Simple inquiry: In certain chart programs it is possible to zoom a daily chart to cover two years, one year, six months etc.. Zooming in and out changes the position for both + and - dmi, making it appear like a cross in longer time frames and completely off in shorter frames. Does anybody know a rule to follow concerning this issue? I imagine zooming out to take the largest amount of data would be the correct use of the indicator, but as always, there could be something I am not considering. Thanks for any ideas.
If what you are describing is truly occurring, something is wrong with the software. If you're just zooming (and not changing the data) no indicator should change whatsoever. btw- my response in no way should be interpreted as belief in the voracity of ANY indicator. I'm price, price, price
Agree, indicators are only tools.... but price only, can never give you an estimate of the possible strength behind any trend as it is beginning to form. In my humble view of course. In ref to my inquiry, no there is no problem with my software. Certain indicators change (like the one mentioned) when time data is added or subtracted from the chart. I wonder if anybody knows the answer...
Indicators do NOT change based on zoom! Period. Think about it, it's all math. Get the equations for ADX and plug in the data. The results can not change, because it's all mathematical. Now, if the indicator is dependant on some particular starting point that changes when you change the zoom, that's a different story. But it proves even more deeply how illusionary indicators can be. But, even then, the fundamentals don't change: indicators are mathematical equations and have nothing to do with any visual parameters.
Post a picture ... I agree that only zooming in / out shouldn't change the result. Maybe your charting program's graphic resolution plays tricks. You're saying that you keep the same data resolution and span, so the calculation of each point doesn't (shouldn't ...) change. On the other hand, the robustness of a trading method shouldn't be affected in long run by a resolution issue.
I must leave now for a party, but will post pics once I get a chance. Thanks ! And great evening to you both !
If the ZOOM changes the time frame relevant to the indicator, then that would change the inputs of the indicator. I have yet to see any charting program where zooming in or out changes the relevant time frames. But i am a fella that also uses price, price, price and more price points, price support/resist etc. BIG DOGS eat price for lunch and din din. .............
Hi guys, Weekend activities got me sidetracked, but I am back. Which instrument should we look at ? Any optionable stock or future you wish....