Cross-Asset Correlation Heatmap with Trading Session Markers
Summary
This indicator compares a chosen main symbol with up to twenty others and presents their correlations as a color-coded heatmap. Users can select preset forex, stock, or crypto groups, or provide custom symbols. A configurable lookback period controls the correlation calculation, while the heat scale distinguishes negative, near-zero, and positive relationships. The displayed universe spans multiple asset types, making the tool useful for inspecting how a selected market relates to a broader set of instruments.
An optional session overlay marks the openings of Tokyo, London, and New York, with session times adjusted for market type and daylight-saving transitions. The script offers a visual comparison aid rather than a trading strategy or tested signal. The supplied text does not show performance evidence, explain the correlation formula in detail, or discuss how correlations may change across regimes; users should treat the heatmap as a snapshot shaped by its lookback and selected symbols.
Key ideas
- The indicator compares one selected instrument with as many as twenty other symbols.
- Preset universes cover forex, stocks, and crypto, while custom inputs allow a user-defined comparison set.
- Correlation values are mapped to color bands from strongly negative to strongly positive.
- Optional markers identify Tokyo, London, and New York session openings with daylight-saving adjustments.
- The document provides no performance test or trading rules for acting on the correlations.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.