Jack I have a few questions regarding your ES chart for Friday 15th Sept. Was the first long channel formed from the low of bar 4 (pt 1) and the low of bar 7 (pt 3) drawn as bar 8 broke above bar 7? I see that you have used the high of bar 4 as pt 2. Was this because bars 5,6 and 7 were inside bars? Volatility expands the channel at bar 10, the high of which you then use a a new pt 1 for the next short channel, annotated in red. At what point in time did you determine the high of bar 10 as the new pt 1? Could you please explain which bars you used to construct the red channel? Thanks David
Wellllllll, I see Jack is still fighting a war on two or more fronts. I truly admire that. As one of Jack's students, I need to say to those sitting on the fence to keep reading, learn and use the principles CORRECTLY, and everything will fall into place. SCT is a METHOD, which is different from a SYSTEM. A SYSTEM is a personal choice that makes a METHOD your own. That is why Jack continuously draws controversy. Study Jack's METHOD, and it will be nearly impossible to fail to create your own winning SYSTEM. Best Regards Oddi
Is there a preferred method in creating the Gaussian color scheme? (It would appear in the attachment: 'annotations for dkm.png', that red or black are not a result of the current close compared to the previous close.) Is the basic concept to tie color to end effects and pace? Regards, UT
Here is a quicky answer. I am talking about a method. You are talking about bar closes. Long ago some people chose some color conventions. Heliotrope was the color I wanted to be used. Moderators said in those days that the world was an open forum and animals would be used instead of colors since most people could not read at the time, eespecially moderators. Through many years and the formation of the UN it was determined that detractors had greater sway than those from whom they were detracting. you probably remember the example of the alchemists too. They were associated with ancient organizations that provided for the survival of the thread of a path that is very old. This was during the time when the pose's where playing a largely political game and that religion was subverted greatly. The alchemists used chemical elements as symbols to communicate secretly to those who were preserving the records and ideas that were timeless. They were successful during these times of persecution. Now there is a war on that opposes heliotrope and mauve to some extent. Gaussians are an enabling element that gives leading indicators of price movement and particularly the ends of price movement. I feel that anyone can join the secret society if they concentrate on learning to see what is going on. You are following, and maybe advocating a convention, that I have never heard of. Go for it. I am advocating for people provideing as much as they can to help others and to pass it forward. That is not the policy of ET. To convey to others what I know and have worked on for about fifty years, I need to have some common ground. I use red for indicating the PRICE is going in a direction that is down. I use black for indicating the PRICE is going in a direction that is up. A Gaussian is used to indicate what is dominant and what is non dominant. Dominant refers to how the market is changing and what kind of thing is the strongest at the moment. You can see the print of C L, he does not know anything about this and apparently he is not even a lucky guy. So Gaussians come in two sizes. R/B and B/R. They keep repeating. At some point, between Gaussians, they may vote among themselves to to change. I have a name for the change period. It is _2_, where the blanks are filled in with the same color. I magine a world where a person can watch the market and always know what is going on. I live in that world. What it does for me is something unreal and un fucking believable to others. Here is what I see as the market goes along: R/B,R/B, R/B, B/R, B/R, B/R, R/B, R/B.... etc... and about 20 to 40 times a day on 2 minutes bars of YM that lead the 5 minute bars of ES, I see the _2_ which is shown just above secretly. See if you can find the B 2 B and then the R 2 R. there is no bar close or any of that stuff. Programmers for platform people cannot trade, apparently and they do not know how the market works. So if falls to experts to come up with stuff the enable people to get rich as hell. You are looking for something that is not important and that is not worth coding up. what I am explaining is not going to be understood by 4 out of 5 people and some of these losers have big mouth and pea brains. They have the dumb idea that seeing a print of trading tells them something. Basically they believe that what they have never created ion a print is what they want to see from someone else and then they can flame away that it is a fake. There is nothing fake about Gaussians. R/B,R/B, R/B, B/R, B/R, B/R, R/B, R/B.... R/B,R/B, R/B, and B/R, B/R, B/R and R/B, R/B.... Are three trades for me AND the B 2 B is the signal that profits are to be taken