Inter-market Analysis and its importants

Inter-market Analysis can be a great tool at times but don’t get married to the relationships you find. For the 2003-2008 market rally Gold and Dollar were almost always opposite and in all series 3 test books Gold is the ultimate Dollar hedge. Countless times this showed untrue over recent years rallies and slides. All in all it doesn’t matter what the correlation used but that you do not get married to it. Understand the market you are trading first and use I.A. to back up your thoughts. Have a great day!!

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This entry was posted on Monday, August 29th, 2011 at 5:06 pm and is filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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