Attached is an annotation that compliments your annotations; they are compatible with each other. You have selected a timeframe and annotated the events on that time frame along with three SMA's that deal with the price pane of the chart. You also use two market periods which are very different from each other in their individual characterisitcs. One period is RTH and the other period is non RTH. My orientation is to use the PEP and its applications to one set of market criteria only for a given application. For SCT I would apply it to about 80 markets, one of which would be RTH for the ES. So RTH's abutt one another and the gap between one RTH and the next is removed by making the close + next open. The proof of this is found elsewhere. What is afforded is a carry over from one RTH to the next without any interruption of the interlocking patterns. So you see two patterns completed the first is a short and the second is a long. You annotated the volume on the long: a dominant move followed by a miffle move (non dominant) and then the pattern finishes with a final unannotated (re volume) move. All patterns have two dominant moves separated by a non dominant move. You use a 15 minute time frame; I happen to use a five minute time frame since more profit segments are delineated. As you correctly comment the 15 min time frame has payyertns which exceed intraday trading and are more often designated position or swing trading approaches. The way I see your chart is that it leaves a lot of trades off the table as unobservable. I make them observable for my trading use by beginning with a 5 minute time frame. You will see many others ise faster time frames and do a style of trading that more closely resembles scapling. My goal is to use tooling which allows me to extract the optimum amount of capital from the continuing market's offer. By garnering a set of principles (those posted) which work together in following Science, paradigm theory and logic theory, I attain the best of all worlds by drilling down to the granularity of each market. On the attached you see fairly esily how a multiple of the ATR is achieved during an ATR period. Yo can also see that the volume annotations lead the lagging price EMA annotations.
Dominance is determined by volume. I did not include volume in the chart. There is a direct correspondence of volatility and volume, usually. So when a person looks at the formation of bars, he can look at which portions are of one sentiment or another on a single bar. Here I am hoping to deal with principles and not emphasize the ATS aspects of approaches primarily. as the posting of charts continues, you can see that we are coming into a ballpark that has more and more utility. As any person begins to use science and get moe exacting it appears that the utility of P, V charts becomes greater and greater. Recently the Premium was introduced as a value that exists between the cash market and the insurance market (commodities indexes). Obviously this can be deemed as a leading indicator of price since the offset of the two markets is either greater or less than the premium at any time. Smart money trades ahead of ordinariy money and smart money's activities are easily weeded out from ordinary money by using the Premium. What takes a little time for the learning potential trader to grasp is how to see the markets and how to see the market's continuing offer. For about 90% of learning potential traders this does not happen, ever. The P, V panels of a given time frame chart allow a potential trader to see the relationship of price and volume the variables of the market unless the platform used is too hoked up with this and that. A simple bar can be used to some extent. It works better is the open and close are added as flags. It works even better if the person logs the order of cases that occur as a bar forms. It also helps if this is in a context of dajacent bars so that it is possible tho determine if "trending is going on and how it is happening. Adding PRV shaddow to the volume shifts theattention to a leading indicator approach rather than a lagging indicator approach. Boundaries of the groups of bars also round out how the ball park works. Through scientific thought one gets to understand that only one pattern exists in markets and fractals not only exist but are nested in a rgorous ratio (3:1) of events (and NOT time). Events are the indipendent variable of the market. All of this is counterintuitive relative to CW which is the great leveler creating the mediocracy of the financial industry. I don't expect many people will see the 10 cases nor the pattern , not how paradigm and logic theory dictate the applied required mathematics of markets. It is simply not in the cards for most people to think critically and reason. The deal for extracting the market's continuing offer is to beon the corrct side of the market at all times and take profits segment by segment according to the order of the events of the offering. there is no noise and there are no anomalies. People create the noise and the anomalies they believe they are seeing.
