NIFTY is looking weak

[uasish]

just see dinkerj, hpcl sustain above 250 & nifty closed with gains. there was a chain reaction beetween hpcl & nifty on yesterdays data.

biyas,
Sometimes TA find a correlation between two scrips ,in any data array,be it
population census,there is a mathematical module to derive a correlation between two different parameters say Age & smoking habit,in census,likewise
many TA search for a correlation,particularly this does not last more than few
days ,becoze of the arbitraggers & hedgers who when trying to lock this correlation (proportional OR inversely proportional) situation in fact Actually
corrects the anamoly.So any strategy based on correlation backfires also.Earlier when people found Stock Mkt going down means Gold coming up,many played Shorting Capital mkt & Longing Commodity mkt (gold),but now the Low cost Liquidity (yen carry) has balanced all kind of imbalance in
good times & topsy turvy on Crunch situation,hence avoid this strategy,moreover this game involves Huge capital.

Asish

 

[biyas10]

biyas,
Sometimes TA find a correlation between two scrips ,in any data array,be it
population census,there is a mathematical module to derive a correlation between two different parameters say Age & smoking habit,in census,likewise
many TA search for a correlation,particularly this does not last more than few
days ,becoze of the arbitraggers & hedgers who when trying to lock this correlation (proportional OR inversely proportional) situation in fact Actually
corrects the anamoly.So any strategy based on correlation backfires also.Earlier when people found Stock Mkt going down means Gold coming up,many played Shorting Capital mkt & Longing Commodity mkt (gold),but now the Low cost Liquidity (yen carry) has balanced all kind of imbalance in
good times & topsy turvy on Crunch situation,hence avoid this strategy,moreover this game involves Huge capital.

Asish

thnx for your contributions .....

 

[dinkerj]

biyas,
Sometimes TA find a correlation between two scrips ,in any data array,be it
population census,there is a mathematical module to derive a correlation between two different parameters say Age & smoking habit,in census,likewise
many TA search for a correlation,particularly this does not last more than few
days ,becoze of the arbitraggers & hedgers who when trying to lock this correlation (proportional OR inversely proportional) situation in fact Actually
corrects the anamoly.So any strategy based on correlation backfires also.Earlier when people found Stock Mkt going down means Gold coming up,many played Shorting Capital mkt & Longing Commodity mkt (gold),but now the Low cost Liquidity (yen carry) has balanced all kind of imbalance in
good times & topsy turvy on Crunch situation,hence avoid this strategy,moreover this game involves Huge capital.

Asish

Gr8 analysis Ashish.
Just wanted to add something. You can correlate anything.You need to find a correlation coefficient.When it is 1, perfectly correlated. When this coeff is -1, negative correlation.Emphasis is to find something with correl. coeff -1 (or atleast negative) with stock market index. If you find something like that, you can fully hedge your position in stock market.

 

[uasish]

dinkerj,
Thks for your comments i have my own codeed Metastock formula since long to explore these.

Asish