Do Trendlines work?

Discussion in 'Technical Analysis' started by duard, Apr 3, 2005.

  1. I've suggested that you cannot forget 'the other stuff' because you already know it. The entire journey traveled thus far represented a quest to 'learn' the pieces of the puzzle. You've learned them, and learned them well. Now, all that remains is taking the pieces and putting them together - continuation or change. In other words, can you send a 'hold' order to your broker? :D

    - Spydertrader
     
    #1531     Apr 21, 2008
  2. I've attached a picture of a catenary (from Wikpedia). This graph can be depicted as a sum of exponentials. It describes the position of a weighted chain [a = f(weight)] hanging from two points of identical height.

    If the pace distribution is in the form of a catenary, then it must be a "semi-catenary" unless we wish to give a sign to the volume which composes each pace category (up = +, down = -). Yea? Nay?

    lj
     
    #1532     Apr 21, 2008
  3. My point was not to do with the exactitude of the volume construction but rather to do with the fact that, for me at least, I don't know what volume proxy I would be constructing from the price.

    lj
     
    #1533     Apr 21, 2008
  4. Start with something far less complicated. Which mode causes the trader to act?

    You aren't constructing a proxy. You're constructing a Volume Pane. Add context, and everything needed for mode determination exists.

    - Spydertrader
     
    #1534     Apr 21, 2008
  5. lj
     
    #1535     Apr 21, 2008
  6. No. Not - whatever. The construct isn't a proxy - period. Again, everything needed, you already know. Pull up a few charts (one's with Volume), and note what constitutes change - on the same fractal. The answer you seek resides right in front of you.

    - Spydertrader
     
    #1536     Apr 21, 2008
  7. I should have placed a hyphen in between proxy and whatever. Less confusing. If there is something more to this than the Jokari, then I'm flummoxed, in a dither as 'twer'.

    Luckily, I know just the person to help me out of this quandry and after PM'ing him and getting this matter clarified, I'm going to tell him to come and visit you in your dreams tonight (because he can do stuff like that) and repeat again and again and again, the phrase (see attachment).

    lj
     
    #1537     Apr 21, 2008
  8. We use The Jokari Window to learn. You've progressed past the 'learning' phase. The time has now come to apply that which you have learned. Think: Differential Diagnosis - but with only two possible disease states. Continuation or change.

    - Spydertrader
     
    #1538     Apr 21, 2008
  9. Right on Spyder. And the four became two became one.

    lj
     
    #1539     Apr 22, 2008
  10. A chart with trendlines.
     
    #1540     Apr 22, 2008