1) Check last post down the linked page. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=574027> 2) I don't use neither price nor volume SMAs for entries.
What's the watchemecall Jack's method? How does it backtest? In fact a few days ago, Jack himself babbled about 4 different methods. It appears that he himself never did any backtesting at all. According to Jack, some eager beaver adepts are belatedly attempting to dish up some backtested results for method #1. Let's all wait and see and let's stand by to rerun their tests. We might all get rich. Backtesting of methods #2 thru #4 has never been attempted. The only thing I ever recall seeing from Jack some years ago, was some non-identified IB trading statement. Some people at ET remarked that this concerned in fact an IB Demo account! At that time, this caused some uproar which, as I recall, Jack never bothered to put to rest. Further, inandlong, a highly respected ET moderator at that time put in a considerable amount of effort in trying to distill something sensible out of the unbelievable heap of posts by Jack's. I'm not sure in how far this fostered any improved understanding of Jack's methods, at least by the non NLP-addicted.
Thanks. Ok, I'm still confused. Maybe the below will help clear up some confusion. From my previous readings a long time ago (not the one attached here), if I remember correctly: 1) B2B =black to black? What does B2B mean? 2) R2R =red to red? What does it mean? 3) B2R=black to red? What does it mean? Hopefully with this definition, I will be able to figure out the rest. Thanks
Too much nonsense! Good for clicks, but what a waste of time! I'm fed up with all these pseudo informed posts about backtesting. A poster on another thread provided a good argument against his work's results: human brain and computer have to work well together. If your brain lets you down, no computer will yield an useful result. You might just not be aware of your weaknesses, so be a little more reserved not to look foolish. Backtesting has a very limited usefulness in trading, and even that only when it is done properly. It's not enough to be a programmer, even a good one. You have to fully understand what you test. In engineering, a good test engineer understands the product as well as the designer. Otherwise: GIGO. Backtesting is limited because it relies on a small, non-repeatable set of data, with very specific characteristics. This applies even when working with hundred years of tick data. Backtesting of a non linear system can't be done only by testing its elements, because the system result is not the sum of its elements' results. Separately testing the strategy's entry and its exit won't give you useful information about the synergetic action of both. I'm not against backtesting as a tool, but I understand its limitations.
Look up Jack's post on ET for "gaussian". One of my posts on this thread offers a link to a recent post of Jack's that talks about volume gaussians, R2B, etc..
Your post tells me simply that you don't know how to backtest. Have you, in fact, ever? Oh, and BTW, Jack spells the word as "guassian". Get it straight! You have to spell things wrong to get them right.
Excuse me, was posting charts supposed to be an answer to the question "Are you now, or were you ever, a card-carrying member of the backtesting party?"