Making JH' SCT and all his material alive

[sd2005]

Continuing from what I have left in MADA logging.

Column 'Volume Test P1', 'T1', 'P2', 'T2P' (T2 Pass), 'T2F' (T2 Failure):
as per Jack in https://www.elitetrader.com/et/thre...an-in-mathematics.256404/page-8#post-3753610;
"the trading fractal is the Primary set of pieces; thay are P1, T1 and P2. They compose the parts of the first move of the trading trend. they correspond to Price parts as follows: Point 1, the BO of the RTL of the prior trend, and point 2.
the rest of the trading tend involves a secondary fractal. Why? Because to end a profit segment takes more precision that just holding while making money. The CW is riddled with mistaken techniques fo holding until the end of a trend. Most CW traders, in fact cannot trade trends.
In the Pattern point 3, when it occurs defines the trend parallelogram. In the independnt variable this is T2P. At this time two of the three trend moves have ocurred. the first is the dominant move and the second is the non dominant move.
In CW terms, at point 3 and T@P the retrace has ended. Before the retrace is the dominant move to which the retrace refers.
At the end of the last and thrid move is where the CW reversal occurs. Most CW trader cannot tell the diffeence between a retrace and a reversal. thus these kinds of market move,emts ar traded separtely as what in CW is called edges. A lot od BE or better CW trades havee groups of sedges they trade to be able to do entry/exit type trading. Hold/reversal trading is foreign to CW type trading.
The elements of the third and dominant move of the trading trend are T2P, T2F, Not T2P, Not T2F, Non Not T2P and Not Not T2F.
the end of the trading tend and the third movement of the trading trend are cioncidental. A failure to end is P3F and A success to end is P3P The last lettes of the snippet names stand for Pass and Fail.
The third move is examined as a sub fractal of the trading fractal. This is why there are so many differentiable names of snippets for volume during the third move of the trading trend."
Think can figure out the columns and annotate volume accordingly, hopefully.

'BM' (bookmark),
as per glossary, 'Point of reference in order to signal reversal, creates wash trades instead of losing money'. Another term related to BM is 'BM REV' (glossary says 'Instruction to Reverse when price penetrates the BM'). Related to reversal is 'BO, T1' 'Instruction to Reverse when price penetrates the rtl after the assignment of a T1'.
https://www.elitetrader.com/et/thre...blic-record-thread.262444/page-4#post-3767118: "The BookMark is an older failsafe provision. It restarts the trend OEE. As time passes be more agressive in taking profits with it."
It seems BM is a place for stop loss / reverse position / close position.
Need to investigate further.

That is all for now.

 

[sd2005]

'Volume Test P1' = FTT of prior trend or pt1 of new trend.
'T1' = BO of rtl of prior trend
'P2' = pt2 of new trend
'T2P'(Pass) = pt3 of new trend
'T2F'(Failure) = pt3 of new trend failed. I guess failure happens when Low of pt3 < Low of pt1 (fail to make higher low HL) in new uptrend, or High of pt3 > High of pt3 in new downtrend (fail to make lower high LH).

Please let me know if there is any incorrect / incomplete in my understanding.
Thank you.

I have seen posts about guessing what would the price pane looks like based on volume pane only. That is cool.
Don't know how to do it.
Maybe it would help in trading, maybe it develops from long term memory.

 

[Sprout]

Hi @Sprout,
Thank you for the support and encouragement.

I have done the manual hand drawing of 10 price cases and 5x5 grid.
I was inspired by @Simples in https://www.elitetrader.com/et/threads/on-10-case-geometry-and-beyond.310880/page-14. Thanks @Simples.
Refer to attached.
In a single bar, there are up to 3 moves/legs. This is due to there are 4 components in a bar: OHLC (Open High Low Close). The price movement is OH, HL and LC (Open to High, High to Low and Low to Close). If in a bar, the O=H or H=L or L=C, we don't need to count the leg.

