In Sierra Charts I can find only two things a-Chaikin: Money Flow-Chaikin Volatility-Chaikin Is either one of these the "Chaikin Oscillator"? A. If so, each has only one number in its input "10" How do I input "3 for Fast and 10 for slow" B. If Sierra cannot give me the "Chaikin Oscillator," is there some other study that it has that will give me the same signals as no_pm_plese is getting? Thank you
No, neither of the above are the Chaikin Oscillator, but you can make the Money flow show just about the same thing. Originally I had it set for 10 with a 2 smoothing, but no pm mentioned he tried it set at 20 and it seemed to be pretty close to what the Oscillator was showing. I've tried both settings and on the 5m chart, the 20 setting is better. On a 1m chart I'm using, the 10 setting is better to show DV. Remember that the Chaikin must have volume info to work, so your data provider needs to be giving you volume for the SP (or ES) to make this work. Hope this helps, jd
The X-wing fighter has sunk, and only the tip of its nose shows above the lake's surface. LUKE: Oh, no. We'll never get it out now. Yoda stamps his foot in irritation. YODA: So certain are you. Always with you it cannot be done. Hear you nothing that I say? Luke looks uncertainly out at the ship. LUKE: Master, moving stones around is one thing. This is totally different. YODA: No! No different! Only different in your mind. You must unlearn what you have learned. LUKE: (focusing, quietly) All right, I'll give it a try. YODA: No! Try not. Do. Or do not. There is no try. Luke closes his eyes and concentrates on thinking the ship out. Slowly, the X-wing's nose begins to rise above the water. It hovers for a moment and then slides back, disappearing once again. LUKE: (panting heavily) I can't. It's too big. YODA: Size matters not. Look at me. Judge me by my size, do you? Hm? Mmmm. Luke shakes his head. YODA: And well you should not. For my ally in the Force. And a powerful ally it is. Life creates it, makes it grow. It's energy surrounds us and binds us. Luminous beings are we...(Yoda pinches Luke's shoulder)...not this crude matter. (a sweeping gesture) You must feel the Force around you. (gesturing) Here, between you...me...the tree...the rock...everywhere! Yes, even between this land and that ship! LUKE: (discouraged) You want the impossible. Quietly Yoda turns toward the X-wing fighter. With his eyes closed and his head bowed, he raises his arm and points at the ship. Soon, the fighter rises above the water and moves forward as Artoo beeps in terror and scoots away. The entire X-wing moves majestically, surely, toward the shore. Yoda stands on a tree root and guides the fighter carefully down toward the beach. Luke stares in astonishment as the fighter settles down onto the shore. He walks toward Yoda. LUKE: I don't...I don't believe it. YODA: That is why you fail. Luke shakes his head, bewildered.
Thanks for the story... because trading allows one to dream of untold riches, it provides a constant source of neophytes... the Star Wars analogy was entertaining, but unfortunately in trading, there is no yoda... there is only reality... as I tell all neophytes with grandiose visions, work out the annualized % implications on compounded capital of any dream... and then trade a few years and see if the reality of one's historical actualized % performance coincides with the papertrading or the dreams and aspirations experienced as a newbie... historical performance figures don't lie... so create your own set of them...
Ive seen alot of dubious people on ET commenting on how wonderful they are, esp a certain one or two im sure you all can think of that seem to hold themselves in such high ranks on any aspect of life that they put themselves on a pedestal for us to bask in their glory, its not boasting, its just the facts they say. Yet they never prove a word they say, only hide behind well thought out comments and witty remarks too combat any doubters. They claim others that are doing well too be fakers, and too prove it, yet they are just as quick to dismiss people who ask them to prove it as apparently they have nothing to prove, even for all their self praise and wonderous achivements that they feel compelled to mention. I wonder sometimes on how they manage to fit in the 30 hours per day too accomplish all that they apparently do, have done, and still too attempt. no_pm has shared a method, a method that he also posts in realtime, he is making no promises bar that this is one of the few that he uses and you are welcome to try it if you like and judge its merits. His journal has been one of the best, the comments (till recently) were always welcome, supportive, and a sharing of knowledge. Lets not take that away. A posting of accounts will never please some, as these too can be faked, even more easily than the posting of a method. If you wish I will post my accounts of how I turned 100 dollars into 10 million in only 2 years.
