Let's say I want to play risk-off (just an example, let's not deepdive into whether that's a good idea etc). Great. I'm long: gold silver yen swissie long-term govt bonds of developed nations Short: equities oil Isn't all of this highly correlated and effectively just one trade? If so, how do I find uncorrelated asset classes?
https://www.investing.com/stock-scr...exchange::a|eq_beta::-1,0.5<turnover_volume;1 https://www.elitetrader.com/et/threads/what-is-a-beta.335456/
Yes, most large markets are more or less correlated with risk, positively or negatively and traders should consider whether they want the risk of multiple correlating positions. But apart from that what is your objection to correlating markets? Correlation is a useful indicator that obviously doesn't print anything in uncorrelating market charts.
If everything is highly correlated, monitor the correlation and run a stat-arb when it diverges. In theory, that should de-correlate your absolute returns (I think...I'm not a spreader).
To answer your thread title question... Everything is not correlated. For example, Bitcoins, Penny Stocks and BUND futures. wrbtrader