Moving Average or Linear Regression?

We all know that we can not spot what will happen
However:

1- Trending days are mostly news driven. Reports such as GDP, CPI, Fed’s meeting, Unemployment rates and ……. .
Usually action starts at 7:30 EST ( right after reports are out ), and if you are using Bollinger bands or Keltner channel, Price is mostly riding on the top or bottom line and rarely crosses the middle line. Simply price is in one directional. Good examples are GDP days.

((Some time at the end of trending days , Bog boys want to cash out some their money and it can move the price to opposite direction ))

2- Range days are mostly, the days that you do not have any news, price is not one direction and top / bottom lines of Bollinger or keltner channels are being penetrated regularly.

Hope this helps….
 
for my hand trading, or "e-manual" i use envelope and a stochastic with tick charts {envelope from esignal basic studies choices}.

for my automated i use price action only in one system and the envelope/stochastic in two other systems----with tick charts/data. one other system looks at the nyse tick for signals.

i had some systems using the linear regression line but those are all changed now to using the esignal studies "envelope"----------this improved performance a little.
 
Quote from madmaxer:

We all know that we can not spot what will happen
However:

1- Trending days are mostly news driven. Reports such as GDP, CPI, Fed’s meeting, Unemployment rates and ……. .
Usually action starts at 7:30 EST ( right after reports are out ), and if you are using Bollinger bands or Keltner channel, Price is mostly riding on the top or bottom line and rarely crosses the middle line. Simply price is in one directional. Good examples are GDP days.

((Some time at the end of trending days , Bog boys want to cash out some their money and it can move the price to opposite direction ))

2- Range days are mostly, the days that you do not have any news, price is not one direction and top / bottom lines of Bollinger or keltner channels are being penetrated regularly.

Hope this helps….

Trend days also tip their hats statistically by breaking through the am session turnaround times with volume and will followthrough to the high or low of the day(s). Note of caution as mentioned the bond close and after needs careful watching because a trend day can reverse direction although not often sometimes violently. Don't give back those profits but it is most often worthwhile holding into 4- 4:15pm EST.

D.
 
Quote from MoralHazard:

I was about to ask, can anyone give me leading indicator for prices? I'm willing to pay, if it works. :)
How much are you willing to pay? :)
 
Quote from Albert Cibiades:

Oh, give it up. ALL estimators lag. The market can change direction faster than a woman can change her mind.



so you can't handle your trades or your women? :D jk
 
Back
Top