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Correlation

Gold and DXY: Correlation Shows first signs of breakingGold and DXY Recently gold has been very closely correlated with moves in DXY, but up to 3 times more volatile, moving up to 1.5% for each .5% move in DXY - but not today. Gold is showing up on the day to day, only marginally, but until last week changed things it would have most likely been down 1 to 1.5% today on back of DXY strength. Last week's FOMC meeting left markets with the anticipated and forewarned sting in the tail (see TNX forecast) risk/reward ratios are already way out of kilter and and now with a steady rise in interest rates towards 'normalisation' in the 4-6% range - which will likely be faster than markets currently expect if wage inflation starts to push beyond 5% - all mean that gold's not so bearish any more just beacuse the dollar's bullish. Suddenly, there are are other factors in play, helping gold to weather DXY strength. This interplay between gold and DXY, which has been so clear for so long now, has reached it's peak and this trade is over for now, done. Cannot get bearish of gold unless it breaks below the small dynamic support underpinning price now for fall back to 1327-1325 range . And then, irrespective of the dollar from here on in, it has to break 1325 to trigger the next short back to 1306. Looks as if today's price action is the first for while to see gold decouple from DXY - the reason is the hawkish tone coming from the FED - (and subtext is inflationary wage rises, the biggest threat to inflation of all) - gold is being viewed a little differently today than it was last week. It is the start of a new trend. Day 1. Follow the curve. Yellen is/was already behind it, leaving Jerome Powell to clean up after her.
FX:XAUUSD
by sumastardon
Top 3 Most Consistent CoinsDuring the past couple of month, the crypto market has been going through two major phases. The first phase, that took place during December 2017, was a strong uptrend amongst most coins, substantial growth, and almost a non-stop rise.  The second phase, that took place During January 2017, was a consolidation phase, where most coins have been correcting down strongly or consolidating. But there are coins with a better performance, that have shown great stability and consistency during both phases. While most coins were suffering they proved to be the most stable in comparison to the rest cryptocurrencies. And the winners are: 0X EOS NEO
by CryptoPAMM
1
Top 5 Coins With Best Performance During ConsolidationIt was a great rally across many cryptocurrencies during the past months. There was a huge growth by some coins, gaining x10, x20, x30 or more, where most cryptocurrency traders were profiting disregarding the coin of their choice. However, there are always times of consolidation or a correction. And this time is now. The cryptomarket is not stagnating, which means that the coin either consolidating or correcting downwards.  But it does not happen to all coins because some will be always better than others and in the idea you can see the top 5 coins that had produced the biggest gains during January consolidation period.
COINBASE:BTCUSD
by CryptoPAMM
2
EOS - The Most Consistent GainerEOS trully is one of, if not the most consistent gainers amongst cryptocurrencies during the past 3 months. It managed to outperform the Bitcoin by a 1400% during that period and it does not seem to be over yet. Price continues to climb up rejecting the Gann Fan trendline. Currently, the nearest target seems to be at btc 0.0015 which could be achieved in the shorters period of time. This is the resistance level confirmed by two Fibonacci retracement levels 141.4% and 927.2%. This is the key resistance for EOS/BTC and should be watched for either a rejection or a correction, which could provide clues about further EOS development in the short term.
Long
by CryptoPAMM
1
BITCOIN "CRASH" really a crash? Two possible scenarios!Hey tradomaniacs, I know i know.. take a deep breath and chillax. Everyone is talking about the bubble..the CRASH.. the DEATH of Bitcoin & Co. Well..since we had this strong hype that was almost utopistic everyone felt like Bitcoin & CO were unstoppable. But why? Why would you think like that? Because we have a big market of players with no freaking clue how the market, the psychology, and this entire world works. Unexperienced gambler were those who let the pros win this game. And what we see is people who were buying at BTCs peek and consolidation-phase. Now it`s time to let them regret to even think about investing in Bitcoin! Right? This is how the market works. Of course.. I sound naughty. But this is how this game works. If you win, someone else loses. You buy, someone sells. You sell - someone buys. We know that this "Crash" which is obviously a joke compared to this awesome but unhealthy rally we had is also caused by bad news from china and sout korea. BTC has still its scale-problems a lot of teams are working on. Buzt are we patient enough? I like this paradoxal phenomenon that we are the ones who are afraid of the crash but CAUSE that crash with SELL- orders not willing to invest in other COINS which could give us nice "hedge-possibilitys" to diversify and still be able to make profits when BTC drops. But.. the market is irrational. What we see is still a joke of a "crash". As long as we hold the primary trendline plus the 200 MA it`s still all good. We had a 257% run within 35 DAYS after the last "crash" down to 5.500 USD which is crazy compared to this high price per BTC we actually have/had. Now we had a 48% loss within 35 days. You should always see that "correction" or "crash" in relation to the climb we had. We might test the 10k. We might climb back to 20k. We might consolidate. We might drop down to 8k. But we still see a nice profit we had after this rally. ;) Just chill.. get a plan and strategie. It`s not worth to die by a heart attack because you check your blockfolio every 5 Mins. ;-) May we shall start with an ecosystem and start to stop thinking the the entire Cryptoworld dies with its King called Bitcoin. May we should start to invest into alternatives? Like Altcoins? ;-D Piece and good trades, Stay calm!
