lines
and that's exactly what's going to increase the odds in our favour.
so only Y*GBPUSD is traded in our case
;)
This is exactly what I have been trying to show you and Vitalik for the third time - a particular case of equal lots in majors can be replaced by trading with one cross. The more the lots are skewed, the more wrong it will be to replace two majors by one cross.
Well there for the system and need to choose pairs with approximately equal odds.
When euro and pound will have coefficients of 0.01 and 0.99, then we will take other pairs and continue what we started long ago.