Thank youI appreciate the connection to the Fibonacci series, the Golden Ratio, and the logic of natural proportions.
Analysis and Trading based on Envelopes, Waves, Cycles
- #204
- Edited 5:34am Nov 12, 2017 5:16am | Edited 5:34am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
- #205
- Nov 12, 2017 5:20am Nov 12, 2017 5:20am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
By suppressing Price Movement 
and even some Envelopes , you can have a better synthetic view of :
- Price Action
- Waves
- Cycles
- Harmonic Patterns
- M and W patterns
and even some Envelopes , you can have a better synthetic view of :- Price Action
- Waves
- Cycles
- Harmonic Patterns
- M and W patterns
- #206
- Nov 12, 2017 5:24am Nov 12, 2017 5:24am
- Joined Nov 2008 | Status: Trader | 3,270 Posts
parisboy, thank you for kindly and generously sharing your knowledge Much appreciated.
Much appreciated.
- #207
- Nov 12, 2017 5:27am Nov 12, 2017 5:27am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
Medici as it seems you focused on Fibonacci you can notice that :
in a Downtrend in term of Time Units
Sum of Down price movements (Waves) ratio tend to 0,618 and Uptrend price movements (Waves) tend to 0,382 !
so you can check if you are late or in advance
you can even open a "saving account"
in a Downtrend in term of Time Units
Sum of Down price movements (Waves) ratio tend to 0,618 and Uptrend price movements (Waves) tend to 0,382 !
so you can check if you are late or in advance
you can even open a "saving account"
- #208
- Edited 5:48am Nov 12, 2017 5:32am | Edited 5:48am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
- #209
- Nov 12, 2017 5:41am Nov 12, 2017 5:41am
- Joined Feb 2014 | Status: ember | 1,268 Posts
Here's an interesting and useful article by a mathematician on the topic of exact numbers (such as 1.6180339887...) versus what actually appears in nature: https://opinionator.blogs.nytimes.co...rtion-control/
On the other hand, I personally think Fibonacci is overrated (more strictly, I think that the calculation of s/r using Fibonacci as it is commonly used is incorrect).
On the third hand, Gann’s Square of nine cannot possibly work (if one imagines the price in different units, the whole thing doesn’t scale right), and yet the bloody thing works.
The world is a weirder place than one thinks.
Cheers,
k
- #210
- Edited 6:11am Nov 12, 2017 5:52am | Edited 6:11am
- Joined Nov 2008 | Status: Trader | 3,270 Posts
{quote} There exist natural effects where there is an observable difference of behavior if some parameters assume irrational values vs. their rational approximates. On the other hand, I personally think Fibonacci is overrated (more strictly, I think that the calculation of s/r using Fibonacci as it is commonly used is incorrect). On the third hand, Gann’s Square of nine cannot possibly work (if one imagines the price in different units, the whole thing doesn’t scale right),...
Can't comment on the Gann Square, as I haven't studied it, but all else agreed with
Thank you!
- #211
- Nov 12, 2017 6:00am Nov 12, 2017 6:00am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
By the Way the NIKKEI price action follows also a parabolic curve !
- #212
- Nov 12, 2017 6:17am Nov 12, 2017 6:17am
- Joined Nov 2008 | Status: Trader | 3,270 Posts
By the Way the NIKKEI price action follows also a parabolic curve !
- #213
- Edited 7:48am Nov 12, 2017 6:21am | Edited 7:48am
- Joined Nov 2008 | Status: Trader | 3,270 Posts
On a different note, I've explored the Triple Envelopes concept on tick charts, i.e. charts with equal volume per candle/bar. While it works well, it doesn't seem to be representing the relationship between time and price well.
In other words, I'm curious about the pros and cons of Hurst analysis when time is measured by the clock versus when measured by trading volume.
As an example, take a look at Friday lunchtime and afternoon in the DAX. The short entry (marked with a vertical red line) presents itself naturally on the 1 minute chart. Meanwhile, the 100 tick per candle chart has compressed the low volume midday hours, and the entry doesn't appear as natural and logical.
Has anyone explored this, or could comment?
Cheers
In other words, I'm curious about the pros and cons of Hurst analysis when time is measured by the clock versus when measured by trading volume.
As an example, take a look at Friday lunchtime and afternoon in the DAX. The short entry (marked with a vertical red line) presents itself naturally on the 1 minute chart. Meanwhile, the 100 tick per candle chart has compressed the low volume midday hours, and the entry doesn't appear as natural and logical.
Has anyone explored this, or could comment?
Cheers
