The Divinity Method

Good day ;-)

I wish to discuss with you my findings around a number that is as old as time itself...

The number 108 is probably the most universally sound and perfect number in existence.

http://en.wikipedia.org/wiki/108_%28number%29

There is a certain amount of interesting volatility around the 108 Weighted Moving Average (LWMA) that I want to draw your attention to...

I have created two video's which show this volatility practically and how one can apply it in a trading strategy.

I would appreciate your comment and views on this observation.

[http://www.youtube.com/user/Jalarupa?feature=mhum]

The first video is an introduction to the observation

- Observing Divinity in FX Markets

The second, newer video is a follow up video on how one can see and apply this observation to their trading strategy.

- Weekly Report Analysis

Both these video's were entered into a competition and I have yet to get feedback from the organisers of the competition. However I would appreciate your comment and questions around this method...

- Essentially we are looking for whether or not price closed above or below a line on a given time frame... you can use a multi time frame moving averages indicator to increase your visibility of this observation (I believe there is one such indicator located on Forex factory)

Your charts can essentially look like this...

http://img860.imageshack.us/img860/5...1109125769.jpg

Notice the rejection and confirmation of the price action to the lines...

For more in depth info... you can watch the video's, I assure you they will inform and entertain as well.

Have a great Easter weekend.

Jal

I find "69" better than any other number.

Well said

66 and 99 can be popular too

Only at fullmoon , if not then reading in bones of slaughtered lambs is far more profitable and of course dont forget to praise jesus in every secound post , cos we all know how much jesus liked the currency traders

Money is evil. It's the devil's side that you want with a 666wma.

I honestly do not understand why you would use sarcasm as a means to discredit something that is actually happening...?

Why are you threatened by this information...?

When someone mentions the words Divine... the atheist is the first to always attack... Its so sad that we can't engage in intellectual conversation on this subject matter...

It seems I have cast pearls before swine...

Okay run along then little piglets ;-)

[edit]
Maybe if you even bothered to do due diligence to this method. By watching the introductory video, you would see its a lot more scientific than super natural... These levels are being rejected and I challenge you big big posters out there to prove me wrong... (in real time, meaning if you could have scalped it, then its not wrong)... you'll see ;-)

I'm new here, and at forex, and this is my first post. I just wanted to let the initiator of the thread know I read with interest, and was surprised by the posts which followed.

In fact, I went to the trouble to register just to write to say so.

Your audience is skeptical...and rightly so. Your observations are valid, however the exact same observation can easily be made for ANY given moving average length. Sooner or later price will interact with any MA.

The fact that you apply a religious undertone only adds "fuel to the fire" of skepticism. A number is just that...a number. Nothing more, nothing less. The fact that you give it meaning by referring to it as "perfect" or "universally sound" is what many here are making light of. Its not an insult, its just harmless kidding. What these people are demonstrating is that there are many other number that also carry meaning...meaning that they or others have applied, but as with your "perfect" number there is nothing significant about it.

I would add that the market as a whole cares very little for any number or line that you place on your chart. If this MA helps you to be a better trader, congratulations! I applaud your willingness to share your insights with others and perhaps stimulate a dialog. However, perhaps approach things as you should approach the markets, with a neutral stand point with pure observations and leave the religious references aside.

Unless you are Goldman Sachs, or George Soros, I doubt seriously there is any "divine" about your number but have noted that the market does indeed interact along this line. However why don't YOU try the same experiment with any of the Fibonacci numbers. You will see similar results...I personally use 8,21,& 55. Not that Fibonacci is divine, it just seems to work for ME.

Don't get your panties in a bunch DUDE!

No kidding. Consider this seriously.

I have been working on few technical methods for last several years. A dude offered to put one million asking me to trade for him. What happened next! I seriously started thinking about turning to a fundy and a long term trader. This is the reality of all such so called methods. They are good only to make or lose few bucks for fun.

ps - refused the deal.

Oh dear lord.

Let's pump the breaks here real quick, gentlemen...


No disrespect with the whole number thing... I was going to put the number "699" - get it? It's a threesome

Sorry for the sidetracking. In respect of the thread opener, I'll lend the following...

The idea of greater (or higher) relevance surrounding specific MA value settings is illusionary. The only way it wouldn't be is if market's cycled in a mathematically balanced manner. Which they don't - otherwise EAs would be printing everyone money... which they don't.

I guess what I'm trying to say is that the value of 108 is probably as good as any other MA value. There's a school of thought with Fib folks that claim "61.8" is the number that lays the golden eggs. And they use that value for many of their indicator settings. I'm sure it performs just as well as the 108, or 107, or 106, etc. I look at it this way, at some point every number will get a chance to shine... if you catch my drift.

Just my thoughts on it... feel free to explore this topic further of course.

Again, apologies for earlier. Was trying to have some fun, and no disrespect intended.

MM

Except, again, for 69.

Seriously, do whatever works for you. For some people it's a certain period ma. For others it might be another indicator. It doesn't matter as long as it works for you and with the way you want to trade. In any case, thanks for sharing your thoughts.

Hi,

I thank you all for your input, and yes I do agree with the general consensus that any number has relevance (especially the Fibonacci number).

We (myself and a few coder friends) have worked in previous iterations of trying to hone this method with Fibonacci numbers, which we plugged into a dots indicator, which looked for the common phenomenon known as moving average compression - where by you get an alert when a few moving averages converse over and area and what normally follows is a burst of momentum in a particular direction.

