Iterative Refinement

[treeline]

Here is my MA (or my MAD?). I'd appreciate constructive criticism; I feel as if I'm making progress but I'm trying not to get too excited. Today may have just been an easy day...

Note: "vty" = "volatility". I think all other abbreviations should be self-explanatory. I organized my bar-by-bar analysis by Bar # to avoid confusion, but I did write a few times in there; all times are CST.

 

[tobbe]

Quote from Jesus_Freak:Below is a chart of CZZ attached. It has been in dry up for some time.First, I took chuy's advice and looked for larger channels as well as smaller ones. I think I found a proper one, but if not, someone please correct me.

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1932855>

Nice going, JF .

 

[Jesus_Freak]

Quote from tobbe:

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1932855>

Nice going, JF .

Thanks Tobbe!

I can see that channel you drew in very clearly... now that you did it ... but if you do not mind my ignorance, how did you determine point one in that small down channel?

JF

 

[romanus]

Quote from Jesus_Freak:

point one in that small down channel? = FTT in the previous channel, because channels overlap

 

[Jesus_Freak]

Quote from romanus:
point one in that small down channel? = FTT in the previous channel, because channels overlap

Ahhh... so my problem was that I had mislabelled an FBO as a BO, and then missed the next FTT and proper BO. Would the attached chart be correct then?

JF

 

[treeline]

YM:

 

[romanus]

Quote from Jesus_Freak:

czz daily revised.jpg

 

[Tums]

Quote from Jesus_Freak:
Ahhh... so my problem was that I had mislabelled an FBO as a BO, and then missed the next FTT and proper BO. Would the attached chart be correct then?
JF

Do yourself a favor: enlarge the chart to the area of your focus. It is easier to do your monitor and analysis when looking at a larger chart.

 

[tobbe]

Quote from Jesus_Freak: I can see that channel you drew in very clearly... now that you did it ... but if you do not mind my ignorance, how did you determine point one in that small down channel?
JF

I always try to draw faster (steeper) channels, with other words channels on different resolution levels. In that way you 'see' when pace and/or sentiment changes within that context. You could have drawn the new steeper red down channel yesterday, but the pt3 would not have been confirmed until today when price broke out on increasing volume.

Tums once posted a great illustration on 'channels within channels' in the futures journal (february last year). Unfortunately ET has deleted the attachment. Maybe he can post it again?

Quote from romanus: point one in that small down channel? = FTT in the previous channel, because channels overlap

Not necessarily true ... depends on your resolution level.

 

[TIKITRADER]

ES M8 Daily Chart May / 23 / 2008


Daily ES bar made a LL and a LH today.
Volume was much lower due to the start of the holiday weekend.

Daily bar range = 22.25
Close of daily bar = 5 % of the range today.