Another method for measuring exhaustion

[moreagr]

after reading many books and articals on trading I have came across and interesting type of idea that most trading related material dones not utilize.

G1 method of measuring OS or OB conditions are a great tool to enter and exit with less risk.

I cannot code for the life of me. have not tapped into QV yet.

anyway I would like to code an indicator using bar direction and a complmentary indicator with the MACCI

I would like to perform a bar count on candles or OHLC bars and use an alphabetical letter if the bars are lower or higher. This could be done on multiple time frames to and it does not appear very difficult yet it could be very powerful allowing us to enter with much less risk completmeting MACCI and other analysis. This type of work had been done before but with using numbers instead. that method I believe is copyrighted so I dont think that is a wise thing to copy. I would like to ask if a programming competant member or mebers help. I would like to look into this type of analysis in tradestation. I have searched to find this study but could not find it anywhere on TS forum or on the internet.

i will explian the method further if I could get some interest in building this type of study.

I have tried to learn EL but have not been able to as of yet beside and SMA LOL I tend to have a speedy mind that cant focus on programming type work known as ADHD which has provided benefits to me as a trader at times but disadvantages at other times.

let me know if anyoen is interested in pursuing this torm af analysis.

 

[moreagr]

the basis of this type of study is to measure the closing bar postion relative to the number of bars in the past be it 2 bars ago to 10 bars I would use something closer to 2-5 bars in the past.

for example if currnet bar is lower then bar 3 periods ago place numeric or alphabetic indication op indicator pane or under the bar after it closes. this is done over and over indentifying exhuastion limit complimenting MACCI

I would suggest using letters or numbers but #'s have been used before.

ABCDEFG etc measuring the direction of the move. the lettter could be used on all time frames.

 

[Blu-Ray]

I'll have a go at coding something up for you if you want.

Do me a favour and post some screenshots of what it is you're after, as a picture tells a thousand words.

Cheers

Andy

 

[moreagr]

Hi blu-ray


http://stephenvita.typepad.com/photos/uncategorized/2008/03/13/weekcrb.jpg

I would be nice to have a box around it to if you can do that. I will lay out the setups later today.

I appreciatte your interest in this

 

[moreagr]

here is some information on the setups and countdown phases of the techique.. I am not promoting these sites jsut found the information helpful and interesting.


DeMark TD Sequential: An Overview and Brief Tutorial

T.Demark Theory: Sequential

 

[moreagr]

the canned indicators that he has use to be in TS but its now only offered in CQG and bloomberg platforms.. these 2 programms are very expensive. IMHO

I wanted to creat an guppy version of these

 

[dcraig1]

Do you have any evidence that this squential thing works ?

A couple of years ago, I had a go at backtesting it and couldn't find any edge. My test method was to scan all US stocks and look for any winning bias over periods varying from 2 to 20 days on daily data. I didn't find any.

I remain skeptical but would be interested to see any hard evidence to the contrary.

 

[moreagr]

Hi dcraig,

It may not back test the best but if you try out the countdown as well it may prove to be a better result.

it may work on the indexes better but it gives you a heads up on a reversal setup to compliment another indicator that measures OS OB situations.

the thing that i like about this is it does not take advanced times series and econometric analysis to utilize it.

you should try lower time levels 1 5 10 and 30 to see if it works better... I have not back tested it but it looks like it could help us identify turning points or at least keep risk to a min.

 

[moreagr]

Template 91 - rin TD

 

[Blu-Ray]

I've just got back to my computer today, so I'll take a look at it after hours.

Cheers

Andy

 

[moreagr]

thanks Andy!

 

[Blu-Ray]

I've coded up the "Setup" version so far, as per the template you posted, give this a try and see if it's what you're looking for.

I've coded it up to go as far as 15 bars in a setup, but it will start painting the number magenta from bar 8 onwards if conditions meets the " Perfection Setup".

Let me know what you think.

Hope this helps

Andy

 

[moreagr]

Andy,

thank you so much!

I hope it wasnt to difficult for you to code.

I hope it will help you profit