The PFT Correlation

Custom script — intermarket correlation and divergence analysis tool

• Real-time correlation display between two selected instruments
• Shows both short-term and longer-term correlation in a single view
• Divergence detection — flags when two normally correlated markets begin to separate
• Strength and weakness comparison — identify which instrument is leading or lagging
• Designed for all CME futures instruments, also compatible with crypto and forex
• Primary use case: NQ vs. ES, but fully configurable for any instrument pair

The PFT Correlation indicator calculates the rolling correlation coefficient between two user-selected instruments over configurable short-term and long-term lookback periods. The result is displayed as a visual correlation reading — showing whether the two markets are moving in sync, drifting apart, or actively diverging. When correlation weakens or breaks down, the indicator highlights the divergence, giving traders an additional data point to assess whether conditions are aligned or diverging before making an independent trading decision.

Users can select any two instruments available in ATAS as the correlation pair. Short-term and long-term lookback periods are fully adjustable. Visual display settings including colors and divergence thresholds are configurable directly within ATAS.

Use Cases

1. Pre-trade confirmation — before analyzing an NQ setup, check if ES is confirming the same directional move. Aligned markets provide additional confluence; diverging markets may indicate reduced structural agreement.
2. Divergence as a contextual indicator — if NQ is pushing to new highs but ES is lagging or reversing, the correlation breakdown may indicate reduced structural alignment, which traders can assess independently.
3. Strength/weakness analysis — identify which instrument is leading the move to understand where relative initiative may be coming from.
4. Multi-market context — use correlation data alongside order flow and bias tools to build a more complete analytical picture before making an independent trading decision.

Pricing: €9.99/month — 5-day free trial, card required, auto-renewal. Cancel anytime. Available via Copecart.