We have investigated the nature and viability of interocular correlation as a measure of signal strength in the cyclopean domain. Thresholds for the detection of interocular correlation in dynamic random element stereograms were measured as a function of luminance contrast, a more traditional measure of stimulus strength. At high contrasts, correlation thresholds were independent of contrast. At low contrasts, correlation thresholds were inversely proportional to the square of contrast. Stereothresholds were also measured as a function of both contrast and interocular correlation. At low contrasts, stereoacuity was inversely proportional to both interocular correlation and the square of contrast. These results are consistent with an inherently multiplicative mechanism of binocular combination, such as a cross-correlation of the two eye's inputs.