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Kelowkie Sep 15, 2018 1:12am | Post# 1461

About RI.

Kelowkie Sep 16, 2018 11:32am | Post# 1462

End result = 0.5 instead of 0.625

Is it correct?

mzvega Sep 16, 2018 11:43am | Post# 1463

End result = 0.5 instead of 0.625 Is it correct?
The whole process........is not correct........

Kelowkie Sep 16, 2018 11:48am | Post# 1464

I am working on it. I forget to normalize my end result.

mzvega Sep 16, 2018 11:53am | Post# 1465

I am working on it. I forget to normalize my end result.
The process before normalization is wrong......normalizing your result won't make it correct......

Kelowkie Sep 16, 2018 1:51pm | Post# 1466

1 Attachment(s)
This should read as T1 and T2 then it would made sense.
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mzvega Sep 16, 2018 3:22pm | Post# 1467

This should read as T1 and T2 then it would made sense. {image}
Not if you followed the instructions.....what you posted is a description of a result (an example), not the calculation used to get to that result . what you posted are the results of RI.......not an instruction to calculate it.........

{quote} What question? I gave you the answer........ Post the first 2 paragraphs of the instructions..........So we can both see the first step and make sure you understand what it says/means
I get ..............Crickets

{quote} By "Better Way"........ do you mean following the actual instructions? There is only one way...... I can take one look at your spreadsheet and tell you haven't followed the instructions or you don't understand them at all.......... Your spreadsheet tells me you don't understand the first 2 paragraphs of the instructions. Excel is not your problem........it's your understanding............ I asked you to post/type the first 2 paragraphs (it's only 4 sentences) of the instructions..... I can't help you until you do............
I get .............Crickets

mzvega Sep 17, 2018 12:04pm | Post# 1468

One last offer……..anyone?
Is there anyone else, interested in understanding how RI/QC is calculated who needs help understanding each step? I can't go over each step with you people, if you won't post the instructions your using ………

How do you know if you are following the instructions correctly, if you refuse to post them………

Is anyone willing to post the first 4 sentences of the instructions?

My offer to help will expire in the very near future………

Kelowkie Sep 17, 2018 2:04pm | Post# 1469

1 Attachment(s)
Mzvega, before i post the first 4 sentences, here is my new findings. Is my end result correct?

Kind regards
Elroy
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sinqua Sep 17, 2018 3:37pm | Post# 1470

One last offer……..anyone? Is there anyone else, interested in understanding how RI/QC is calculated who needs help understanding each step? I can't go over each step with you people, if you won't post the instructions your using ……… How do you know if you are following the instructions correctly, if you refuse to post them……… Is anyone willing to post the first 4 sentences of the instructions? My offer to help will expire in the very near future………
Here's what I got

RI
"""
First, divide the total
price range into as many divisions as desired and, for simplicity, divide the time period covered into the
same number of divisions. In Figure 3, we've arbitrarily used four price and time segments.
Q4 is the price range of the lowest quadrant, Q3 is the next higher price range, and so on...
"""

mzvega Sep 17, 2018 3:49pm | Post# 1471

{quote} Here's what I got RI """ First, divide the total price range into as many divisions as desired and, for simplicity, divide the time period covered into the same number of divisions. In Figure 3, we've arbitrarily used four price and time segments. Q4 is the price range of the lowest quadrant, Q3 is the next higher price range, and so on... """
What does the sentence before that say?

urusit Sep 18, 2018 3:08am | Post# 1472

The rotation index is calculated from a price-time matrix???

mzvega Sep 18, 2018 11:15am | Post# 1473

The rotation index is calculated from a price-time matrix???


Finally, some context!........now that everyone knows RI is calculated from a "price-time matrix"......who's going to tell us what a matrix (matrix table) is. You can't calculate RI from a price-time matrix.....if you don't know what the definition of "matrix" is......

urusit Sep 18, 2018 11:20am | Post# 1474

2 Attachment(s)
In mathematics, a matrix is a two-dimensional arrangement of numbers. Since both the sum and the product of matrices can be defined, they are more generally said to be elements of a ring. A matrix is represented by a capital letter (A, B ..) and its elements with the same letter in lowercase (a, b ...), with a double subscript where the first indicates the row and the second the column to which it belongs.



Kelo, find the fuction lookup in excel.