In the same link above, there is 'the pattern'. I attach it again here.
The heading shows OOE too. As per glossary, OOE stands for Order of Event and it makes up a trend (volume based). (I attach my rework glossary. It is text-searchable, the old one is not searchable because of image based)

'the pattern' shows down trend, reversal and up trend. I'm trying to read the pattern, from left to right, from bear to bull:
1)
price is too high, market topping, ftt of bull ltl. bull starts distribution phase with high volume.
vol pane: ... to P(eak)
price pane: ftt
2)
bear in the sideline. price declines to bull rtl, yet volume is low because bull doesn't want to buy anymore.
vol pane: P to T(rough) -> 2R
price pane: prior ftt becomes pt1 of downtrend
3)
after price manages to break bull rtl, it's confirmed downtrend. bear jump to sell (accumulation) and late bull close position. volume is high.
vol pane: T to P -> 2R
price pane: pt2
4)
to reduce risk, etc, bear starts distribution/unload/profit taking. after no more buying, pt3 is established and downtrend continues. buy volume in bear is usually low.
vol pane: P to T -> 2B
price pane: pt3
5)
price is too low and market absorbs the price. bear distributes/close position and bull buy for value. volume is high. not sure about 'compressions' here.
vol pane: P1
price pane: ftt of bear trend
6)
the rest is for bull trend, similar like event 1 to 5 with different volume naming and OOE, due to buying will have DU+FRV.

If I'm not mistaken, the annotation of volume depends on event in price pane and should help on determining what value to place in the vol pane.

Kindly let me know if there is anything incorrect or miss out.

I think one must learn the truth. Money is just a by product of truth.
To successful traders, money is not the objective anymore.
There should be other factors more satisfying than money, such as helping others, etc.
Men doesn't live only by money.

@Sprout and the rest, thank you for sharing the truth.

Good work.

The 10 cases
1) Sym is missing long trend lines
2) Lat Case (10th Price Case)

5x5 Grid
On separate grids;
1) Now use the grid as a master and draw two sine waves to each form. One is the path a least resistance the other is the path of greater volatility.
2) Add sentiment to the form by adding color to the Dominant leg. Each bar has 3 legs ideally, yet some do not have the 1st or 3rd leg present in that time slice. The 2nd leg is always present - the difference between the open and close and it is the sentiment of the bar and it has color.
3) Draw a BM as it corresponds to the sentiment of the bar.

The missing legs are the first indication that OOE’s are decoupled from time slicing and how the concept ‘squishing’ and ‘degapping’ are built mentally as a reference to what is observed. This is just a seed on those concepts their utility will come up later.


The Pattern
1) Draw it’s Symmetry - Long trend to short trend. Draw BM’s of the trend.
2) Trends are composed of trend segments. With thinner lineweight, draw BM’s of those trend segments.
3) The market is fractal. The pattern can be observed on all timescales. The pics are capturing the middle and fastest. Tile pics of ‘The Pattern’ to produce a slow fractal that encapsulates the pattern. Alternatively, one could also draw even faster fractal which would be trend segments of trend segments.

 

[sd2005]

Good work.

The 10 cases
1) Sym is missing long trend lines
2) Lat Case (10th Price Case)

5x5 Grid
On separate grids;
1) Now use the grid as a master and draw two sine waves to each form. One is the path a least resistance the other is the path of greater volatility.
2) Add sentiment to the form by adding color to the Dominant leg. Each bar has 3 legs ideally, yet some do not have the 1st or 3rd leg present in that time slice. The 2nd leg is always present - the difference between the open and close and it is the sentiment of the bar and it has color.
3) Draw a BM as it corresponds to the sentiment of the bar.

The missing legs are the first indication that OOE’s are decoupled from time slicing and how the concept ‘squishing’ and ‘degapping’ are built mentally as a reference to what is observed. This is just a seed on those concepts their utility will come up later.


The Pattern
1) Draw it’s Symmetry - Long trend to short trend. Draw BM’s of the trend.
2) Trends are composed of trend segments. With thinner lineweight, draw BM’s of those trend segments.
3) The market is fractal. The pattern can be observed on all timescales. The pics are capturing the middle and fastest. Tile pics of ‘The Pattern’ to produce a slow fractal that encapsulates the pattern. Alternatively, one could also draw even faster fractal which would be trend segments of trend segments.

Thank you @Sprout.
Updated the 10 price cases and also the grid. Hopefully they are now correct.
I'm not sure the BM for the grid. Is BM bookmark? Is it H+1 tick for bear/short and L-1 for bull/short?

Noted on the missing legs, OOE, squishing and degapping.
For now I have no idea on their application yet. I'm sure will revisit them in future.

For the pattern, may I know what is BM?
Regarding market fractals, i feel this is important to ID retrace vs reversal.
CW cannot tell the difference. However, according to Jack, JHM can differentiate them. This is one of advantages of PVA/JHM over PA/CW.

I'm trying to put in annotation for yesterday's ES, mimicking what you did it in https://www.elitetrader.com/et/threads/on-10-case-geometry-and-beyond.310880/page-12#post-4516395.
But I'm having difficulties especially on the volume case parts and probably turn types too.
I refer to my earlier posts #511 and #512 don't really help.
Do you have any way to help solving it? If can use math/formula such as 'IF ... AND ... THEN' would be better for me.

