Quote from marketsurfer:
interesting,nick. i have always thought that TA is attractive to "right brain, non mathematically oriented" traders since it is visual and graphic.
where as "left brain" traders are much more suspicious of the non quantifiable pretty lines and formations.
surf
It will not be possible for you to get involved in reasoning nor generating statistical evidence of anything but Blowfish did give you all you need to start in one small place to learn, adroitly, how to deal with one precise and important consideration that OCCURS SEVERAL TIMES EVERY DAY.
For others who may be anticipating either, some open minded learning or even writing an article on very successful people. (LOL), you can, daily, check out the TA relationship of P and V when support and resistance are being expanded.
Just imagine your data set after a few days, weeks and months as you find that, with statisitcal significance, there IS a strong relationship that happens frequently every day regarding why there is and isn't range expansion according to the P V relationship.
Strangely enough, presicely the same relationship is statistically (and significantly) demonstraded for all forms of pennant formations.
After these five have been completed, the statisitically significant, P, V sequence for channel operations can be proven.
The first order of business is the assure that the right brained observations are verified for the left brain by examining how the volatility expansion of a trending channel occurs. It is easily observed as blowfish states and even more easily it is verified with strong statisitical significance.
For the relationship of the dominant and non dominant traverses in trending channels the same significance (strong) can be obtained using P and V.
All seven of these statistically significant TA elements can be proved on any fractal you chose and every fractal that is commonly used by successful traders. Then you can check out the difference between successful traders and failures by examining who uses what TA to make money.
Cashmoney is approaching the lizard syndrome in his deepening rate of failure. It is not either right or left brain as wrongly supposed by surfer ( will be author of articles o successful traders (he is trying to find a successful trader ,LOL; can't do it autobiographically)) Cash is SOL because he set himself up for repeated failure over and over. Look at the melage of "indicators" he uses.
TA is ALL about using market variables, scientifically, in their proper mathematical relationships. Take a clue from Eckhardt on how to assess and measure the variables of the markets. He chose a stupid shortcut after he gleaned how to use maths to do analysis, however. He only used one variable over time.
Doing maths and analysis is off the table for surfer and for cash. One has a closed mind (left and right sides it looks like) and cash is becoming a lizard where his mind is now "fleeing" the markets to protect him and assure his survival as an animal with instincts.
If Eckhardt had followed his admonitions mathematically and had not dropped all market variables, he would have aced every opportunity the market offers for proving in stuff with statistical significance.
See how surfer's right brain dominates his thinking (he sees patterns and their geometry, but he is incapable of using the Eckhardt admonitions for left brained analysis). Geometry is not the left brain subject. The subject is the maths relationships of the variables with respect to time and the interrelationships.
NONOnsense and hypo blow it too with their respective maths bents of pascal/ fermat and applied maths, respectively. They are driven by using maths in THEIR way instead of an analytical way THAT IS DICTATED BY THE MARKETS as Eckhadt surmised and did use only with price alone (because, as he said that is what traders do (oh 90% of traders fail by the way)).
Lets get this down by the numbers. I chatted with Todd on the phone after his NYC trip to work with some of our PhD's for a week. It takes 1 day to clean the slates; one day to learn that a wash trade puts you on the right side of the market and two days of experiencing multiple H-L results as a verification of the above seven items. You make money with P using P and the relationships of P, V and t.
After that you can throw in the other leading stuff of other RELATED commodities.
To run tests of statisitcal significance to prove relationships under any varying conditions and specific significant money making opportunities, you have to do it correctly.
Eckhardt may not have as much experience as I do but he did spent a lot of time repeating what he believes.
He concluded correctly that a "right" of the market is either there or not there. This is his monkey gibberish as is said by dummies in ET. What is a "right"? It is an element that is constructive for making money. It is something to be regarded and understood because it is true in market operations.
Mathematically speaking, the way people handle things that are there or not there is by a specific algebra invented in the 1820's in England. George did it.
This kind of stuff with regard to answers comes down as marks (single vertical strokes) on a ledger of two columns. You can keep ledgers on narrow slips of paper I use 4 equal pieces derived from and 8 1/2 by 11 piece of paper. Think of the floor and something simpler than the cards used there. People do this stuff in reality.
I found that Eckhardt could have improved his conclusion a little since time is involved. I do his "rights" as vectors simply because of the power of magnitude and direction over just a scalor of magnitude. It also takes a reference to create a vector. the sufficient condition for this is, majically, two bars.
This can't be done by surfer, by cash, by NONO, or by hypo because they make the choice to not do it or probably not even think along these lines.
What if you log with strokes the "rights" of vectors with regard to "what you See". You could even start, here is the punch line, with all the possible combinations of the P and V over t (the source of two bars with its passing).
By doing this you start with what women used to call "the equal rights ammendment" to eckhardt's approach. That is how Eckhardt started as he went from school to school in the those midwestern communities.
Give all the vector combinations an equal shot at the opportunity to get your undivided attention. This is TA as it is done to obtain TA by working with reality. You are examining the market, its potential and what the market is TELLING YOU about how it works.
I am writing ( meaning my dragon 9.0 and an olympus digital recorder) about 1400 of these squibs on how the market works as it is viewed (monitored) to let people know how to squeeze ticks out of every market condition. (mind building)
What a person does, is spend about 50 years getting it down by making stokes on sheets of paper and then taking the statisitically significant results and using them in sport memory to trade without even using the left or right brain. These two parts are used after hours to get your sports memory in gear.
I probably should show blowfish's example of testing support for you step by step. I should go as far as setting up the sheets and how to annotate them for a few weeks to be able to code up the software for automating it to use it to front run those quant post doctoral guys.
This may give some of you the reasons why the people I mentioned find intraday trading at multiple H-L levels to be "UNBELIEBABLE" As it is said: "they just haven't done the work" and they are using the worong tools and parts of their minds. It is never going to happen for any of these people.
The reasons are: that they made the wrong choices and that now their minds are built improperly and that past building is not reversable. Minds that get built wrong last a life time. It is very difficult to build around the crap in a person's mind. You can see how it is processed by these mistaken people. They are processing my words as monkey gibberish. I am processing their commentary as a display of what comes out of minds that are, irreversably, in a state that makes making the kind of money I make as "unbelievable".
Check it out Take a chart and a crayon. Draw crude crayola lines on the chart from move to move of price. Take a string and use it to add the crayola line segments. Make another string that goes from top to bottom of the range. Cut the string you first made into segments that are equal to the range segment string. Do you have three segments or more? Glue the strings on a sheet of paper and have a second grader take it to show and tell. Ask the child what the other kids said in class. Frame the strings and the show and tell comments.
It is not "unbelievable" to people whose brains are not fried. It can become believable by putting the work into getting how the market works undertood if it is not too late in the mental growth of the mind.
