Statistical Arb/Pairs trading strategy!

Incidentally, the differences in the indis is of no importance.
Provided an indi’s lines cross from time to time, one can
trade it.
Equally, two indis or instances can be compared only if they
start at the same time.

@medisoft: nothing really happened, everything remained almost the same.
@christinaa: yes, I have an EA which sets my TP.

hows your results now marijan993

hows your trades going timehopper? care to share how much % your up by?

I’ve been having grief for 2 weeks!!! Don’t use oandas fx platform!
No losses but a 12 and 6 day trade (both closed at BE) so my 5% a week I was getting has ground to a halt!!!
And my DD probably a little more than I would like to admit!!!
Up 19.5% since early may… Can’t remember the exact day!
Ps live account!!!

Totally up 79,6 % since June 1.

What was the problem with oanda? You didn’t specify…

I’m not really sure why FX trade failed! all looked OK but I got into really long drawn-out trades both times I tried it!
maybe I would of had bad trades on MT4 as well, so I’m sticking to MT4 for now!

I’m adding to my testing list some pairs that have high correlation.

CHFJPY / EURJPY (CHF & EUR)
EURJPY / EURUSD (JPY & USD)
AUDUSD / NZDUSD (AUD & NZD)

– EDIT
I was thinking, and added the S&P500 with DowJones and checked, they can be traded with the same Kelton’s method, they have 99 % correlation :slight_smile:

omg 80% in 20 days, thats amazing!
i saw on your trade history, your playing with $100
i have $3000
you trade mostly 0.02 lot sizes
so i could do 0.60 lot sizes
0.60 seems like alot
but thats relative to my capital just like your 0.02 is to your $100
can someone correct me if im wrong?

I think what you have to do is trade an amount you are happy with!!!
No help what so ever I know!
I also have a 3k account…3.6k at the mo… Smug mode!
I don’t know what my lot sizes are as I have always traded with oandas units,
I have been using between 1 and 2 dollars a pip.
However I find with 1 dollar per pip the DD is obviously less, so I am less inclined to just close the trade at break even.
Bigger trade size = more happy to close at break even so I get less profit with the bigger lot sizes!

1 dollar per pip is 0.1 lots
2 dollar per pip is 0.2 lots (on EU/GU)

marijan993 forget about the other thing i asked for
can you please post your take profit EA
it would help me out a lot
thanks in advance

here is the EA that closes the trades

kelton.zip (28.8 KB)

thanks but which file is the take profit EA?
and is anyone trading today there’s more than 80 pip divergence

there is only an EA on that file, the others are indicators.

I got a trade open ATM! Would prefer less than 80 pip divergence!!!

medisoft, thanks for the EA. But when i drop one of the two scripts KeltonBuyPair or KeltonSellPair to the eurusd chart, it doesn’t open any trades. i think to use this EA, we need to use these scripts to open trades in order to get the same magicnumber.

Hi witgl,
you probally using different broker, check the symbol and modify the EA accordingly.

bernardpuah, thanks; i changed the symbol and it works now