Analysis and Trading based on Envelopes, Waves, Cycles
That doesnt seem to be the case though....... Just sharing a chart below.
At point A the MA 32 was at INR 10,691. Projected FP was point B (where it went eventually) which was INR 10,715. The time from point A to point B was about 7 bars of 15 min each. Price at the time of computation was at point C which was ~ INR 10685.
Your proposed calculation was that to move from A to B (projected FP) the MA 32 had to move 10715-10691= 24 points. So price movement should have been 24 * 32 = INR 768.
IN reality price moved from INR 10685 to (point C) to a peak of INR 10,740 a movement of just INR 55 and MA 32 met its FP (point B). So instead of moving INR 768 it just moved by INR 55 for MA 32 to meet its projected FP. 
At point A the MA 32 was at INR 10,691. Projected FP was point B (where it went eventually) which was INR 10,715. The time from point A to point B was about 7 bars of 15 min each. Price at the time of computation was at point C which was ~ INR 10685.
Your proposed calculation was that to move from A to B (projected FP) the MA 32 had to move 10715-10691= 24 points. So price movement should have been 24 * 32 = INR 768.
IN reality price moved from INR 10685 to (point C) to a peak of INR 10,740 a movement of just INR 55 and MA 32 met its FP (point B). So instead of moving INR 768 it just moved by INR 55 for MA 32 to meet its projected FP.
When MA 32 moved from point A to point B it not just added new data but also deleted data . Hence the difference in sum totals of prices between MA 32 at point B and MA 32 at point A contains this entire movement- the deletion of old data and the addition of new data - see sections marked in yellow. And like I mentioned, the sum total or difference in totals doesnt take us anywhere.
- #11,391
- Oct 17, 2023 3:12am Oct 17, 2023 3:12am
If price moves as per the heavy white arrow, this is where the 3 major CMAs will be. White CMA continuing straight, Pink CMA turning up and aqua CMA continuing along centre of channel.
I find this useful re the pink CMA as it shows the move required for a CMA direction change. 
I find this useful re the pink CMA as it shows the move required for a CMA direction change.
- #11,395
- Edited 4:36am Oct 17, 2023 4:19am | Edited 4:36am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
- #11,399
- Oct 18, 2023 12:13am Oct 18, 2023 12:13am
Thank you FXEZ for your post. What surprizes me is the simple behavior of numbers- whether considered as an average of prices or underlying prices themselves - see example below. I had no idea numbers move in the manner below:
