Pair trader: A new indicator
I figured I'd post this.
It's an indicator that plots the spread between two selectable instruments and also each individual instrument's line chart, with a colored fill to make it more clear visually when trading ratios.
In cointegrated pairs like audcad, you can trade the range extremes, and buy the laggard/sell the leader when overbought/sold conditions are met + distance from the 66/253 EMAs, as outlined in my AUDCAD post. (see related ideas)
Hope you find it useful!
Cheers,
Ivan.
It's an indicator that plots the spread between two selectable instruments and also each individual instrument's line chart, with a colored fill to make it more clear visually when trading ratios.
In cointegrated pairs like audcad, you can trade the range extremes, and buy the laggard/sell the leader when overbought/sold conditions are met + distance from the 66/253 EMAs, as outlined in my AUDCAD post. (see related ideas)
Hope you find it useful!
Cheers,
Ivan.
