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STrATEGiES<br />
www.tradersonline-mag.com 04.2014<br />
Multi-Dimensional Trading<br />
The Ability to Take the Broader view<br />
Strategy traders often struggle with ways to see beyond the two-dimensional analysis of time and price.<br />
Although volume is often used to add a third dimension, there are other methods that employ analysis of<br />
additional markets related to the one being traded. Even with such multi-market methods, there can be a<br />
tendency to fall back on side-by-side time-price-volume analysis on the multiple data sets.<br />
Stanley Dash<br />
Stanley Dash holds the position of Vicepresident,<br />
Applied Technical Analysis, at<br />
TradeStation. His Wall Street career began in<br />
1975 and includes time as an active fl oor trader<br />
at one of the leading U.S. futures and options<br />
exchanges.<br />
SDash@TradeStation.com<br />
» The strategy presented here is designed to<br />
demonstrate a ‘multi-dimensional’ approach by<br />
using two measures of the relationship between two<br />
markets, DAX futures and the Euro (EUR/USD), to<br />
generate trading signals in the DAX futures. That is,<br />
the strategy becomes ‘multi-dimensional’ by analysing<br />
two measurements of the relationship between two<br />
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