Market System of Operation

By using chart that is highlited with price case boxes, you get the work done to deal withh permission to measure the Volume Pane's Bars.

We use a statistically significant test for permission to measure volume. The intelletual substantive reason is to not do unecessary work with statisitically insignificant data.

OODA uses all data. The consequence is that a betting strategy is required. All betting strategies add degrees of freedom to create indicators. Indicators, in turn generate "signals". Signals are betting signals or risk taking "hold" signals. for bettors, Achelis wrote "Technical Analysis from A to Z". Steve is an accomplished guy who serves the CW part of the financial industry. We are all aware of Equis International, Inc. and his appearances on CNBC.

The system of operation of the markets is technical as you will see but it is NOT the OODA or the CW TA referenced just above.

After a two bar "internal"(the 8 cases of waiting), you have to do work to log the next row. Mentally fold the second bar into the first bar. Thus you know the H and L of the "squished bar equivaalent. You may then "see" translation for making money.

If not the bar is named lat 3. This is the case named lateral. As you do undrstand, it (the bar) arrives as a wait. Laterals can go on for quite a while. we number them as lat x's. we also note their endings with BO and the XB or XR that occurs.

One caution.

To qualify lats after lat 3 a new rule is used: The close of the bar is the only significant measure. The close must NOT be outside of the H and L of the lateral.

To make this easy I wrote the maths and added the lat # above the bars on the chart as highlights.

Attached is a 30 min chart with highliting of price bars. As you see the vendor does not degap bar to bar. I wrote the math anticipating the vendor's improving his product as promised.
 

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Quote from llIHeroic:

mspkask1,

Thank you for choosing to act and assist the purpose of this thread.

---

Also, here is an updated log that I have created two days ago in case we would need it soon.
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Thank you very much.

The chart is perfect.

Lets use it from now on bginning this open this morning. Call it day 1 of the 20 days.

Just fill in the Price Case column, the degap column and the arrow column. the drill is to achieve giving permission to measure volume.

Here are the procedural rules stated in RDBMS coding terminology:

0. check the degap column if a degap is required. If it is there you will degap mentally. mentally.
1. compare the H's and L's to determine the case name. (always degap, if required, mentally before this analysis.)
2. write in the case name.
3. if you have one of the 8 internals, then write UseLarger (UL for short) in the row where the larger volume bar of the two bars appears.
4. draw an arrow to the UL.


These five steps complete detemining whether or not volume can be tested on the given row. You see the middle of the log is devoted to the volume test procedure.

Volume, the independent variable, is the core of making money. As in all mathematics the independent variable is where analysis testing begins. In trading, testing can only be done when there is something significant to measure.

To repeat, in case you are skimming as you read In trading, testing can only be done when there is something significant to measure.

what gives pemission is two things:

A money making price case and/or an increasing volume.

These ploys we use go back to the basic reasoning of the system of ooperation of the operation of the market.

the pardyigm includes thee considerations.

Increasing volume contributes majorly to making money. So do the XB and XR cases.

Thus we focus on this context to measure volume's elements and just how the volume elements flow in their Order of Events.

for now we use a perfect log on an log bars on a highlited chart where the hightlights instruct you to save as muh work as possible in a vey high level reasoned manner.

We are not bots. We are experts who are quick (10 to 100 milliseconds.)

this post instructs you in filling in one kind of event: THE WAIT EVENT.

To complete filling in this drill you draw lines to prevent you from doing anythingwrong.

IF YOU HAVE A PRICE CASE OTHER THAN XB OR XR AND THEIR IS NO UL ON THE ROW, DRAW A SINGLE LINE ALL THE WAY TO THE RIGHT UNTIL YOU COME TO THE EVENT COLUMN.

Fill in WAIT in the event column.

Lets do more this weekend. Go back to last Monday and fill in logs from prints of five minute charts for all five days. 5 times 81 is not too much to ask. HB lead in automatic pencils works best to make lines. Use 7 mm to cut back on breakage. Cedar pencils work but you will have to sharpen often. Ask for pencils, big erasers and cases of paper for xmas.

Learn to do getting permission ASAP.
 
Here is an attempt I made to create a log for Price Cases and Volume Permission only for ES [12-19].

If someone else logged this period please post the log in order for me to compare my efforts. If someone has a log from a different period and a blank chart, I will create a log with the chart in order to compare.

I will review the rest of the four log pages of [12-19] this evening and post an interesting spot or two. The upcoming discussion about setting up the correct charting will be very helpful for me and others as well.
 

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Quote from llIHeroic:

....The upcoming discussion about setting up the correct charting will be very helpful for me and others as well....
More...
You are excited. Therefore in your mind you are already jumping ahead to the next exciting topic/subject. Don't. Remember... first: 5 x 81 bars! :) Then the next step.

P. S. Good job!
 
Notice the fine work done on the two posted charts.

All of you see the xB's and XR's where we do the volume test procedure.

All of you noticed the OB's listed and the UL's for the OB's.

OB's behave as two opportunities for doing the volume test procedure.

So take out a straight edge each time an OB occurs and make the row into an upper level and a lower level so you can do two volume test processes on the row.

Remember we ae going to post five days of this drill ASAP.

I have a data stamp I use.

We are doing drills for this week of Decmber. 16, 17 18, 19 and 20th. 405 bars all told.
 
A couple of questions:

1. What instruments or instrument classes is this valid for?

2. Can it be applied to / is it effective on higher intervals such as hourly and daily?

A glossary of acronyms would be useful.
 
Quote from frenchfry:

You are excited. Therefore in your mind you are already jumping ahead to the next exciting topic/subject. Don't. Remember... first: 5 x 81 bars! :) Then the next step.

P. S. Good job!
More...

Nota Bene!!!!!!

French Fry is an authority and a great person who can help you.

His comments here are exactly and correctly right on the mark.

Skipping steps because you are so bright comes back and bites you.

Why? The reason is that you are reading and accepting the stuff you read. Fine.

BUT you are not building LTM. Look up LTM to see Long Term Memory.

We need your mind to work automatically and quickly by having Perception from the preception equation.

On two bars an FTP can quickly become an XB and, therefore, you may have to carve a turn soon. FTP is listed in the ten cases chart as a flat top pennant.
 
we are now completeing doing logs for four hundred bars by using automatic HB lead filled pencils.

Zip your completed logs through a scanner and save them as jpegs and post the ones where questions came up.

you will see an answer with the correct log posted as part of the answer.

Get those upper and lower levels done on the OB's.

I will post a dialog on the FOMC bars on the 18th.
 
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