No, Ig0r, there is no holy grail, as you and I well know. Just looking for feedback on how people are using these levels. Doesn't seem to support pivot-level trading any better than traditional pivots, IMO.
I posted a 30 min chart with level 3 and 4 of the ES for the last 5 days. I posted it at the yahoo group below because it's a bit map. It' s not a valid extension for here. I hope some of you will take a look at it and tell me if you think its just random. I can post more if it seems to be more than random touches of the levels. http://groups.yahoo.com/group/stockwatchpro/files/
That is helpful. Just what I wanted to do, join a BS YAHOO GROUP to see your chart. How about you tell us if Camarilla levels are more or less statistically usless than floor pivot points. PS: Can The original illiterate spell EQUATION correctly on the title of this thread!
At least this site seems to be a liar the camarilla was originally created by Kurzencwyg who said he wasn't a trader and years before the other site existed haha ! http://www.ipickedcrash.com/faq.html What is the meaning of "THE CAMARILLA EQUATION"? "We asked Mr. Kurzencwyg the same question but he did not wish to comment. He did say only that the word "Camarilla" is layered in meaning and refers specifically to a clique of men that were unofficial secret advisors to the King of Spain." and not as said "Discovered while day trading in 1989 by Nick Stott, a successful bond trader in the financial markets" Funny how marketing works in the field of trading !
Hey folks: Its Friday night (actually it is Saturday morning) and I am doing some automated searching of Congressional Records as I promised Mr. Ramoutar (I'll tell you about it later). Anyway I wanted to mention some ideas with regard to Camarilla (which I know very little about) and pivots ( a subject I am more comfortable with) as follows: Pivots are artificial "lines in the sand". On any given day, price may or may not "respect" pivot points. If you observe price over a period of consecutive days, you can get a pretty good idea of how price acts when in the area of a pivot. To get an idea of whether or not pivots will work on a given day, I look back to the right starting with 60 minute bars, and moving down to 5 minute bars. What I take note of, is how price acts...Whether it hesitates, moves on through, or fails to take out significant price levels including (previous opens, highs, lows closes. etc). I use the analogy of an 18 hole golf course. Each fairway is different, each green is different. Those of you who have had a chance to watch a good pro practice will see him (or her) pull out a notebook and make notes about the details of each hole. I do the same with each day's price action as it relates to pivots. Now on to specifics: I noticed that when price approaches a pivot or other significant price point, that volume and momentum act together to give the trader a clue as to whether price will move through, consolidate, or just "chop around". Like an athlete jumping over a bar, price has to obtain momentum to move through a pivot. If you look at the way bids and asks speed up you as price moves in the vicinity of a pivot, you can see what I mean. If you don't have access to "time & sales", just look at the range of the bars (I call this the vertical spread). As price moves into proximity of a pivot, you will often see wide range bars which indicate increasing momentum. Once price moves through a pivot with momentum I will use that pivot as a stop. If I have not entered, I take advantage of that pivot to provide a tight stop. If I have a position, I look to add to my position using that pivot as a point where I will sell to close if price fails. I think this is about as simple as I can make it. I hope it is of help to you all. Best Regards, Steve46
The problem of Camarilla is the same problem than with all methods based on pure numerology. I will take last session example (see picture below): SC3 in my notation means Support Camarilla Level 3 (I know cama formula since more than two years now and gave access to it freely a few months ago and said that it was very easy to find cama formula by giving the clue that it was pivot's like formula and that's what some people did ). It was at 10419 and SC4=10362 which is the stop level. Well it worked on that day but on other days it will go to SC4 burst your stop and rallyes or it will go to SC5. And of course you don't know the target either. Now I don't find it useless and combined with my model it can give a quick glance on where to operate optimally. On that day my model expected a bottom on the blue consolidation line down to the extreme limit of bulls and bears that is to say the crossing of the two lines (projection trendline in green and consolidation line in blue) down at 10400 and I know also that sometimes it is truncated by one point before at 10411 which often coïncide with the expectancy of Fib levels on that day 10411 also (see right chart). Since I can hesitate between 10400 and 10411 the 10419 of Cama which is higher can act as a confirmation level. And unlike blind cama followers I won't put a buy limit at 10419 and a stop at 10362 but wait until my 10411 level is touched and then put a buy stop higher on Cama with a tight stop based on my levels and not on SC4 level which is much higher a risk. <IMG SRC=http://www.elitetrader.com/vb/attachment.php?s=&postid=482387>