Thanks, for many, many lessons in this thread.
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mzvega Sep 18, 2018 11:50am | Post# 1475

In mathematics, a matrix is a two-dimensional arrangement of numbers. Since both the sum and the product of matrices can be defined, they are more generally said to be elements of a ring. A matrix is represented by a capital letter (A, B ..) and its elements with the same letter in lowercase (a, b ...), with a double subscript where the first indicates the row and the second the column to which it belongs. Kelo, find the fuction lookup in excel. Thanks, for many, many lessons in this thread. {image} {image}
You nailed it!
might I point out a small correction
flip the matrix (Q's for rows, and T's for columns)

"In this four-by-four example, a raw rotation index is obtained by summing the 1s, then dividing the sum
by 16".............it looks like you are using 12.

urusit Sep 18, 2018 11:59am | Post# 1476

{quote} You nailed it! might I point out a small correction "In this four-by-four example, a raw rotation index is obtained by summing the 1s, then dividing the sum by 16".............you are using 12.
I divided it by 12, in the equation it puts it that way, I understand that 16 would be the total of the matrix.


The rotation index/Quadrant Close , is calculated using data from the 4 and 8 profile. Since the 5d profile is consider to be the short tf. So the RI calculation using 4d will tell us if we have internal trending or rotation inside the 5d profile. The 8d is used for same way for the larger tf (10d+).

The RI is calculated from a "price time matrix". Price and time are both divided into quads. For each time period, you add a 1 to each quad, that price trades in for that period.

The raw index is found by summing the 1s for each case, giving 4, 4, and 16. But we would like to have an index that is zero for perfect trend and 1 for perfect rotation. we can get this by normalizing with the equation:

RI = (RRI - 4) /12

where RRI is the raw rotation index from summing the 1's.
A RI above 0.6 describes a market in rotation and below 0.6 indicates internal trending, with more trending the smaller the RI becomes.


thanks

Kelowkie Sep 18, 2018 12:25pm | Post# 1477

In mathematics, a matrix is a two-dimensional arrangement of numbers. Since both the sum and the product of matrices can be defined, they are more generally said to be elements of a ring. A matrix is represented by a capital letter (A, B ..) and its elements with the same letter in lowercase (a, b ...), with a double subscript where the first indicates the row and the second the column to which it belongs. Kelo, find the fuction lookup in excel. Thanks, for many, many lessons in this thread. {image} {image}
Hi urusit

Many thanks. I will get to work immediately.

Kind regards
Elroy

dispersion Sep 18, 2018 1:05pm | Post# 1478

Mzvega, before i post the first 4 sentences, here is my new findings. Is my end result correct? Kind regards Elroy {image}
Good job, similar results in my excel lists, I guess two similar calculations point to the right solution

mzvega Sep 18, 2018 1:29pm | Post# 1479

2 Attachment(s)
{quote} I divided it by 12, in the equation it puts it that way, I understand that 16 would be the total of the matrix. The rotation index/Quadrant Close , is calculated using data from the 4 and 8 profile. Since the 5d profile is consider to be the short tf. So the RI calculation using 4d will tell us if we have internal trending or rotation inside the 5d profile. The 8d is used for same way for the larger tf (10d+). The RI is calculated from a "price time matrix". Price and time are both divided into quads. For each time period, you add a 1 to...
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the more detailed version.......
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a Raw Rotation Index (RRI) is obtained by summing the 1s, then dividing the sum by 16)

Both show different ways to "normalize" the same RRI result.......
But the RRI is obtained the same way by summing the 1s, then dividing the sum by 16, in both cases

RRI = Raw Rotation index (is obtained by summing the 1s, then dividing the sum by 16)

RI = RRI (Raw Rotation index) -4 )/12
RI = (RRI (sum/16))-4/12

{quote} I divided it by 12, in the equation it puts it that way, I understand that 16 would be the total of the matrix. The rotation index/Quadrant Close , is calculated using data from the 4 and 8 profile. Since the 5d profile is consider to be the short tf. So the RI calculation using 4d will tell us if we have internal trending or rotation inside the 5d profile. The 8d is used for same way for the larger tf (10d+). The RI is calculated from a "price time matrix". Price and time are both divided into quads. For each time period, you add a 1 to...
Just for clarity RI doesn't = sum/12

urusit Sep 18, 2018 1:59pm | Post# 1480

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Corregido.

Thanks
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