Could you further explain that?

Intermarket correlation - Price tells story?

Another piece of the puzzle is Eur yield. Using inverted Euro bond futures as below. Why inverted? The currency follow yield, and yield inverted vs price. Still, this has a influence on performance of EURUSD, but less significant than US yield. So ...

Intermarket correlation - Price tells story?

what do i mean market does not always seek for yield? because sometimes it moves for different reason. Take alook at this chart. The red line - "DE10Y-US10Y" is the yield different between 10 year Treasury (Germany - US), as German bund yield is ...

Intermarket correlation - Price tells story?

EURUSD kept reaching to sell side liquidity below recent swing low. The current upward move is aimed to take some liquidity above. There're series of swing high above current market price are possible buy side liquidity image Looking at the chart ...

Intermarket correlation - Price tells story?

i never seen this kind of system before, or i thought it's so complicated to closely measure this kind of money transfer between asset classes and thought this thing is more about prevailing sentiment or judgement than quantitative. So this is ...

Intermarket correlation - Price tells story?

I have vaguely understood after reading your explanation. Did you refer to a system that track the volatility of all major assets, and by comparing the relative performance of those (% correlated/uncorrelated) we can tell where is the money flow out ...

Intermarket correlation - Price tells story?

As my understanding you try to hedge the equity position with forex position in order to minimize drawdown in case of extreme movement that's against your favor?

Intermarket correlation - Price tells story?

Could you be more specific? I don't understand your abbreviation. Second, i don't like statistics on xx% of correlation, really. Most of the so-called correlation happen in tail part of the distribution - that is in an extreme move, otherwise most ...

Intermarket correlation - Price tells story?

The argument for holding Gold is "What does it protect you from?" - is it business risk? Economic activity slowdown and profit fall often lead to lower interest rate and loose fiscal policies in futures, holding Gold sounds more reasonable. While ...

Intermarket correlation - Price tells story?

There are a lot of factor that affect Gold price. Although not a coincidence, but if factor that boost Dollar is also the same factor that suppress Gold, then these 2 going opposite. The factor now would be bond's yield, and bond yield would reflect ...

Intermarket correlation - Price tells story?

Seem like USD stonk again

Intermarket correlation - Price tells story?

The bond movement could give early signal or rejection/confirmation for the movement on currency market. Look af the divergence on March-April 2020 between Emerging currency (making lower low, matched with higher high on USD) vs Emerging gov bonds ...

Intermarket correlation - Price tells story?

Unlike advanced economies, emerging economies are seen as risk market. For an investor from Europe, for example, he would views German gov bond or US Treasury bond as save asset, and equity as risk assets. But he would views emerging market ...

Intermarket correlation - Price tells story?

If Dollar goes up, Cew should goes down and vice versa. If Dollar making higher high, Cew should making lower low and vice verse. The symmetrical movement confirms each other direction (breakout/reversal/continuation). The asymmetrical movement, or ...

Intermarket correlation - Price tells story?

This is the etf that tracks emerging market currency, holding a basket (Brazilian real, Chinese rmb, South Africa rand, Poland zloty, Indonesia rupiah, etc) vs USD. image The CEW etf almost moves in mirror vs the Dollar. Almost! We already know ...

Intermarket correlation - Price tells story?

Emerging markets are heavily in short Dollar position. According to Reuters, their Dollar denominated debt reached 4 trillions dollar. image image from url Another feature of these market is: global capital flow in and out of these country, ...

Intermarket correlation - Price tells story?

Here's interesting tweet url ? Spread between inflation Europe & US - adjusted lag time, of course following by market rate spread (if not disturbed by central banks) image

Intermarket correlation - Price tells story?

-> there's something not symmetrical: non price sensitive transaction affect the currency pair, wait to collect liquidity from above, Or the move in bond market is insignificant, Or there's fundamental reason that break up the link between fx and ...

Intermarket correlation - Price tells story?

Rate spread: EURUSD hovering around 100 pips range from 1.2150 - 1.2250, collecting liquidity from both sides while German yield (as represent for EUR yield) fall vs US yield. The CPI or PCE number getting higher, but it's difficult to think ECB ...

Intermarket correlation - Price tells story?

So the bilateral relations doesn't really help much, although it still has meaningful sense in some case. Maybe should shift to multipolar relations, Market sometimes focus on one factor more than the others, so in particular situation market react ...

Intermarket correlation - Price tells story?