May I state that this is an observation, and not a 'holy grail' its just showing that price does react to this line in real time, and I would encourage those that are sceptical to have a look for yourselves... its really uncanny...

The 'religious' connotation was meant to show that the market is really a reflection of mass divine energy... as we are all spirit soul and we (even if it is robot trading) have input into the buy and sell decisions of the market... Strange thing is the gravitation around these lines... I mean from a purely scientific viewpoint this is the distance between the earth and moon and sun in relation to their diameter 108 so surely because it is a natural fundamental occurrence it does and should repeat itself, much like we see in the studies of phenomenon like the golden mean (phi), it compounds on itself and gives way to wondrous fractal geometric shapes which are born out of one seed... This is the market and it has its rules...

I am by no means advocating that one should completely and only use this observation for entering and exiting trades as I mentioned in my first video (for those who have seen it) rather it can be used to confirm or deny already established analysis... This is in fact how I use it...

So yes, you are all correct in what you are saying but then again, so am I... All I am asking is to see what it is that I have presented in my video's and apply it in a live market scenario and see for yourself what happens around those areas... Then come to me and tell me that this is a nonsense theory, and that this number is actually the same as any other.

I thank you for your time and for not taking this at face value. Because it is in our nature to question and reason. Let's continue to do so and see if we can come to some stronger conclusions.

I'm just amazed to find that the number 108 has its own Wikipedia entry. But it isn't the only one. I'm quite fond of 109 now.

Quote:

"109 is a centered triangular number. 109 is the smallest factor of one more than the product of the first twenty-three terms of the Euclid–Mullin sequence, making it the twenty-fourth term.
109 is the smallest number which is palindromic in bases 5 and 9.
The cycle of the decimal equivalent of 1/109 ends ...853211, the first six Fibonacci numbers in reversed order."

But that's nothing compared to 110:

"110 is a sphenic number and a pronic number. Following the prime quadruplet (101, 103, 107, 109), at 110, the Mertens function reaches a low of −5.
110 is the sum of three consecutive squares, 110 = 52 + 62 + 72.
110 is the side of the smallest square that can be tiled with distinct integer-sided squares.
RSA-110 is one of the RSA numbers, large semiprimes that are part of the RSA Factoring Challenge.
The Rule 110 cellular automaton, like Conway's Game of Life, exhibits what Stephen Wolfram calls "Class 4 behavior," which is neither completely random nor completely repetitive."

But most importantly, "It is also known as "eleventy", a term made famous by linguist and author J. R. R. Tolkien (Bilbo Baggins celebrates his eleventy-first birthday at the beginning of The Lord of the Rings) and derived from the Old English hund endleofantig."

Who would have thunk it? Worth a try on the charts, anyway

(Please don't ban me for having a bit of fun...!)

Yes, that's very fun bob...

Why not drop it into a chart and lets have a look at what you see...?

I don't mind you poking fun, but at least try and be a little constructive in your posts...

Open a plain MT4 chart, put on a Fib Fan.

The closest Fib numbers to 108 are 144 and 89.

Since 144-89=55,
55/89=~.618 and 55/144=~.318 (both Fib %'s),

I decided to try
144-108=36, which gives 36/144=.25,
and 108-89=19, which gives 19/89=.213, in the Fib Fan.
I also included 1-((.25+.213)/2)=.768, to balance the other two #s.

What I did was to align the balancing .768 with the prevailing trend after the next pivot, while placing the device's initial anchor point at a significant turn and the leading anchor point at the next pivot. Sometimes I may instead place the balancing line opposite the already-established trend to check for digestion atop that trend, ninety degrees from a strong horizontal trend or at the middle point of two areas angling opposite each other and against the horizontal, and so on.
(Of course, I highlighted the initial adjusted Fib Fan and then held down the 'ctrl' button while carrying the copy of this adjusted Fib Fan to the next locale on the chart, rather than reenter the #'s.)
(Also note that I had to make the Fib Fan's anchor-line extra long to allow enough play in the balancing line to easily and slowly put the balancing line in place.)
I tried to avoid areas where the trend realigned a bunch of times; this doesn't happen too often.

The results I got were very, very good.
Thanks for the idea.

There will be two sides to coin....why do are you surrendering to discourage.....go ahead and explain your method.....all great inventions were ridiculed in the beginning....

It's okay, when you set that number for your base decision, because actually all human being will find a "reason" to do something. As long as you have good money management & practice, that logical base of your decision will evolve when you find yourself in the wrong direction.

In the end, human brain will eventually adapt to the environment, that number will begin less important when your brain start to feel the market wave in it's own (some call it intuition). Actually what we need is basic understanding about market & logical base for decision making, doesn't matter what system we use, Ma crossover, VSA, fibo, elliot wave, S&D, order flow, etc. What matter most is how we can survive while we're learning to adapt to the market movement & understands its move.

Practicing, glancing chart, placing horizontal line pretending I'm executing order, then do some demo account before I'm going live. That's helping me alot to "feel" the market impulse & wave. How much hours we're practicing is substantial, we're not counting by days or years, but we need to count hours. Because 5 years experience of trading with only 2 hours per day activity, is quite different from 2 years experience from 8 or more hours per day activity.

I was curious enough to plot the ma on the 5m chart... does price respect it? not always but more often than not.. will i pay attention to it in the future? sure.