Correlation Hedging

Manpreet Singh  

Hi,

Can any one expert trader help me out to share their experience in hedging on correlated pairs both positevely and negatively.

Also tell is their any way to have correlation coefficient on MT4.

Lorentzos Roussos  
Manpreet Singh:

Hi,

Can any one expert trader help me out to share their experience in hedging on correlated pairs both positevely and negatively.

Also tell is their any way to have correlation coefficient on MT4.

Yes (to the green part)

But depending on how much "lookback" period you need , you'll have to make sure you have similar data across the pairs you are interested in comparing.

Similarly ,as is the case with almost all currency strength indicators, you cannot assume the data your are crunching is synchronized.

(this becomes very problematic with such indicators that are indicator type programs , expecially if the coder prefers not annoying the user over proper calculations , or does not know it)