DislikedThis is a Top/BottomFinder by Paul Levine. The Top/Bottom Finder is based on Levine's belief that each trend has a fixed amount of "fuel" (cumulative volume) and as the trend develops it will follow the curve of the Top/Bottom Finder plot. When the "fuel" is consumed then the trend is over and prices will likely move to the Midas curve. {image} At the beginning of the move a set amount of volume is allocated. As the minor trend progresses it consumes that volume, and the line changes in colour progressing through the colours of the rainbow. When...Ignored
Analysis and Trading based on Envelopes, Waves, Cycles
- #14,024
- Edited 2:56am Nov 28, 2024 2:38am | Edited 2:56am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
Milking the Valid Trend Line (VTL) Concept :
A) As long as the VTL 128 (white) is not broken on the Upside, Price Trend is bearish
B) When Price Motion will break VTL 128 on the Upside , this will generate a Candidate Bullish Action Signal
C) When Price Motion will break VTL 128 on the Upside , this will mean that the CMA of higher degree (CMA 256, yellow) has turned Up, then made its Low
A) As long as the VTL 128 (white) is not broken on the Upside, Price Trend is bearish
B) When Price Motion will break VTL 128 on the Upside , this will generate a Candidate Bullish Action Signal
C) When Price Motion will break VTL 128 on the Upside , this will mean that the CMA of higher degree (CMA 256, yellow) has turned Up, then made its Low
- #14,025
- Nov 28, 2024 2:55am Nov 28, 2024 2:55am
Take note of the small dots located on the CMA. (highlighted by the 3 blue arrows). Each cma has its own dot.
These dots show the point from which the cma is being calculated and will move along the cma as each new price bar forms. The price value at that dot will be subtracted from the cma calculation while simulatenously adding the new price of the current bar at the far right of the chart. (this is how all ma's are calculated)
If the price at the dot is less than the new price bar being added the cma will rise and vice versa.
To get a clue about what the cma may do over the next few bars simply look at what the bars just ahead of the dot are doing.
eg - if price just after the dot is rising steeply the new price bars being added must also rise steeply to maintain the steepness of the cma. If the new prices being added do not rise steeply the cma will begin to flatten and may eventually top out. 
These dots show the point from which the cma is being calculated and will move along the cma as each new price bar forms. The price value at that dot will be subtracted from the cma calculation while simulatenously adding the new price of the current bar at the far right of the chart. (this is how all ma's are calculated)
If the price at the dot is less than the new price bar being added the cma will rise and vice versa.
To get a clue about what the cma may do over the next few bars simply look at what the bars just ahead of the dot are doing.
eg - if price just after the dot is rising steeply the new price bars being added must also rise steeply to maintain the steepness of the cma. If the new prices being added do not rise steeply the cma will begin to flatten and may eventually top out.
- #14,036
- Edited 9:09am Nov 28, 2024 4:03am | Edited 9:09am
- Joined Oct 2017 | Status: Trader | 12,472 Posts
