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Correlation

DXY short (Supply Demand, Correlation EXPLAINED)Hello Traders ! DXY is right now at a daily Demand Zone . I expect the price to go up. Use the DXY as a confirmation for your trades. Like we all know. The DXY is correlated with the EURUSD , XAUUSD and AUDUSD for example. It shows you the currently strength of Dollar. Therefore you can better determine the direction on the other pairs. Let me now in the comment section below your view on DXY and what you think about my Analysis. Please leave a Like Thank you and we will see next time - Darius.
TVC:DXYShort
by DariusFxTrading
2
Semiconductors & Hashing-Rate Correlation StudyThere are long periods of positive correlation between average bitcoin hashingrate in gigahashes/second and performance of major semiconductor ETFs like SOXX and SMH As hashing and computing power in general shows massive increases in demand there are only a few companies that have the materials and knowledge to produce 'rocks that think' aka processors and other computing components made of earth metals and silicone. When I see big printing bars in hashing power but 'divergence' in correlation I may consider adding to semiconductor positions via options on semiconductor ETFs and computing component companies like INTC, AMD, NVDA, and the like as it means someone went out and made a huge investment in processing power in order to make a 'blip' on the hashing map but the ETFs are reflecting a downside move. This divergence between correlation of hashing rate and semiconductors displays a market inefficiency in the expectation for demand of semiconductors and actual demand for semiconductors. This divergence is an opportunity for us to capture in my estimation. I hope this makes sense and helps your own analysis Good luck have fun Much Love xoxo snoop
HLong
by 420snoop
5
XRP to follow DASH for major move - breaking 2 year trendlineI used an overlay of Dash's price movement on top of the XRP/USDT price chart. As you can see, both have been moving pretty much in sync, with XRP lagging from time to time. XRP/USDT is against these major resistance points - Range low resistance (of the wyckoff I posted earlier) - 2 year long trendline resistance - Daily 100 MA - Weekly 21 EMA It seems that if we can break this area, all major resistances will be breaking at once. XRP/USDT appears to have made a wyckoff accumulation schematic (see one of my earlier ideas here: ) and is now trying to reclaim the previous range. If this reclaims we it means that the accumulation is confirmed and this would be the biggest accumulation period that crypto has seen thus far. Long accumulation means diminishing supply and major price moves. XRP needs to break 0.25cents and close above it in order to reclaim the range, if it succeeds in doing so, I believe we can expect a major price rally. Technical analysis XRP has been really choppy lately and producing unclear price action, zooming out helps clear the noise in t he chart. Seeing the wyckoff accumulation post I posted earlier it is likely that we reclaim the range and break the downtrendline/falling wedge below Monthly currently forming bullish engulfing on support Weekly closed as a higher high XRP/BTC first higher low on the weekly chart possibly forming a double bottom Weekly MACD crossing bullish BTC dominance made a head & shoulders pattern and retested it bearish. Looks like there is alot of room for BTC dominance to decrease here all in all XRP has been lagging in price with most majors but looks ready for some major movement if we manage to break here.
Long
by RJtradescrypto
1
Bitcoin Bull Runs, This is How they're Sparked!In this short video analysis, we highlight the correlation between traditional asset Risk-On cycles and their impact on Bitcoin. Every historical $BTCUSD bull run's start has coincided with a SPY significant Fibonacci level breach and retest. This past month the SPY has breached the long term 2.618 fib level and is seemingly headed towards the 3.618, with no significant retest as of yet. What will Bitcoin do? Will we get an SPY retest? Is the correlation over? These are the top 3 questions that only the market can answer. Stay tuned!
