New Correlation Trade CAD/JPY to GBP/JPY

As of 05/20/2015 @ 19:22 EST:

The Global Currency Scalper is taking the following trade: Long CAD/JPY & Short GBP/JPY

The correlation between these two pairs is 77% over the past year.  The widest the spread has got over that time is about 800 Pips.  Currently these two pairs are 620 Pips apart.  The GBP/JPY has enjoyed a nice run-up lately which may be stretched, bumping up against some near term resistance.

With that said we will be entering 1/2 our intended position size with the intentions of easing into the second half if the spread widens significantly.  We expect to see this spread narrow over the coming days/weeks.  If it happens before we can put our entire position on we will feel comfortable closing out the position with a profit of any amount.

New Correlation Between GBP/USD & AUD/USD

*Position Update:  The Global Currency Scalper closed this correlation trade with a profit of 196.7 Pips.

As of 05/19/2015 @ 19:35 EST:

The Global Currency Scalper will be placing the following trade: Short GBP/USD & Long AUD/USD.

A nice correlation trade is setting up between GBP/USD & AUD/USD.  The spread in the correlation is currently 450 Pips, over the past year the max spread has been approximately 500 Pips.

We will be taking 1/2 our intended position size, if the spread continues to widen we will slowly add to our position.  There is a good chance we see that happen over the next few days as the US, Great Britain & Australia all have economic news scheduled for release.  If our timing happens to be accurate and the spread begins to narrow before that data is released we will book our profit.

New Correlation CAD/JPY & GBP/JPY

*Position Update:  As of 05/19/2015 @ 7:33 EST The Global Currency Scalper closed out both sides of this correlation trade with 112.2 Pips.

As of 05/18/2015 @ 8:55 EST:

The Global Currency Scalper will be taking the following trade:  Long CAD/JPY & Short GBP/JPY

The correlation between these two pairs is 77% over the past year.  The widest the spread has got over that time is about 800 Pips.  Currently these two pairs are 600 Pips apart.  The GBP/JPY has enjoyed a nice run-up lately which may be stretched, bumping up against some near term resistance.

With that said we will be entering 1/2 our intended position size with the intentions of easing into the second half if the spread widens significantly.  We expect to see this spread narrow over the coming days/weeks.  If it happens before we can put our entire position on we will feel comfortable closing out the position with a profit of any amount.  Keep in mind there is a national holiday in Canada today with its banks closed.

New Correlation Trade EUR/USD & GBP/USD

*Position Update:  As of 05/15/2015 @ 7:41 EST The Global Currency Scalper liquidated both sides of this correlation trade with a profit of 28.6 Pips.

As of 05/14/2015 @ 12:03 EST:

The Trade: Long EUR/USD & Short GBP/USD

The correlation between these two pairs is 96% over the past year.  The widest the spread has got over that time is about 700 Pips.  Over the past 18 months we saw the spread widen to approximately 800 Pips.  Currently these two pairs are 700 Pips apart.

With that said we will be entering 1/2 our intended position size with the intentions of easing into the second half if the spread widens significantly.  We expect to see this spread narrow over the coming days/weeks.  If it happens before we can put our entire position on we will feel comfortable closing out the position with a profit of any amount.

New Signal AUD/USD

As of 05/13/2015 @ 20:53 EST:

The trade Buy AUD/USD @ 0.80750

AUD/USD is sharply higher breaking the 0.80760 top from April 29th and extends the recovery from the lows set last week and during the month of April.  Since mid April this pair has been putting in higher lows and we believe this trend will continue.

We are looking for AUD/USD to test the top trend line of the reverse triangle and will be buyers ahead of this level.  Bidding 0.80750 with a targets of the figure 0.82000 and ultimately 0.82950 which is the YTD high set in January.  A stop will be placed at 0.78400 which will be raised as the days go by and the higher lows trend-line is followed.

Our Unique Forex algorithm is making the same prediction with a probability of 93%.

New Correlation Trade GBP/USD & NZD/USD

*Position Update:  As of 05/13/2015 @ 23:38 The Global Currency Scalper liquidated its position with a loss of 19 Pips.

