Scataphagos, if you happen to see this post, please understand that I am not anticipating it will carry a single ounce of weight with you, and having now fully developed my system, I’m not feeling much need or inclination to respond to any positions that contradict my own.
I just happened to see your response when I returned of this thread to check if I could figure out why it might have caused me to pick up another (a third) follower, and I had a reaction that I wanted to record for the following reason…
I’m currently writing a book that explains my methodology, and by writing my thoughts on certain entries posted on this website, I find it helps me in that endeavor, with the post cited below falling in that category.
Hence, the following is specifically meant for me, and is not written as a response to your post per se (though it will of course seem that way), but is simply an exercise and resource I can return to in the future when I am ready of write the relevant page(s) of my publication.
In fact, I would say that prices almost always cross back and forth across moving averages. My system uses moving average envelopes as a major aid to establishing levels of support and resistance—not the moving averages themselves—which I use to clue me in on price direction and trend reversals.
But because I use, not standard, but specific, painstakingly selected moving averages designed to tell me the whole story when it comes to market sentiment, I know exactly when to go short and when to go long, whether the market is trending or range bound.
It is impossible for price to pass through one moving average without my being informed by another, so that (at this point) I am rarely surprised by anything price does, if ever. The particular collection of moving averages that appear on my charts (for the most part) make sense out of everything I observe price do.
I just happened to see your response when I returned of this thread to check if I could figure out why it might have caused me to pick up another (a third) follower, and I had a reaction that I wanted to record for the following reason…
I’m currently writing a book that explains my methodology, and by writing my thoughts on certain entries posted on this website, I find it helps me in that endeavor, with the post cited below falling in that category.
Hence, the following is specifically meant for me, and is not written as a response to your post per se (though it will of course seem that way), but is simply an exercise and resource I can return to in the future when I am ready of write the relevant page(s) of my publication.
In fact, I would say that prices almost always cross back and forth across moving averages. My system uses moving average envelopes as a major aid to establishing levels of support and resistance—not the moving averages themselves—which I use to clue me in on price direction and trend reversals.
But because I use, not standard, but specific, painstakingly selected moving averages designed to tell me the whole story when it comes to market sentiment, I know exactly when to go short and when to go long, whether the market is trending or range bound.
It is impossible for price to pass through one moving average without my being informed by another, so that (at this point) I am rarely surprised by anything price does, if ever. The particular collection of moving averages that appear on my charts (for the most part) make sense out of everything I observe price do.
