Do Trendlines work?
- Thread starter duard
- Start date
Trendlines (RTL's) and their counterparts, left trendlines, form concurrent psychological boundaries on all concurrent levels of trader activity. Think of any number of nested channels. See nested in info gap theory. Below I am using the compliment of nesting, however (contraction (knowing that you know)). Math gets sophisticated after a while in this stuff but you do not need to be a John Nash (it helps).
While Pring and all the rest (Ollie, etc.) do not recognize the over lap of channels, guys like Kahn (Barron's) do. How could psychological transitions be any other way? Joe Ross, can only see 15% of the market as "doing something", lol.. the rest for him is "consolidation"...
By looking dynamically at things and keeping a non probabalisitc orientation (dealing in NOW only with binary vectors) you have a no risk context.
There is no probability the alternative answer of two answers is hiding in the data set as you continually see what is required to make money.
Within the always present (on several concurrent levels) boundaries, the market continually tells you the right side of the market and the pace of the market (this is a first derivative with respect to time).
You already know you have to be in the market to make money. So you are in the market AND you are on the right side of the market as you are told to be continually.
You see a money velocity all of the time.
You are in posession of two things: the right side and the amount being made.
What will happen? We all know what will happen.
The velocity will come to zero and the right side of the market will change.
Long long ago the P, V relation was established and understood.
The practical expression of this is the psychology of the markets all based on human ways and means of doing things.
The market continually tells you what is going on and you have the answers aolways available and you trade accordingly.
Trading is a psychological process in a no risk setting.
profits are taken at the end of each price movement and simultaneously you begin to take another segment of profits.
lol...
The Bobsie twins strike again.
When we chat about our growing up experiences it is spooky.
There is something really great about what is happening in the world. A lot of like minded people are finding each other.
As I've said, repeatedly I believe, I am not in disagreement about the price/volume relationship but rather am attempting to make the point that there are practical, time-constrained limitations to the effective implementation of that relation and that to discern that relation one needs accurate data. That's all. Indeed "it's in the charts" as long as the chart you are looking is a bona fide representation of what's happening in the market.
Thank you Mr. Hershey for joining the discussion. I must admit that your marketspeak is with a tongue that makes it necessary for me to take a bit of time to understand what you are saying. So bear with me while I reflect on your words and re-enter the chat with some questions at a later time.
lj
PS: Experientia docet but books are also of utility.
Thank you Mr. Hershey for joining the discussion. I must admit that your marketspeak is with a tongue that makes it necessary for me to take a bit of time to understand what you are saying. So bear with me while I reflect on your words and re-enter the chat with some questions at a later time.
lj
PS: Experientia docet but books are also of utility.
I like clarity.
So, let me be clear: statistics can clearly show you the channels. You can use regression, or you can use frequency distributions. Either will do. Or both.
Both are objective, and can therefore be backtested easily.
I have no idea, having read any number of posts from the various disciples of this Jack Hershey person, what in heaven's name they think they're doing.
I know what I'm doing: making money through mathematical tools that are simple, widely available, and easily verifiable.
So, let me be clear: statistics can clearly show you the channels. You can use regression, or you can use frequency distributions. Either will do. Or both.
Both are objective, and can therefore be backtested easily.
I have no idea, having read any number of posts from the various disciples of this Jack Hershey person, what in heaven's name they think they're doing.
I know what I'm doing: making money through mathematical tools that are simple, widely available, and easily verifiable.
You like being clear and then assert that an inanimate noun can clearly show you something. That's not clear.
What are these channels of which you speak?
Or you can draw lines on the price chart. I know which is clearer to me.
So can lines on a chart - get out some crayolas and give it a go.
1. Jack Hershey does not have disciples
2. The person has identified who he is by using his real name. Who are you exactly?
3. I don't know what they are doing, or in who's name, as they do not exist except in your imagination
Those participating in Spydertrader's thread are successfully learning to use trendlines properly to make money.
Good for you. Why the hostility then?
Although I am not a disciple of Mr. Hershey, I do believe that arcane as his methodology may appear to be, it would seem that it allows him and his disciples to do what you are doing, e.g., make money. Otherwise they are a bunch of scum-sucking liars and I don't perceive that to be the case.
If I'm not mistaken, statistics has to do with probabilities and simply applying statistical methods to a problem does not give that problem or that statistical method or that apparent solution to the problem any particular validity other than at best, what is indicated by the statistical result. The presumption of course is that the set of initial conditions which one uses to formulate the problem is an accurate reflection of the critical variables associated with the problem. If such is not the case then any solution/conclusion, no matter how profound it might appear to be, is in fact boiled tripe. As in a philosophical argument unless the terms are discussed and agreed upon, the argument becomes nothing more than an exchange of warm carbon dioxide.
I have no idea what your particular trading technique is and if as you say, it makes you money, then
.
lj
If I'm not mistaken, statistics has to do with probabilities and simply applying statistical methods to a problem does not give that problem or that statistical method or that apparent solution to the problem any particular validity other than at best, what is indicated by the statistical result. The presumption of course is that the set of initial conditions which one uses to formulate the problem is an accurate reflection of the critical variables associated with the problem. If such is not the case then any solution/conclusion, no matter how profound it might appear to be, is in fact boiled tripe. As in a philosophical argument unless the terms are discussed and agreed upon, the argument becomes nothing more than an exchange of warm carbon dioxide.
I have no idea what your particular trading technique is and if as you say, it makes you money, then
. lj
Spyder and Jack
I trade equities EOD. There are millions of instance where price and volume have no relationship at all. It works some of the time, maybe 50% of the time. At other times price will rocket up on declining volume, or price will fall on increasing volume (but less than recent highs), then bounce back, without a decrease in volume (or high peak) before the bounce back. There is often no relationship. It can be seen in the charts.