Thanks Maverick.
The ACD Method
- Thread starter sbrowne126
- Start date
Have positions in both. 
Reckon I deserve some good news after being killed on AAPL.
Reckon I deserve some good news after being killed on AAPL.
I am working on some interesting stats that I thought I would share here. Expanding on the concept of the average daily range being something of an end-of-line for price on an intraday basis, I have started researching the same concept at all ACD session levels and I see similarities, at least at the weekly level, that suggest that this concept may be applicable at these higher timeframes. So, for any ACD session, the average session range seems to be the area that price targets once an A or C is confirmed. This is in an effort to move my analysis/trades to a higher timeframe and to bring in some level of automation so that eventually, I can start participating in more markets.
I will post stats here once I am done with the program. Also, again, so far this is limited to just a couple of commodities futures that I track but hoping its applicable elsewhere as well.
I will post stats here once I am done with the program. Also, again, so far this is limited to just a couple of commodities futures that I track but hoping its applicable elsewhere as well.
I am looking at this kind of thing as well. The weeklies look really good. Failed A's around the weekly Pivot set up really nice fades with good Risk Reward profiles. I am only looking at three currency futures, but so many of these trades validate my analysis. Price will make a high at the A level, somewhere near the pivot, and reverse and make the low near the approximate average session range. What is nice, is that during this move, price will consolidate, in near lockstep, at my levels. First the top of the OR, then the bottom, then the A down, with price then hitting the target. When it is working, it is like a little roadmap, and imspires confidence to stick with the trade. I love when when their is two way trade near the levels I choose. I feel like I must be doing something right.
I don't compute the ATR (I am assuming that by ATR, you mean Wilder's ATR), just the regular average of ranges.
Hello HomeGamers,
One of the folk’s that I give this document to suggested I add a column that describes the status of the 30 day rolling as either a positive (+) or negative (-), so I’ve added that column.
Also, doing a great deal of reviewing past 30 day rolling signals I find they are greatly enhanced using the 5 day rolling and monthly resets as confirmation (yes, everyone knew that but confirmation is fun
).
The only new 30 day rolling signal this past week was HYG (High Yield Corp. Bond). You can see it also has a strong negative 5 day rolling and monthly reset. That makes the 7-10 year Treasury (IEF), the 20 + year Treasury (TLT) and HYG all negative confirmed 30 day rolling.
One of the folk’s that I give this document to suggested I add a column that describes the status of the 30 day rolling as either a positive (+) or negative (-), so I’ve added that column.
Also, doing a great deal of reviewing past 30 day rolling signals I find they are greatly enhanced using the 5 day rolling and monthly resets as confirmation (yes, everyone knew that but confirmation is fun
). The only new 30 day rolling signal this past week was HYG (High Yield Corp. Bond). You can see it also has a strong negative 5 day rolling and monthly reset. That makes the 7-10 year Treasury (IEF), the 20 + year Treasury (TLT) and HYG all negative confirmed 30 day rolling.
I've always been a fan of the 5 day rolling for it's ability to give a feel for momentum. I hate taking an entry and it immediately moves against me; if nothing else I should have timed it better. And yes, I've been paying attention to the 5 day change you explained.
Hello JT,
Look forward to reading your results.
Don’t know if this will add any value to the general discussion of using either the average daily range or Wilder’s ATR: (But, by posting it makes me feel like I’m not just an evening pajama trader but I’m hanging with real traders. You know, I’m Chester http://www.youtube.com/watch?v=ov-1S8Xxd94
Anyway. When I was doing my best to steal Mav’s A levels about this time last year (in all time frames), I would create various look back algos, in both ADR and ATR, place them in windows below the chart, and scroll. I did this with the A levels Mav provided in this thread and also hundreds and hundreds of other charts. I found that for me, ATR was a detriment to good A levels going forward.
Thank you.