More on APS and out_of_sample testing

[Rodney King]

Quote from goodgoing:

tradingpatterns.com -> priceactionlab.com

OK, got it. Let me ask,

1) If I get the demo http://priceactionlab.com/Demo/demo.html -- what data are needed to make it work? Are data supplied?

2) What's the connection between the software and the Harris book ? Are the book's examples developed with priceactionlab?

Thanks.

 

[bashatrader]

For demo:

http://www.priceactionlab.com/Support/demohelp/demohelp.html

As far as data

http://www.priceactionlab.com/Support/paldata/paldata.html

http://www.priceactionlab.com/Support/support.html#data

All you need is a .txt file. I have APS and that seems to be more or less the same program basically, as far as I can see. Very easy to use.

 

[bearmountain]

Quote from goodgoing:

tradingpatterns.com -> priceactionlab.com

I did a demo of this product couple of years ago, this was before the p-indicator. Also bought Michaels book profitability and systematic trading. I thought it was an interesting tool.

What i find somewhat disconcerting is:

1) the old company/website trading patterns totally vanished

2) the price seems to oscillate quite a bit, it used to $4500, then just last week $4000 but with special discount $3000. Yesterday it was priced at $2500 per year.

What do you guys think?

 

[ronblack]

Quote from bearmountain:

I did a demo of this product couple of years ago, this was before the p-indicator. Also bought Michaels book profitability and systematic trading. I thought it was an interesting tool.

What i find somewhat disconcerting is:

1) the old company/website trading patterns totally vanished

2) the price seems to oscillate quite a bit, it used to $4500, then just last week $4000 but with special discount $3000. Yesterday it was priced at $2500 per year.

What do you guys think?

Tradingpatterns was in business I think for about 9 - 10 years. I bought APS about 3 - 4 years ago; I don't even remember when exactly, time flies. It was recommended to me by a friend who bought some pattern code from the company back in 2001 or 2000 in a trade show. I think this is a fair lifespan for a small company. Then you have to change name, trademarks, do some renovations and stuff.

I recently upgraded to the new product Price Action Lab. It is more or less the same program but with some minor but useful new features. Price is OK I think. I wouldn't worry about the oscillations. Do some bargaining. This is a buyer's market. I do not recommend this product unless you have some experience with statistics and you are willing to go one step beyond what it does. The p-indicator is very interesting. I am following the journal for SPY on the new website and so far their calls (presumably Michael Harris') are spot on.

 

[tradingjournals]

Quote from goodgoing:

Interesting question. I have done extensive testing with APS and I have found out that it is more capable of finding robust patterns with a high win rate and target/stop < 1. This may have to do with the markets, not with the program I suspect.

If my understanding of what you do is correct, I have comments/questions:

1. There are theoretical formulas that give the results you are looking for, and you do not need testing to find the edge, but testing can be useful to quantify the edge.

2. What happens to the trades that never reach neither the stop nor the target, if target=stop. My guess is that they cancel out on average, and they are equal in number and in the average win and loss.

 

[sungtaeyoo]

Quote from intradaybill:

No problem. This is an excellent idea. I am working on it and I will let you know of the results. I want to test it on 15-minute intraday patterns. I am currently running an APS search on 100,000 bars long history for high profitability QQQQ patterns and then I will test the results in tradestation.

So what's your result? I found patterns for Eur 15 min and back testing result is good. I did forward testing for several days but the result is disappointing.