AMEX:SPY
by CoinObservatory
GOLD & BTC Could they meet at 1800?This idea many BTC fans will hate. If you don't think this can happen you are not thinking outside the box enough. We are heading into the year of the Digital Asset Market. I find it funny that people are saying BTC to 100k ! BTC to a million! in less than a decade..sorry but I don't see it! it took a half a century just for rare relic coins to hit numbers that high. I can see BTC hitting those numbers but not anytime soon. Maybe so for my kids or by 2050. Afterall we will be towards the last 2% of mining bitcoin from 2040 to 2050 ya? Correct me if im wrong but someone told me this. That the last few percent of BTC will take almost 10 years to fully mine out the algorithms. This could give us one hell of a parabolic move upward on BTC in a couple decades from now. 2010 - 2020 : A new market begins to sprout 2017: People become aware I see 2020 - 2030 : the new market is born and begins to crawl 2030 - 2040: 2nd Deca wave now we are walking 2040 - 2050 : 3rd deca wave now we are running Be prepared for the worst but take opportunity where you see it and when you can afford it...it is no longer just about bitcoin..it is about mergers and acquisitions and new roads for the new technologies we are using today. GOLD is grinding up slow. Has been since 1200. It is possible we can see these two markets merge on a defined price zone giving people a choice...OLD GOLD or NEW GOLD ...OR....BOTH?!?! But it seems to me 1800 - 2000 would be that marker zone where we see gold and btc begin to flow similar in price and direction through new asset vehicles that are being added into the markets today. Remember correlation does not mean causation but these two can dance together if the world is viewing bitcoin like digital gold. As old and new paradigms join together and merge. I expect blood to be shed across markets during these changes. Accept ideas from everyone's perspectives. Communicate with professionalism and help each other understand that the "crypto market" has become the digital asset market now and those who pull the strings are also lacing them. I will buy GOLD after it corrects and BTC if we hit 1800 again. That area looks like the perfect opportunity for me if we see a cross-road. IF THE RED RIBBON IS CUT DOWN WE GO. IF IT SUPPORTS UP WE GO. As always trade safe. manage risk. peace love trade.
BITSTAMP:BTCUSD
by AschraM
8
Bitcoin Overview When we look at Bitcoin on a weekly basis : IF Bitcoin persists on the support and the CIX 100 Index breaks the channel upward, which can bring a sharp rise towards resistance (10243). IF Bitcoin persists below 6400s and the CIX 100 index moves to the channel or below the channel, (which indicates a large money exit if channel breakdown), then a drop to the 4000 levels can be expected. Note : CIX index of all major crypto currency movements in the overall market in terms of showing us can show sufficient sensitivity. Breaking the channel from either side shows clearly that the trend will be severe considering the support resistance conditions. You can also see my position about Bitcoin in related ideas. Best regards !
BITFINEX:BTCUSD
by Noldo
8
GBPUSD General Overview When we look at the British Pound, we see that it is just below the resistance. Although the negative trend of the US Dollar Index (DXY) out of the channel is a positive factor, I am keen to see that resistance is clearly supportive. If the resistance is clearly exceeded and the US Dollar Index does not enter the historical channel again, a strong upward movement can be expected. If resistance is unbreakable and the US Dollar Index returns to historical channel, a strong downward movement may be expected. For now, downward pressure may continue for a short time. Because a high enthusiasm was pumped into the market in line with the election. These are all I can see for now, with my best wishes.
by Noldo
Silver Market Overview (TF = 1D ) When we look at silver prices, we observe that it is very close to resistance. At the same time, the current channel is very close to the resistance. When we look at the gold / silver ratio, the ratio, which has been in favor of gold for a long time, is turned into silver. My personal thinking, both the transgression of resistance and support, as well as a clear downward ration of the ration, can result in a hard upward movement in silver. On the other hand, if these situations do not happen, we are very close to the resistance, we can open a profitable short position in terms of risk / reward ratio, but in this case, let's make sure that the gold-silver ratio returns in the channel I have drawn. Best wishes !
OANDA:XAGUSD
by Noldo
Gold Strategic Overview before new weekMy weekly views on gold are indicated on the presentation. Even though the buy signal is coming, I think this is the only response buys for now. The bull market continues on the main channel. And in 2020, even though I expect higher peaks than 2019, I think that gold prices should fall slightly. I expect gold prices to fall in the medium term.It is very important to have the position size to withstand this. The USDJPY parity can give you the clue about when the due date will come. This is because the correlation between the Japanese yen and gold price movements is very high in the weekly timeframe. When we look at the gold / silver ratio, we see that the pair continues under the leadership of gold. Here is a possibility Minor - trend line can be challenged. Although I personally go over the net short position on a weekly basis, I am of the opinion that short positions will be opened on a daily basis. Although it is a bit risky now, it is a good idea to follow it carefully and achieve the appropriate risk / reward ratio. I wish success to all traders in the new week , regards.