As of 05/11/2015 @ 8:50 EST:

The Global Currency Scalper will be taking the following correlation trade.  Short GBP/USD & Long NZD/USD.

A nice correlation trade is setting up between GBP/USD & NZD/USD.  The spread in the correlation is currently 500 Pips, over the past year the max spread has been approximately 700 Pips.

We will be taking 1/2 our intended position size, if the spread continues to widen we will slowly add to our position.  There is a good chance we see that happen over the next few days as the US & Great Britain both have economic numbers scheduled for release.  If our timing happens to be accurate and the spread begins to narrow before that data is released we will book our profit.

New Correlation Trade AUD/USD & AUD/NZD

*Position Update:  As of 05/13/2015 @ 23:38 The Global Currency Scalper liquidated its position with a gain of 28.0 Pips.

As of 05/06/2015 @ 18:50 EST:

The trade:  Long AUD/USD & Short AUD/NZD.

The Global Currency Scalper is seeing a nice correlation trade setting up between AUD/USD & AUD/NZD.  The spread in the correlation is currently 300 Pips, over the past year the max spread has been approximately 600 Pips.

We will be taking 1/2 our intended position size, if the spread continues to widen we will slowly add to our position.  There is a good chance we see that happen over the next few days as the US & Australia both have unemployment numbers scheduled for release, with Australia's in the next few hours.  If our timing happens to be accurate today and the spread begins to narrow before that data is released we will book our profit.

New Correlation Signal USD/CAD & USD/JPY

*Position Update:  On 05/06/2015 @ 14:58 The Global Currency Scalper liquidated both sides of the correlation trade with a profit of 79.1 Pips. 

As of 05/06/2015 @ 11:36 EST:

The trade:  Long USD/CAD & Short USD/JPY.

A nice correlation trade is setting up between USD/CAD & USD/JPY.  The spread in the correlation is currently 600 Pips, over the past year the max spread has been approximately 1,200 Pips.

We will be taking 1/4 our intended position size, if the spread continues to widen we will slowly add to our position.  There is a good chance we see that happen over the next few days as the US & Canada both have unemployment numbers scheduled for release.  If our timing happens to be accurate today and the spread begins to narrow before that data is released we will book our profit.

New Correlation Trade AUD/JPY & CAD/JPY

*Position Update:  As of 05/05/2015 at 00:36 EST The Global Currency Scalper liquidated both sides of the correlation trade with a profit of 73.1 Pips.

As of 05/04/2015 at 21:42 EST:

A nice correlation trade is setting up between AUD/JPY & CAD/JPY.  The spread in the correlation is currently 200 Pips, over the past year the max spread has been approximately 400 - 450 Pips.

We will be taking 1/2 our intended position size, if the spread widens to that max spread mentioned above we will add the second 1/2.  Australia is announcing interest rates in 3 hours which could provide that opportunity or present us with a profit.  The trade is Long AUD/JPY & Short CAD/JPY.

New Correlation Between USD/SGD & USD/JPY

*Position Update:  As of 05/03/2015 @ 23:23 EST The Global Currency Scalper closed its correlation trade with a profit of 27 Pips.

As of 05/03/2015 @ 19:39 EST:

The trade:   Long USD/SGD and Short USD/JPY.

The Global Currency Scalper will be initiating a position in a correlation trade between USD/SGD & USD/JPY.  As you can see the correlation has widened to approximately 500 Pips but over the past year we have seen these pairs spread as wide as 650 Pips.  With that said we will slowly build into our position, initiating 50% of our ultimate size.  If the spread continues to widen this will give us an opportunity to lower our cost basis.  If the current width of the spread happens to become the max over the next few days or weeks we will still participate by having our 50% position.

Trading a correlation strategy greatly reduces any directional risk one takes when taking a normal long or short position.  Over the past year this pair has an 93% correlation which gives us great odds of having a profitable trade.  Proper money management combined with solid odds gives you staying power in the trading business.