A nice reflection. Your job is to keep logging and run a journal triggered by emotions of fear, anxiety and anger. The second half of the entry is to make a reasonable change in your approach. this iterative refinement chips off sharp edges at first and later on polishes the belief system you develop. By adding those two flags (open and close) you get to see the way bars form and under what changing circumstances the market migrates from one condition to another. It is so very important to make the discovery that the market does not "jump around" but instead is bound by reason to do it by morphing from one status to another. I have a friend who is a violinist and he "fiddles" I always admire the talc here and there and how a few horsehairs go off on thier own. All the microscopic grabbing of strings and giving them shot of energy makes "music" where nothing is just jumping around no matter what the metronome would say and no matter what the sheet music would say. A melody is in our minds because we have memory. The melody of markets "plays" and we "anticipate" that the order of events is working. Trading is a melding of principles into a stream of event behavior; As expert traders we have fully differentiated minds that summon the one to one corrospondence of what is sensed with that specific inference which applies. The fact tha a day's trading is 10 to 12 pages of logs is simply the score written by the market for the day. It the old days, occasionally, I would give traderzones a run of up to the next 20 trades of the next day and associate the times when major happenings would peel out of the bell tower. You post is a tsory of your mind at work. you have many pieces; you are forming them into chess pieces that you can use according to the principles of succeeding at chess and a finite mathematics game composed from a given granularity. Carve and sand and polish. Add utility to the players. Make all the pieces work together to form the whole. Do not put paper slips with words on them and attach them to the chess pieces. you have translation as X red or X black; these can flow one after another or yellow boxes can let two bars form into one bar everyonce in a while. Boundaries get shaped by these elonagations and pauses and they serve to form profit segments of the pattern. To speak brutally, use TN with all the libray tools or use another platform and add the snippets to make that platform perform to your liking. Go first class where all costs of trading are neglibible. Swing over to the dominant only trading on the cycle 1. then with all those nodes covered by extensive 3x5 cards, slip to cycle 2 and add non dominant trading. then in cycle 3 add trading long and hort patterns using both the dominant and non dominant aspects of cycles 1 and 2 repsectively. I you want to pop ahead grab the Stratech/Squeeze tooling after you do all five cycles on both ES and in cycle 6 use YM as a leading indicator of ES. After that tool up with OTR charts for both YM and ES. by using cycles 1 through 5 on each of those charts. after while thow in the DOM and use the "WALLS" as the preannounced turning points for each extreme value of each and every profit segment. !0 cycles can be integrated so so far past what you think your mind can do at this moment. As Dan Quayle once said: "The mind is such a beautiful thing to waste" Waste your way to riches using the 10 cycles. Two screens with all the panes is like having an orchestral telegraphing you the market's moves in advance. All you do is press the keys on the keyboard or mouse up the icons and watch the gas tank fill up with money. Stay on the correct side of the market always and simply take the offer segment by segment. First you set up your computer to be able to see the market. Image the Stretch /Squeeze is telegraphing you the smart money running ahed of the market. Then imagine the DOM is showing you the wallls where the turns occur as the contracts are eaten down to zero. you press a key or hit T with the mouse. Partial fills zing into your print pane and fill up you profit segment and then begin the next profit segment. You add a contract from profits evry 30 points of profits. the P&L shows 60 days for the first five cycles. you took 5K to 3/4 of a million if you got the pieces of inference in your mind to have it differentiated to match inference to sensing as the day goes by and you log. Logging is a secret remedy and potion tha makes you wirte symbols for happenings in the order of events as they occur. Make a log. Make 12 copies. Find out where you can't fill in the log with a symbol. create the symbol. make the rows of the log read like a music score of what the market offered. Use the mouse to hit T to make money from time to time. "Just Do It" Make messes each day. Then make less messes. Then don't mess around. It like everyone says "I can do this once I figure out how to avoid doing the work to become expert."
Ok,i got it.Thanks Jack, what about another part of the PEP - PVT? It`s interesting either.Where one should start to examine from?If you don`t mind.
Ah yes see that baby. Look at those three bars ther and how the P tells you it is a PEAK. PEAK is calculate as a three bar acceleration. The change in bar 2 is compared to bar 1 (top to top) on volume. Then top to top value of bar 2 to bar 3 on volume is even greater. Then you have a PEAK. At the PEAK you hit T to reverse and lock in the profit segment. Behold the reversal begins to make money going south since @ the peak the sentiment changed. Your platform is NOT automatically doing yellow boxes. Is it shy or uncomfortable with the color yellow? One solution: throw your computer out a window and go buy another one that has an automated yellow box maker built into it.
That is where people usually start. There are about five nice documents that show examples of people doing it to make money. Elsewhere in ET you can find the current locations of the archiving. A neat one is "putting the pieces together" and another is called "building minds for building wealth" All documants have videos as well. they ae Camtasias. There is a 200 page list of automation tools we use as well. Google tikitradrer, he is posting references on one of the threads, thank goodness. Over on Trader's Laboratory there is a whole collection of organized references under a TA topic or forum run by Spydertrader. Many many years ago we went through posting prints and records; there wasn't an ET then as I remember. when email was invented there was a huge network of mailers who forwarded four emails a day from me during the first 1 1/2 hours of trading. raging bull was alo a site where we posted trading symbol by symbol. there you can see some days when I did over 30 calls on givienstocks I was asked to profile. there were several milliondollar plau days set on the record there but that was long ago. At one time I posted on the Worden Bros Staff site. If you google me you can find some really terrific totally unfounded negative commentary but quite a few sappy uninformed people. I have had two aliases here: Bubba7 and Grob109.
================ OutScience; Agree math... can be precisely predicted, Trading can be precisely predicted,?? not really Some of the new math cant even be precisely predicted; but as your post stated the math [old math] can].LOL
Quote from Parlay: He is now 9% under water since his latest and greatest "call" of a market top in early November. I`d rather be 9% underwater at 77, then 100% underground