Search results

So mass(volume) multiplied by velocity(change rate of price) = momentum...price itself being current "location". One way of looking at it.

^agree, to a slight degree, hence the "in a way" modifier. But a move on big volume will have more "weight" than a move on small volume. Just giving ideas to visualize what's going on.

Took a ton of brain processing power over a few years to properly and effectively link volume with price in a meaningful way. I wouldn't trade without it. Hint: in a way - volume is equivalent to what mass is in physics, especially when concerning momentum.

I don't use anything like this, but here's one idea on this method: in the case of a long, wait for the next bar's close to exceed the signal bar's open. opposite for a short.

I can code thinkscript. You don't have to pay, but tips are nice. Even stuff like "don't play with matches". That one really made a difference in my life. Anyway, PM if you want help, or something created.

Is that "volume weighted MACD"?

Fractals are just a term to describe patterns that repeat at any scale. Nothing more mysterious than that. I guess one who trades successfully (using any system) is one who is making money in the markets via fractals.

Well, more of an observation. Similar to the side of a mountain. Mountains rarely have a perfectly smooth gradient from the bottom to the top. It's more of an up/down group, with the ups being a little more or steeper than the downs, which ends up being an overall up slope in the end. If you...

The market is indeed fractal, but that doesn't mean we have to be intimidated, or even acknowledge it. It's just like saying everything is made of atoms. Sure it is, but we don't need to know the inner workings of atoms to use things.

Keep in mind, the markets are a fractal with an infinite (or almost infinite) amount of scales (timeframes). That means a small down turn might be the noise of a large up trend as you showed in your example.

^well said.

^All of this. Yes.

Good stuff. Thanks for all the good info and PMs.

Trading futures for now due to leverage. I do have a system I am trying to automate. Currently researching different methods and platforms for doing this.

Agree. I still wonder if he'd be as successful in the modern day. Some of the big guys who are still alive today all say most of their money was made back when the market trended better. They say these days, it trends smaller, and less frequently.

I agree. The commissions I paid last year were astronomical. Kind of shocking when you realize it.

Yes, I have. I've got some old experience with that. Might need something with more horsepower, but it's not off the table.

I agree with most of your post, but with manual trading, to realize the compounding effect, you'd need to use the appreciation profits made to buy additional contracts. Take an increasing trend. If you just kept one contract through the entire trend, you'd make a profit, but off of just one...

@fan27: that sounds interesting. I'd love to learn more.

I'm building/testing my system in MS Excel, then testing custom indicators in Thinkscript. I've used NinjaTrader in the past, but although I loved the interface, I couldn't mesh with the language. Eventually, I'll need to expand to another "professional" language to complete what I am doing.