BITSTAMP:BTCUSD
by Trading2ez
1
Crypto index correlation with BTCUSDLooking at the graph it is clear we are still trying to recover. in the pas, when BTC is struggling most of the remaining coins start to correlate in a high degree with BTCUSD. This graph shows the correlation against 9 other large coins. This graph is based on my previous top 10 index chart, minus BTC this time. When bitcoin starts to recover the market will go back to normal and stop correlating consistently over time. The indicator i have used bellow is called Bitcoin Correlation Indicator, over 5 periods.
B
by ohenrik
2
BTC's dominance has strengthened -- ETH, LTC, XRPSince 11 of Nov, since the big rally of BTC , based on correlation to BTC, it is strongly visible that LTC, ETH and XRP act somewhat differently. While before they were not so dependant on BTC, by now they are: PCCs to BTCUSD: LTCUSD 0.9 , ETHUSD 0.7, XRPUSD 0.46 BTC's dominance has strengthened, if BTC falls back, they all are likely to fall back. LTC's correlation is super-strong, ETH's is strong, XRP's is medium. XRP's correlation is falling: is XRP getting on its own way and becoming an independent player? (Or just getting out of the whole game?)
BITSTAMP:BTCUSDLong
by bricoleurs
GBPNZD bearish long termBearish Bat pattern on the daily could lead price to blue trendline. Wait for a flag pattern before entering with simultaneous RSI confirmation. Since this week is full of Interest Rate decisions, please pay close attention to correlations between your trades to diversify your risk. 1) Never risk more than 2% of your account. 2) Try to be emotionless by applying your strategy to the pip. 3) Invest to yourself and then your capital. Try to educate yourself along with the signals and enhance your risk intelligence and your perception on how Markets work. 4) You do not have to be extremely precise to be highly profitable as long as you take the set-ups with big R/R.
Short
by InvstingWise
MGTI's Correlation with GBTC is Uncanny!Shares of MGTI have strongly corrilated with shares of GBTC and now the shares of MGTI are selling off into earnings while GBTC has rallied. A sharp pop in shares of MGTI is very possible due to the action of GBTC as off late. MGTI has also ramped up their bitcoin mining opperations buying 2000 more Antminer S9 miners. With these new miners alone MGTI will be able to generate 22 Million annually pre tax. I would consider MGTI a STRONG BUY right now. Full discloser I am a shareholder of MGTI. I am not a shareholder of GBTC.
OTC:MGTILong
by coltsrule7
1
EUR–XAU–USD Correlation…. Economic and non-economic risksI compared the correlation between Euro_ Gold_ and Dollar_ on a combined chart, and tried to figure out the periods when Euro_ and Gold_ reacted inversely to DXY_ trend. I distinguish the two factors effecting gold_prices: USD_weakness, risk appetite. Focusing on the non-economic risks, I recall these critical events since November.2016. - US election risk release and Trump rally - Netherlands and France elections - Brexit uncertainty (effective until T.May triggered Article 50) - Comey’s testimony effect on Trump administration - North Korean tension (excessive reaction in gold_prices) Except US elections (after which USD_ smashed all its rivals), maybe we can say that the gold_markets bought the other risks listed and sold them back, which broke the Euro_Gold Correlation. During other times, correlation seems quite normal, where USD weakness or strength has driven the prices of Gold_and_Euro_ in parallel. At the final point as of now: Gold_prices still ranging within 1250-1300, but Euro_ appreciated well compared to last quarter of 2016. In economic terms, USD is weaker than before (FED less hawkish) and EUR is stronger supported by hawkish ECB (following long years of dovishness). Taking all above as a deuce point, I plan to take long-term positions on (stronger USD/weaker EUR) basis, which I see more probable.
TVC:DXY
by CitRoN_RouGe
10