Top of the eve to my fellow technicians.. I have stumbled upon this indicator (ASC trend indicator) in the moneytec metatrader forum and have found that it may be of some confirming use to my discretionary trading.. the problem is i abhor using anything until i understand the mechanics behind it. I have done a google search which has turned up nothing and am hoping some of the more experienced traders can shed some light on its calculation. A document of any sorts would be greatly appreaciated. Thank you in advance for any information! Kind regards, Pound Sterling The *Western* Canadian counterpart.
ASCTrend is based on work done by Larry Williams. From what I read, the base for asctrend system is Williams PercentR indicator. For example, you may color the bars as in ASCTrend this way: if 9 period percentR>70 color is blue, if 9 period percentR<30 color is red. This is ASCTrend1 indicator. Other indicators are a little different. From my observations (both visual and tested), eAscTrend is based on a rather simple system using only a few indicators. These include: Parabolic SAR, DMI+/-, and ADX. If you plot the %R, ADM/DMI/ Parabolic on a chart and compare the signals to the ASCTrend application, you will find things are very similiar. -Tony
I have extensively investigated AND backtested (mechanically !!!) it and once posted here a link to a website where independent results were published. It used to work in the big bull run 1990 - 1998 but I feel that since then it has gone downhill. Testing three years ago showed horrendous drawdowns. Since then the markets have had their ranges reduced due to autospreaders etc. and I am sure the results would be even worse now. The vendor used to have a messageboard and that has disappeared. A lot of information has disappeared by replacing the orginal indicators with the dots. But they did not want you to know what is underlying. Some of the signals (e.g. #2 stop) are at times plain wrong and one of the posters on the vendors message board regarded those as the most valuable item. Hope this helps.
The indicators are proprietary. I met a guy that was using the version for TS, and he said that you can't open them and see the logic. That was almost 2 yrs ago. Don't know if things have changed now, but I doubt it.
I have to agree with this summary. I understand it is not much different from things that are freely available. Is it as sketchy as Wizetrade? I don't think that's possible.