Indeed-- Both are based on the accumulation/distribution line. To make an A/D line you add (subtract) a portion of the bar's up (down) volume to a running total. It is a weigthed version of on-balance volume (OBV), where the bar's whole volume is added or subtracted. (Add for up bar, subtract for down bar.) The Chaikin Oscillator (CO) is a MACD on the A/D line, while the Money Flow (MF) is the A/D line for the last "x" bars. Thus if the bulls on the loose (more up vol. than down vol) the MF will increase and so will the CO. And so will the A/D line or the OBV for that matter. You could hunt for divergences with any of these. I think what makes no_pm's method great is the combination of the volume divergence together with the ADX filter and price based (bar breakout) entry. Very very nice.
In market conditions like we have had for the last couple months, any anti-trend system will perform rather well. However, in a trending market, this type of system will get hammered. Know your market conditions, then apply the right system. In all actuality, within this thread there has been mentioned two methodologies that would take benefit any trader. 1) Pm's divergence method for trading ranges 2) LBR's 20 ema support method for trending markets Good luck.
BTW, if anyone would like to prove or disprove his claims, program the system in TS 7. Not at all hard. The rules are objective enough to get a good idea of how the system would perform. Maybe someone will start another thread putting together code to program the system.... That would benefit all...
himself or anyone else that's using a software that doesn't have the Chaikin Oscillator, Just remember that the Chaikin Oscillator is measuring the flow of money in and out of the market... It's also a derived from the Accumulation/Distribution indicator. With that said...if you don't have the Chaikin Oscillator in your software... You could use the volume in divergence with the Accumulation/Distribution indicator...a tricky method if you don't understand volume. If you don't want to mess with the Accum/Dist line nor the other substitutes mentioned below...you may have no choice but to switch data providors... However, eSignal has a free trial and you can test this method while your testing eSignal...you can then paper trade the method via a realtime simulator to see if its viable for you... if it is...it may then merit you spending more money on eSignal just to use this method by no_pm_please as it is designed. Something else...volume is a key component of this method and no_pm_please has occassionaly mention volume. Therefore...via using the Accum/Dist indicator with volume will force you to develop volume analysis skills. Thus, if you can't use Chaikin and you decide to use volume...be very careful when getting trade signals during the dead zone...midday blues because volume tends to drop off dramatically and a beginner may get confused into thinking this is a signal of buyers weakening when there were no volume spikes just prior to volume drifting lower... thinking its validating any trade signals. With that said...if you do get a signal during the dead zone...there should be some volume spikes just prior to the volume decline to validate trade signals in the dead zone. Other possible substitues... no_pm_please, mentioned the Money Flow indicator...although the Money Flow tends to moves too fast for the ADX. hit_n_run, also mentioned the CCI indicator...although the CCI produces more false signals than the Chaikin. I'm not saying that the Money Flow and CCI indicator is not a viable substitute. They just didn't fit well with how I trade and may fit well with how you trade. Also...remember... no_pm_please, is using some discretion with this divergence method. For example...when its a FED day...he only takes trade signals if they appear in the first 2 1/2 hours of trading. He's also admitted taking some divergence trade setups that wasn't clear. Therefore, this is another example of not a method that's better than any other divergence method... its an example of a good trader that has a trading plan from entry to exit. Note: This is a good divergence method...as good as many others that uses divergence with trend exhaustion signals. My point is this... no_pm_please understands the strengths and weakness of his strategy when many traders don't or will soon find out when they apply it... he knows when to ignore signals and when to take signals when divergence isn't clear. Thus, its safe to assume that if the market is strongly trending... he'll be on the sidelines or spending more time with his band until better trading conditions for his method... instead of getting losses via trying to apply it in an environment not suitable for the method. Reason why many traders will be a little confused when they get different results when using the same trade setup because of the subjectivity between each traders methodology. Last of all...plop thought this method can only be applied to SP... it can also be applied to ES or NQ or ND. NihabaAshi