I have one question. How do you trade correlated instruments (like USDCAD and USOIL)? Do you pay attention to avoid excessive exposure and reduce correlated positions or just skip it and trade them like there is no correlation ?
Mate, great question, in my view, correlation between crude and cad is much dominant on the a longer time horizon. So when trading very short term trades I give more weight to the technical evidence i have on the single instrument, especially that the correlation breaks in many instances. I will gladly post a chart soon about this correlation. Good luck..