"Golden Arches" Project

walterjennings...

excuse me for digging up this dated post...

I think that an Excel sheet can be created to track "bang for the buck" thinking...

I hope you "take on" this Excel project and publish...

I will republish my Excel work on interest rate APR cost/income for carry...though this is just a speck of consideration for the money that is banked in price movements.

illiquid, finally was able to teach me this...

Michael B.



Quote from walterjennings:

ES have you traded exotic pairs before? I always thought the huge spreads made them useless.
More...
 
Just an observation with the latest update of the indicator. A validation or an observation lets say...the High in a bullish arch has a larger gap, compared to the low...vice versa in the bearish arch.

LearningFeelingTouchingSavant

Quote from TradeViper:

ES, two things.

1. On the USDCHF, can you see the natural rhythm of the price action, look at how the price action respects the cv lines

2. Your spread between the CV levels is about 250, it would be wise to place your stop before it hits this, so, divide the 250 by the total number of CV levels, that would give you 50. I don't know if these spreads change or not but if they do just recalculate. The 250 was an estimate from your chart, if you get a floating marker on the levels you just subtract one level price from the other and that will give you your level spread.

The Ever Curious VIPER
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The intro is rather lengthy on this work in progress, are there any suggestions thus far? ...is it confusing?...too long?....missing info?....please go back to th beginning of this thread and review it and make your suggestions here...what would you like to see? (there is a print icon here in the upper right of each page)

so far to reflect...

The method uses an all-in-one charting, independent from the Forex dealer used and has a custom indicator download. It trades 28 pairs and the live test is planned with 3k less dollars, now at an estimated 14k. The method remains accessable to all as it uses internet friendly, free downloads.

The method is waiting for a Smacking!, stop methodology and multiple time frame access with the custom indicator. Live trading is still planned to commence as stated originally (02/13/07). I am trading and testing during these days during this wait to publish. From time-to-time, I share in this thread, some trades.

Michael B.

P.S. I know, you all love to see the smack about Electric's head and to see him jump around all giddy and making a fool of himself, but it soon be time for trading and the seriousness of why we are all here.
 
Quote from ElectricSavant:

Just an observation with the latest update of the indicator. A validation or an observation lets say...the High in a bullish arch has a larger gap, compared to the low...vice versa in the bearish arch.

LearningFeelingTouchingSavant
More...


This is due to the inherent lag of curve fitting the CR after the fact...
 
Interesting...its also a validation of it tracking trend correctly too ...would you agree? Wider on top with longs and narrower on the bottom...shorts wide=bottom and narrow=top

Correct arches and these unique method-specific, slight side confirmations/observations could be noted on the particular timing in the arch and instrument-specific arch formations.

question: do these wider occurances indicate a faster upcoming arch correction?


Quote from fifo:

This is due to the inherent lag of curve fitting the CR after the fact...
More...
 
Quote from ElectricSavant:

Interesting...its also a validation of it tracking trend correctly too ...would you agree?
More...


yes, the longer the period the more accurate a virgin bend (less prone to whipsaw). A long period is like a freight train at full speed, it takes a lot of points or very large moves to make a dent in it. Shorter timeframes move quicker but more on that later.


Note as I added fibs to my WL indicator I noticed a concern. The Highest band and lowest band values are incorrectly set, or rather they need to be based on selected series. The CR is a best fit curve based on X series (in this case the OPEN). Calculating the maximum deviation from the CR should come from its sample (open or whatever the user selects). Then the foolowing Fib retracements will hold true: from top band to bottom: 100%, 61.8%,38.2%,0,-38.2%,-61.8%,-100%.

Now the chart makes a little more sense and the number of combinations/possibilities increase dramatically. For example, for all positive levels use High as the series, for all negative levels use Low as the series. And a fairly decent conpromise and less prone to backfill is to use AvgPrice (h+l/2). This series is ok in FX due to liquidity, may not be suitable for all products.

Here is a pic of the Fib levels using only the Close for all lines...

ps. the Period chosen here is 144 for kicks
 

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So we know that the the CR changes shape to retrofit previous points with every addition of a new point leaving the viewed curve nice and smooth, i.e. optimized and curve fitted.
Any point previous to the right most edge cannot be acted on and becomes meaningless today as that point was somewhere else on that day. So in order to effectively backtest, we need to know where the CR's rightmost edge has been. See attached. Same goes for fibs, and you can now see why the max and mins cannot be acted on blindly.

More to this, but for now digest...


oh and does anyone have a cut and paste version of all recent pairs offered at IB?? not on their site and really don't want to type one by one in my downloader.....

thx
 

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And another...(btw period again is 144, which as it is takes a minute to calculate!)


Note that these curves are now static and the basis of a system can be had...
 

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