Range, Tick, Volume, or time-based Charts

S

stevenpaul

Hi folks,

What are the relative merits and disadvantages of using charts based on a given range (such as, for example, 5 points on the Dow Futures), ticks (say 250 ticks per bar), or volume (e.g. 10,000 e-mini S&Ps)? I'm intrigued by these alternatives to the usual time-based charts and was wondering what your experience has been with them. Of the three approaches to bar values I just mentioned, which, if any, do you like the most?

Thanks.
 
Quote from stevenpaul:

Hi folks,

What are the relative merits and disadvantages of using charts based on a given range (such as, for example, 5 points on the Dow Futures), ticks (say 250 ticks per bar), or volume (e.g. 10,000 e-mini S&Ps)? I'm intrigued by these alternatives to the usual time-based charts and was wondering what your experience has been with them. Of the three approaches to bar values I just mentioned, which, if any, do you like the most?

Thanks.
More...


If you start using the search button you will find tons of comments on this subject.
Indeed, one of the most interesting ones in tarding.

Good luck.

G.
 
I personally think time based charts are the worst. Reason: I trade movement.... and time based charts are particularly bad at giving timely signals during exposive movements ;)

Tick charts (as well as volume charts) have the advantage of speeding up when the market speeds up, and range based charts (which include P&F, Renko) have the advantage of speeding up when... the movement speeds up.

Not saying they are holy grail - just that is the reson I like them more ;)
 
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