OANDA:XAUUSD
by Noldo
2
EW: Corrective Bonds Indicate Resistance On StocksHello traders! Today we will talk about the bond and stock market and their correlations. As you can see, US and German Bonds are moving more or less together and the same thing is with US and German stocks. Of course, there are no perfect correlations, but overall looking they are in positive correlation. At the same time bonds and stocks are also more or less in negative correlation and again, there are no perfect correlations, but at the end they always somehow get caught. Well, what we currently see from Elliott Wave perspective is that both, US and German bond market might be finishing their corrections, which would be limited for the stock market. So, if we are on the right path, then stocks may face a resistance, at least a temporary. US stocks (S&P500) may see a decline from the upper ending diagonal line, while German stocks (DAX) may face a temporary resistance at the upper channel line. However, this is not the case yet, but if bond market suddenly bounces and stock market declines in strong and impulsive fashion, then we should be aware of the potential risk-off sentiment that can lasts for some time. Be humble and trade smart! Disclosure: Please be informed that information we provide is NOT a trading recommendation or investment advice. All of our work is for educational purposes only.
EUREX:FDXM1!Education
by ew-forecast
ETH and BTC are perfectly direct correlatedAnalysis of Ethereum should always take into account current Bitcoin price action. If we look at the 1 day timeframe scale charts of ETH and BTC we would see that there are similar fractal repeats. Taking a closer look at the short-term timeframe scale reveals a direct and perfect correlation of the assets. We can see 7 similar price action formations which took place exactly at the same time. Deeper analysis shows that ETH replicates BTC movements with up to 5 minutes lag. This is a very long period to take action. Taking into account the recent BTC analysis we see price action of this asset reached its top and currently should go down making a channel breakout rejection and another fractal repeat. Thus ETH will replicate this movement and it will be favorable to open short position. Target in such scenario will be a bottom of the channel around $168 Although there is still a chance that the breakout will be confirmed, it will happen once a 4 hour candle closes green above $8 118 level. In this case there are 2 long position targets for ETH 1: $178 2: $183 Carefully track the progress of the price action to take a decision. It is a good moment to earn profit with ETH
by Skyrexio
EW Analysis: Bullish Emerging Markets May Push EURUSD HigherHello traders! Today we will talk about emerging markets(EEM) and EURUSD. As you can see in the first chart, there's a positive correlation between emerging markets and EURUSD. Of course, there are no tick by tick correlations, but the current wave structure it's telling us that we may see a bigger recovery in the upcoming days/weeks. Emerging markets can be trading in a three-wave (A)-(B)-(C) recovery up to 61,8% Fibonacci retracement and 46 area, especially after that break out of the corrective channel, so in our opinion EEM may easily stay in the bullish trend. At the same time we can see strong and impulsive recovery on EURUSD, which is telling us that the temporary bottom can be in place and a bigger three-wave (A)-(B)-(C) correction can be underway up to 1.15 - 1.18 area, mainly because of break out of the wedge pattern (ending diagonal). Notice that these are daily charts and they may take some time to completely unfold, so don't get confused on the smaller time frame charts. We just want to give you an idea, where the markets can be headed long/mid-term. Be humble and trade smart! If you like our analysis, then please give us a like and share it! Disclosure: Please be informed that information we provide is NOT a trading recommendation or investment advice. All of our work is for educational purposes only.
Education
by ew-forecast
5
Negatively correlated assetsIn times of increasing instability investors tend to invest in gold and pass from the iShares MSCI Global Metals & Mining Producers ETF (PICK). Note : Pick seeks to track the investment results of an index composed of global equities of companies primarily engaged in mining, extraction or production of diversified metals, excluding gold and silver. It is always good to have in portfolio actives with negative correlation, so you dont lose wehn the market goes down. In our case, pick and brent have a negative correlation with Gold and viceversa.. Thus, using negatively correlated investments in his portfolio helps to reduce the overall volatility of the portfolio.
CBOE:PICK
by Market_Referee
2