The ACD Method
- Thread starter sbrowne126
- Start date
Yeah, um, I didn't hire them. And second, I said emotional IQ, not intellectual. And believe me, your emotional IQ is not any higher then theirs.
Yea it will be tough to do. I think the ATR and the noise levels are a good start.
The way I see it is the market is nothing more than cycles. Every day a new cycle starts, the OR represents the initial balancing period of this cycle. You also have cycles within cycles...that why you see the monthly and weekly A's line up with intraday stuff so often. Just like Gann said a century ago!
Check out flip's stuff about the OR times and the percentage of the times it is the high/low of the day. This surely sheds some light on the importance of the OR. Why Fisher chose 20-25% of the ATR as his A values, I don't know. But, from observation and forward testing I have found these to be valid!
I'm not going to be greedy here. We have 240 pages of content and only one troll. I'll take that. I don't really understand his gripe. I've laid out detailed analyses of every single market under the sun on this thread from AAPL to Corn to currencies. I've discussed every time frame, gone over the pivot range, the number line. Honestly, the whole reason I even reached into the psychology part of trading is because I thought everything else was covered.
I want to make something clear though to any lurkers of this thread. Please don't think I or anyone else on here is going to attack you just because your critical or ask questions. I love criticism, I just want it to be valid. I want the criticism to add value to the conversation, not start a pissing contest.
As I've stated many times before, there is no wrong way to use ACD. It's a method, not a holy grail system. It's suppose to help you read price action. That is it.
For what it's worth for the OP, ACD works very well on Nat Gas as with the ES.
Here is an idea.
Check to see, based on all the data points you can find, how many times the OR is the high or low of the day. For example, if you have 5000 data points, and the OR is the high or low of the day 3000 times, you have something that matters for that instrument.
More, check to see what is the optimal move from the open where the price will settle in the direction of the initial move. For example, if you trade the ES, a six tick move means that ES will close in the direction of the move 60% of the time.
Things like that.
Every few years a thread like this comes up. The real think tank in the thread will keep the trolls out. No worries.
Thats about what I'm gonna do...As soon as I finish cleaning up 2000 days worth of intraday data.
Quote from baggerlord:
Thats about what I'm gonna do...As soon as I finish cleaning up 2000 days worth of intraday data.
I am not a shill, but I do have to say that Amibroker is the best in class for this endeavor.