for the reversal at the end of R/B,R/B, R/B, and the R 2 R is the signal that profits are to be taken for the reversal at the end of B/R, B/R, B/R ....etc... Notivce that a person does not have to follow price on ES to make money. He can make money on ES by trading gaussians on YM. Say a Gaussian is formed by 10 or 12 bars. Then we step up the pace of profit taking considerably and do not wait for the _ 2 _ since there is much more money to be made. A B/R gaussian has two profit taking points. first you trade the long move (dominant) and then you trade the non dominant as a short. you repeat this as long as the B/R Gaussian continues to repeat. The great debate of whether something is a retrace or a reversal is just beginner ignorance. I recently explained a lot of this stuff in a post that was deleted by the moderator when he deleted the answers to several questions I answered. His hardon precludes my posts lasting very long in the Journal forum. You will notice other moderators are participating in this form to help out at this point. when you understand that the last half of a gaussian is a retrace then you have begun to see the markets. Next you can see that the second half of a _ 2 _ is the beginning of a reversal. Where does this put you? It simply means that you get to hit each home run as it appears during the day. You do this by reversing into the retrace AND HOLDING THROUGH EACH _2 _. C L in his recent print really screwed this situation up. He reversed short in the middle of an B 2 B and held upside down for and hour and 15 minute through a B of a B/R where he got 4 and 1/2 points up side down. He can't see gaussians nor can he annotate traverses. He started the day of his print by doing three upsidedown trades that ran directly against the Gaussian he wasn't looking at. so Gaussians are a cure for several things: 1. whipsaw 2. Improper early exits that put you upside down 3. Not being on the right side of the markets at all times. 4. corroberating when any grey traverse channel is expended. 5. missing homeruns by not knowing when they are coming up. 6. not knowing the current periodicity of the trading that is vogue during differnet times of the days. Always knowing all of these things in advance makes trading very reinforcing on a continuing basis. You can examine the 1 contract trading of C L from June to now and see that he isn't doing very well. you can contrast this with the Gaussians that I have put on the ET record directly and by reference. At some point a person gets to the 500th one. By that time he knows that I am not dealing with the color or closes of bars and the end of price movements. Money is made by looking at the leading independant variable V of the indipendant varible P. Gaussains go far towards knowing up to three or four 2 minute volume bars, when price is going to change. People often comment on the voice recordings that were made a couple of years ago. One thing that comes up is my narrations that ran ahead of the market action. I did that so people could focus on the fine indicators used after the coarse and medium (Gaussains are here) indicators said to go to fine. I set the various contemporary defaults on the indicators many years before the designer's defaults were dropped by others. they were set to front run the markets. The Gaussians also are used to front run the markets. You can read some recent WSJ articles (poorly written by people who do not know how the markest's work) that deal with funds (Stevie in perticular). USB's views of Stevie are a reflection of their ignorance. For me straightening out the SEC on this stuff was also a drag but they finally canned the crap. There is no way the lead heads in ET are ever going to get any of this stuff. They are able, at this point, to really screw up anyone's posting that is at a level that is different than their ignorant views. I am using them as examples of not properly monitoring the markets; they get into trouble in ways that are quite clear just from the lousy timing of their trades and how they remain way upside down.
Jack Thank you for the detailed annotations. I am familiar with "BO of bar 4" rule and see the BO occurring on bar 8. I assume this was the reason for using the low of bar 4 as pt 1 and the low of bar 7 as pt 3. In effect, we do not have a pt 2. I am comfortable with the concept of using 2min YM traverses, gaussians, FTT etc. My question is at what point in time did you recognise the high of bar 10 as the FTT? During bar 11, bar 12, or earlier? My dilemma may be due to the fact that bars 11,12,13,14 and 15 are all inside bars relative to bar 10. You say that bars 11 and 12 form pt 3 but what happened to pt 2? At what point was the first short initiated in the red channel? David
Hello DKM. Glad to see you still out and about. I hope everything continues to go well for you. - Spydertrader P.S. Here is how I viewed the day unfold.
Interesting stuff but quite eggheady. Do you ever get a volume fakeout signal with your method ? Or do you believe that volume trends more smothly than price ?