Thanks a lot.

 

[WchPl]

In order to help myself with the VTP, this came out :

Also re(rererererererere)reading :

THE VOLUME TESTING PROCEDURE

For volume, there are peaks and troughs to use. They are P1, P2 and P3 and T1, and
T2P and T2F. They follow an order of events. P is assigned and other P1's are larger than the assigned. T1 is after a P1 when it is less than a P1. After a T1 the next peak is a P2 or P3 and never a P1. This forms the A band of bands. A P1 may follow a P2 if it exceeds the prior P1. P2's can follow P2's if the prior P2 is exceeded. when any peak question occurs use the leftmost in the test as written on the log.

T2P's appear after P2's and they are between P2 and T1 in value. A T2F can appear after a T2P and it is less than a T2P and more than a T1. The T2's are used to define the last move of a trend as a zone of values in the independent variable.

For volume, the test procedure determines the OOE of a trend in the independent variable.

When a T2P occurs the B band is in effect.

When a T2F appears the C band is in effect and the n+1 rule is applied to carry out the EE test on the next bar after the T2F appears.

All bands after this full complement of volume elements are in place, occur under special conditions as explicitly defined in the B thru K look up table.

A P1 begins a trend ASAP. Two rules:

1. Do P1 on the current bar of failsafe EE's and A band EE's

2. On all other EE's put P1 on the next bar.

 

[sd2005]

Rewiewing what's necessary to perform VTP, this came out as a self help.

View attachment 198727

Currently re(rerererererererere)reading this to help me with the stuff -> on the VTP by JH himself.

Thanks @WchPl . I will need it too.
JHM is not easy. But I believe we will make it eventually.

 

[WchPl]

Anyone willing to point out anything that could help solving a bit all the errors on that beginning of log is welcome but millimeter by millimeter. I know all the VTP and Turns are almost wrong.

And obviously, being as it all starts with VTP, all the remaining cells are unfillable (and taht's also true for Turns).

 

[WchPl]

Thanks @WchPl . I will need it too.
JHM is not easy. But I believe we will make it eventually.

You are more than welcome.

It's not easy from where we all are in this wrecked world, yes. I do believe it too, but don't want to leave any chance to eventuality ^^ I radically want to get it.

Be strong, be prepared and take very highly care of you. I wish you the best and a really easier path that mine.

 

[Simples]

Anyone willing to point out anything that could help solving a bit all the errors on that beginning of log is welcome but millimeter by millimeter. I know all the VTP and Turns are almost wrong.

And obviously, being as it all starts with VTP, all the remaining cells are unfillable (and taht's also true for Turns).

View attachment 198730 View attachment 198729

VTP: DV after T2P is what VE? V < T1 is killed in VTP.
FS: At some point, maybe after fanning, you BO to stay on right side. FS is to account for Change at any moment, despite brilliant analyses!
EE: A-band has EE's to be found later or sooner.

Any of these can be utilized to find turns, and then one must move forward, building further on evolving context and understanding.

 

[tiddlywinks]

Anyone willing to point out anything that could help solving a bit all the errors on that beginning of log is welcome but millimeter by millimeter. I know all the VTP and Turns are almost wrong.

And obviously, being as it all starts with VTP, all the remaining cells are unfillable (and taht's also true for Turns).

View attachment 198730 View attachment 198729

I will keep my comments specifically on VTP. I am intentionally ignoring logs, turn-types, and rdbms.

1) The first 5 bars, P1-T1-T1-P2-T2P, based on volume (and price movement) are correctly identified.

2) Bar 6, a repeat T2P is not correct. Two reasons, both from the volume elements(VTP) sheet...
a) A "repeat" T2P is greater or equal to the first T2P. In this case this is "false"... not a repeat.
b) T2P is "killed" if less than T1. In this case, this is true... the possiblity of a T2P is "killed"

Bar 6 can not be T2P, so what is it?...
Since it is not a repeat T2P, and volume is less than T1, the next "possible" element which is allowed after a T2P is T2F. This would be forward progression of the pattern. So lets see if T2F fits.

T2F requires volume less than or equal to T2P. Bar 6 volume is true on this test. But just like a T2P, T2F is "killed" if volume is less than T1. Bar 6 volume is true in this test as well. Bar 6 can not be T2F... T2F is killed as a possibility, forward progression of THIS pattern has ceased!

So what is it? What is price doing? The failsafe sheet says FS can be applied to ANY bar.

How does that change the rest of the VTP annotations on the chart?