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Another strategy for finding entry points for making trades is the Correlation Strategy. As the name states, it combines other strategies so it cannot be used as the main strategy in and of itself. It is what has become known as a complemental strategy because of this.
As you study the market you will notice there is a correlation between some assets. Examples of this are the prices of precious metals such as gold and silver; often time the prices for these rises and fall almost simultaneously. Many currencies are like this too, the Euro and Swiss Franc often trend in the same direction. There are also many so-called negative correlations too, where the price of the two assets always moves in opposite directions.
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