Quote from WmWaster:
Thanks for your compliment.
Although I can be profitable now without learning new things, I'm always eager to learn new things and improve my profit-making & loss-control ability.
Actually I'm just wondering why there's no writer (as far as I know) who realise candlesticks & their patterns are dynamics (this is what I understand from my experiences), and publish a book or some resources to deal with it. It seems they would like to leave all these work to every candlestick (price action) learner, or they just don't realise their straightforward interpretation of candlestick won't work.
I commented on this deficiency in my original posting.
To amplify more specifically, there is a profound basic difficulty.
As you go from period to period of chart display (fractals) you will find that the appearance or lack of appearance of the types of candlesticks changes considerably. I stated this as a distribution of frequencies of appearance.
Because this change occurs, the result is that the sequences of appearances of the bars also is differing on different fractals. Therefore, it is not possible to "write" a text or guide for speaking about how sequences of bars provide information or guidance on trading (making money) using bars in specified orders or combinations.
The utter failure of the 1 minute bars was noted by inference and implication.
For comparison, consider indicators that are "tuned". Understand "tuning" as setting proper defaults. Since the advent of indicators, I have "tuned" them according to the character of the environment of markets. Think of pre and post market operation relative to the advent of the PC. The 30 part sequence of the MACD, properly set, can be used as a signal repertior for making money. I advocate many of these for various maoney making approaches (think 80 successful edges.
Candle sticks do differing sequences for differing fractals and thus they do not generate "signals" consistently.
I could go into many other facets of this theme. If you read my IF1 , IF 2 model, you will see some of what I mean as a standard. Names of bars cannot be substituted for this strategy.
Recently the software for the relationship of leading and lagging indexes was finally established mathematically in a statisitically significant manner. This kind of effort cannot be duplicated using csticks as named or coded since the coding changes from fractal to fractal.
In June we are assembling a national team to work on coding and archiving my life's work. We will present and camtasia the interrelationships of indicators, their staticitcally significant sequences and the method of tuning indicator defaults according to the character of the trading environment. This will be done on six levels from "assessors (pre-novice) to expert. This includes information architecture, coding, writing, editiing, etc. for the construction of three kinds of web sites.
Just like differing manufacturers make lubricants, the sellers have cross over lists so that replacements for one brand can be done with another. Part of our information architecture will include this. You will be able to see the connections among all the approaches of those mentioned in this thread. We are making it possible to handle the stumbling blocks of all types of approaches by showing the the relationships to other strategies that avoid whatever. It is like in the problem of having a unified theory a person just switches from relatavisitc to nonrelatavistic for intellectual convenience. A a theoretical phyics practioner from profession to profession, I have been able for a long time to do the equivalent with most of the available trading strategies.
up to now, I never took the time to integrate all of the aspects of sucessful trading, I just simply used a critical path to be able to extract the optimum from any type market at any time.
the oil brand crossover model will be used to correlate the majot money making thems over all time to allow people to see why this or that does not suffice when a better solution is available.
We will also include the software for doing stuff mechanically.
The above is stated to you as a way of providing some substance for my views. I do not use candlesticks and I feel that in the up coming documentation we are doing, the fundamental limitations of the candlestick approach will be clearly stated.