The indicator can apply any trading instrument chart to the main one. An added symbol is scaled depending on the amount of bars currently visible on the chart. This allows you to visualize the arbitrage trading possibilities on a pair of symbols (assets).
If you need a reverse correlation, you can apply a reversed price. For example, you can apply the USDGOLD chart (instead of GOLDUSD) to the USDCAD one. In this case, the price is reversed and GOLDUSD is re-scaled appropriately.
Some correlated symbols are traded at different times of the day making it impossible to find the bars of one symbol completely corresponding to the bars of another. In this case, the indicator selects only the bars corresponding by time, so that the chart remains correct.
You can also apply multiple indicators with various symbols to a single chart to analyze a group correlation.
You can disable scaling in case analyzed assets have very similar quotes.
- Symbol of external currency pair - ticker of a symbol applied to a main chart
- Reverse of external symbol (1/EURUSD) - define whether an applied symbol should be reversed
- Scale external symbol - define whether a symbol should be scaled
Tip: The indicator is quite convenient for trading US indices (S&P, NASDAQ, etc.), since they are strongly interdependent.
For example, you can reverse EURUSD and apply USDEUR to a major US index chart.
When analyzing the results, we can see that USDEUR constantly deviates from the index chart on M5 and then goes back to the index line.
Since the symbol is reversed, you should open deals on EURUSD in the opposite direction.
Good luck in trading!
If you have any issues or questions, please write at Eugene7@ya.ru. I will be glad to help you.