Google CCC or Congestion, Convergence, centering.
Do some subheadings as well: market pace. market internals and slaloming.
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Beyond the hype of hershey futures method journal
- Thread starter RoughTrader
- Start date
Google CCC or Congestion, Convergence, centering.
Do some subheadings as well: market pace. market internals and slaloming.
Quote from RoughTrader:
Hi Jack,
Thanks for piping in. The issue at hand is not of paradigm, but rather of quantitative implementation. An edge-based system, belonging to what you refer to as "conventional orthodoxy", can be described quantitatively under certain restrictions, as I am hoping SCT can.
SCT, as you have mentioned, focuses on the "here and now" of remaining in sync with unfolding price action. The channels are constructs which enable decision-making in the "here and now." Channels are formed, and channels expire. Seemlessly moving from one channel to another enables us to avoid losing "lock" on the market movements. Regardless of the "level" one is using exploit market action, the channels will always remain the universal construct to keep in sync with the market. I don't see how this cannot be captured with a model that updates each bar to reflect the "here and now" component in addition to projected channel lines, which are simply extended by knowing slope and price intercepts.
The restrictions I was referring to earlier pertain to soft decisions, i.e. those made by subjective interpretation of the trader. The very first issue I wish to address is the following: Does SCT rely on soft-decisions? If so, it is a method that contains stochastic decision points and cannot be captured by a numerical model. If the answer is no, then SCT can unequivocally be described by numerical models, no matter how complicated they are, simply because each decision is deterministic.
There is no answer in between yes and no regarding this issue. The decisions and rules are either hard, or they are soft. For a given "user level", or implementation complexity, there will be only ONE possible trade path of buy and sell points in a session. Soft decisions will yield multiple possible paths.
The question becomes: If we were to strip SCT down to the simplest beginner level, can it be captured by a quantitative model?
Burrowing further down, can one arrive at a singular solution for channel lines in a session using such a model? If the answer is yes, the result is promising. If the answer is no, parameter inputs to the system would determine the solution set, which would be one of many.
RoughTrader
Everything you need is in the public domain and it is "hard" quantitative information.
What I do is pool extraction. The purpose is to move money. Once moved out of the financial industry it is used for problem solving.
We have not introduced any subjective trader decision making.
We have kept SCT in a binary context for trading. The binary context is also a vector orientation so the data sets are in a state that you know you know. CO people will not be able to understand this. They made that choice in the past for some reasons.
In terms of quantification there are five degrees of freedom for the input. The expansion of these degrees, methematically and scientifically leads to about 70 degrees of freedom. this is small and common but not usually in a binary vector context.
A "steer and focus" strategy is used with respect to the degrees of freedom. That is, the same data set sizing is usually in play. however, the focusing goes from coarse to medium and then to Fine. I is easy to see that non P and V tooling comes to the fore when expert level deals with the DOM, OTR and S/S.
The fact that a four part routine is cycling is VERY important to understand. The Stee and focus of monitoring over a terrain of 70 degrees of freedom is exceptional by any standards, especially quant transplants from other disiplines and the ever wearing sophomoric chant of the academic community and psychological repair crews. The journalist turned writer and the talking heads are just the clown component of the financial industry.
There are many many people who feel enough is enough when referring to the daily take. Often these people just use parts of SCT to achieve there personal goals and lifestyles.
Personally, I do not keep money. I see money as a utility for solving problems.
SCT has been provided to people to take money out of the markets and make some of that money work to solve local problems.
Three things I currently abhor are: 1. veterans not being treated proberly for traumatic stress as a consequence of extended and repeated tours of duty. 2. tyhe cancer epidemic now persent with older guardsmen who are dying without proper care. (A Tucsonian Viet vet and IRAQ vet died last week at 58 totally riddled with cancer he contracted running a transport system in Iraq). The over 100,000 Iraqi translators who are not being given refugee status in the US after they laid their lives on the line to help US troops initially. (100 plus have been processed and the rest have fleed Iraq and go unsupported and ignored).
I think I am caught up here at this point.
Investigating someone's method is never a waste of time in my opinion. You never know what doors will be opened for your trading. If you weren't able to make Jack's method work for you, well, I'm sorry to hear that. Perhaps you will or have already found other methods that suit you in particular.
While I don't claim to never take a loss, my trading style appears to be somewhat similar to Jack's SCT, at least regarding design intent. As such, I'm very curious about the details of SCT that he uses. The fact that you fail to find meaning does not leave it devoid of meaning. It simply means you failed to successfully use it or understand it.
RoughTrader
While I don't claim to never take a loss, my trading style appears to be somewhat similar to Jack's SCT, at least regarding design intent. As such, I'm very curious about the details of SCT that he uses. The fact that you fail to find meaning does not leave it devoid of meaning. It simply means you failed to successfully use it or understand it.
RoughTrader
Hi RoughTrader,
I do not use SCT, but I do use some of the tools (DOM and tape) with great success. Learning this method will make you think about a lot of ways to improve what you are currently doing.
I am not sure which technology you will use to code it, but I can highly recommend ninja trader .net framework. Among other things such as coding in c, you can programmatically access all levels of DOM. If you will need my help with this let me know.
Regards,
redduke
I do not use SCT, but I do use some of the tools (DOM and tape) with great success. Learning this method will make you think about a lot of ways to improve what you are currently doing.
I am not sure which technology you will use to code it, but I can highly recommend ninja trader .net framework. Among other things such as coding in c, you can programmatically access all levels of DOM. If you will need my help with this let me know.
Regards,
redduke
Hi Jack,
I am not sure if you have done it before, but maybe we can set up one day, it can be any day you wish, where you would trade live. It will be recorded through screen capture and then would be posted on this forum. This will end of these 1000s of posts that the method does not work.
Please let me know what you think.
Regards,
redduke
I am not sure if you have done it before, but maybe we can set up one day, it can be any day you wish, where you would trade live. It will be recorded through screen capture and then would be posted on this forum. This will end of these 1000s of posts that the method does not work.
Please let me know what you think.
Regards,
redduke
You are trading SCT (without consciously knowing it).Quote from RedDuke:
Hi RoughTrader,
I do not use SCT, but I do use some of the tools (DOM and tape) with great success. Learning this method will make you think about a lot of ways to improve what you are currently doing.
I am not sure which technology you will use to code it, but I can highly recommend ninja trader .net framework. Among other things such as coding in c, you can programmatically access all levels of DOM. If you will need my help with this let me know.
Regards,
redduke
You already have the tools and are using them, albeit you have added one more piece -- a "Throttle Limiter".
Quote from PointOne:
RedDuke
Any chance you would post some of your insights into Spyder's thread where this is currently being discussed? I'm sure a lot of people would be interested.
I actually use it the way Spyder explained. I use the wall as confirmation of the direction (signal).
For example, if I get a long signal and there is a wall on the ask, I will not go long unless the wall is penetrated. However, if I get a short signal, and there is a wall on the ask, I will take it, since the wall will act as resistance and therefore the probability of the trade working out is good. Opposite for bid of course.
Quote from Tums:
You are trading SCT (without consciously knowing it).
You already have the tools and are using them, albeit you have added one more piece -- a "Throttle Limiter".
Could very well be, sicne a lot of FFTs, BOs and FBOs correspond to my entries. However, I still can not grasp the way to be in the market all day long. Continuation and change totally make sense to me when market is moving, but when in chop I can not use it.