Our analysis of Price Drivers remains solidly bullish for the YM dec contract. Holding
Longs at this time.
Longs at this time.
Surf's Special Situation Journal
- Thread starter marketsurfer
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Sure. Unlike traditional analysis that uses pass price data, which we find ridiculous, for the most part, Price Driver looks at and attempts to quantify the factors that actually move price ( prior to it moving) into a cohesive whole. Things like COT, the book, news, economic events, special situations, money flows, insider activity and even rumors are all Price Drivers. These items among others are boiled down into a 1 to 10 scale with 5 being neutral. Above 5, bullish pressure, below 5 bearish pressure. Predictions and or trades are entered with the bias created by the PD analysis. TA on the other hand only deals with past price that has no influence on the future regardless of the rhetoric and anecdotal claims. Hope this explains the idea.
No, i don't do any charting of the Price Drivers. Yes, obviously, the Price Drivers could not be measured had they not occurred first. However, these things happen PRIOR to price moving from their concerted efforts. TA tries to follow price only, We assert that once price occurs, it's simply too late. TA simply draws a map of what has happened, whereas Price Driver style analysis project and tries to predict how price will be affected. Starting from the obvious misnomer that patterns repeat and the past predicts the future-- Price Driver doesn't use price patterns or past price but rather those items that cause price to move-- this places the method ahead of the curve-- where TA traders follow, PD traders lead. This is the first time PD's have been quantified and weighed into an index like product to create biases based on fact and science rather than pretty charts and other delusions. Following clearly doesn't work, and if it does, its way way sub optimal by its very definition. surf
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