the only thing I would say is that I read an article in a
currency journal recently (part of my day job work) and it
mentioned something about the fact that trying to play a
correlation game on a regular basis between S&P and eurjpy (or
eurchf) would not work as a strategy per se. So all I can say is
that yes eurjpy isn't tracking the spy higher "today". However, if
you look at over a period of time, yes you see "some strong
correlation". All I can say as I don't have the article to hand
anymore is one should not short eurjpy as a substitute for shorting
SPY and visa versa.
The EURJPY does lead the SPX, sometimes it will cross up or down
through the SPX line early to middle part of the day, today it
crossed down through it in the afternoon, can see it on the chart
above. Possibly it's tipping it's hand for
tomorrow. The SPX futures-ES, got over 1140 right before
the close, then sold off 5 points over the next half hour or so, at
1136 now.
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the only thing I would
Anyone notice that EURJPY is moving against the market. Anyone ...
Posted by vimal on 20th of Sep 2010 at 03:52 pm
the only thing I would say is that I read an article in a currency journal recently (part of my day job work) and it mentioned something about the fact that trying to play a correlation game on a regular basis between S&P and eurjpy (or eurchf) would not work as a strategy per se. So all I can say is that yes eurjpy isn't tracking the spy higher "today". However, if you look at over a period of time, yes you see "some strong correlation". All I can say as I don't have the article to hand anymore is one should not short eurjpy as a substitute for shorting SPY and visa versa.
Hope this helps!...or have I confused things!??
pre-cursor for tomorrow?
Posted by curtis on 20th of Sep 2010 at 05:36 pm
http://stockcharts.com/c-sc/sc?s=$XEU:$XJY&p=1&b=1&g=0&i=p45237379498&a=200279160&r=4217
The EURJPY does lead the SPX, sometimes it will cross up or down through the SPX line early to middle part of the day, today it crossed down through it in the afternoon, can see it on the chart above. Possibly it's tipping it's hand for tomorrow. The SPX futures-ES, got over 1140 right before the close, then sold off 5 points over the next half hour or so, at 1136 now.