Replace the above acronym FTT with any noun of your choosing. Then, repeat the question out loud. Can you see (hear) yourself sounding silly? "Are elephants always elephants?" "Are trees always trees?" "Are pencils always pencils?" Of course, the answer to the above questions (as well as the original) is a resounding Yes. With respect to your assertion regarding preconceived ideas, I suspect you already know the answer, but have not yet fully made the necessary paradigm shift. Please do not take my remarks as an attempt to 'single you out' from the crowd. I believe many following along often feel similarly to your current state of mind, and I merely have chosen your comments as a springboard to provide some clarity. "Forget what you THINK you know." I often often written and spoken the above instructions to many as they begin the Journey toward understanding the Hershey Methodology. I provide the advice out of the knowledge that holding onto one's preconceived notions hinders one's success. I provided a clear example of such during my introduction of the YM as a leading indicator of ES Price movement. The reason preconceived ideas and experience thwart a trader's progress along the Hershey learning curve is easily understood. So much of the methodology falls into the category of 'counter-intuitiveness' that failing to set aside firmly held beliefs and truths, blocks the assimilation of knew ideas. A fundamental paradigm shift is required in order for the learning trader to understand what the methodology is all about. The system does not provide entry and exit signals. Rather, the methodology allows the trader to differentiate between continuation and change. In other words, this isn't a traffic light with green for go and red for stop. It's driving on an expressway through Texas at night with nothing on the road for miles and miles (continuation) when suddenly a coyote runs onto the road (change). You don't stop your car and wait for the coyote to pass. You switch lanes or risk running into the animal and smashing your car. Now, no instrument on your dash board told you when to expect the coyote, but when you saw it appear on the asphalt, you knew exactly what to do - alter your direction. Toss into the analogy one of those road signs which say "Coyote Crossing Next 4 Miles" (context) and suddenly, you begin to anticipate the arrival of the animal. By anticipating a coyote (FTT) crossing the road on this specific stretch of roadway (peak volume at a Gaussian) you have the ability to react quicker. Add some of those extremely luminescent head lights (The YM) and you can see the coyote (FTT) even sooner. Can you see how understanding the differences between continuation and change within a certain context requires a hair's width shift in mental viewpoint? Just as you don't need to know when exactly a coyote plans to run onto the road (you only need to know what to do when you see it), so too, do you not need to know where or for how long price plans to trend in its current direction. We only need to recognize when a change occurs. The FTT provides the signal for sentiment change. It does so in any market - on any time frame (provided sufficient liquidity exists). By focusing on the differences between continuation and change each of the tools we use provides the exact input (at the exact time) needed for correct decision making and (more importantly) timely action. Jack calls this input 'complete data sets.' Right now (because we aren't using all the tools), we often have incomplete data sets. Making decisions based on incomplete data sets, often results in errors. In this fashion, I have intentionally handicapped everyone in an effort to teach the lesson of how making mistakes can often result in profitable trades. Focus on the current tasks at hand, and in time, the picture will come together for everyone. If by my analogy above, I have added confusion, rather than, provide clarity, please let me know, and I will attempt to provide another example. Good Journey to you all. - Spydertrader
Gentleman, Iâve spent a long time trying to find this specific thread. The only reference I had was a print-out of a table from: www.elitetrader.com/vb/attac...&postid=1321447 Can anyone provide the original location so I can read the accompanying text? Or perhaps someone could explain how the figures were determined/how the table was constructed. Then I all I have to do is read 142 pages (and Cut, Paste) to catch up. Grant.
Fwiw Ive found it pretty handy to set the 2min YM directly above the 5 ES scaled to each other. <src img="http://www.elitetrader.com/vb/attachment.php?s=&postid=1348997">
I could not get your original link to work properly. However, earlier in the Journal, I made this post which contained a link to Mak's Post where you can find this attachment. If the above links take you to the discussion you seek, then I encourage you to review this thread in its entirety. You may have missed more than you realize. If the above links do not take you to the information you seek, could you please repost the link in a format where we can connect to the information available? Good Trading to you. - Spydertrader
SpyderTrader, That's it. Thank you. So that's 142 pages this thread plus 455 on the other thread. Grant.
Not Quite. Again, from Page One of this Journal (are you starting to see a pattern? ) .... Of course, you are welcome to proceed any way which you feel best meets your needs. - Spydertrader Edit: After reviewing your post, I noticed I may have caused you some confusion. When I said "I encourage you to read this thread in its entirety," I meant this Futures Thread (Spydertrader's Jack Hershey Futures) and not the one I linked to.
Before we boldly embark onto the next challenge in the syllabus, it is a good time to revisit this master piece: http://www.elitetrader.com/vb/showthread.php?s=&postid=1261122#post1261122
I agree with this. If the picture is not clear then (for me) the market is not clear and does not have potential at that moment. And even if it does, it doesn't because I won't have the same conviction that a clear picture gives and I will start to do stupid things. It has to be crystal clear and it has to move (around FTT) exactly the right way. regards, Ivo
Ivob You have attributed that quote to me, but it was from a post made by MAK that I referred to. That in it's self is not important but the message is..and thx for reminding me. I'll treat it as serendipity doing it's thing. I'm responding to this in the context of this new methodology and my limited understanding of it so far. I am clear that FTT's mark the spot..! BUT FTT's are only relative to the channel that has been identified. An incorrectly identified channel will result in an incorrect FTT (or an FTT that isn't really an FTT) . ANd yes, I understand the rules state that we reverse from FTT to FTT and use the incorrectly identified FTT to put us back on the right side of the market as soon as we see it wasn't an FTT. (immediately reverse). I'm just getting a bit stuck on identifying Point 3, which with it, creates the formation of the channel. Forgive my reiteration of all this. I'm late to the party here and we are aleady on to the YM comparison leading thing.. It's just my way of getting this out so I can gather it all back in again but with some order ..a kind of therapy I suppose....and even as I type I'm thinking "well don't do anything until you can place point 3 and draw the channel ", BUT I do this... for what can very possibly be a point 3 at the time.... only to see the market move out of context of the channel I have drawn (and this is not immediate so there is a period of viewing market action and "seeing FTT's in the context of a channel that I don't YET see as incorrect !!)). ANd there's Spydertrader (and others) taking a deep sigh ready to respond with "practice and just give it time and you will see them".. I know I know.... Having said all this I can refer back to my charts and see the annotations that did correctly identify channels and FTT's.. I just wish it didn't feel quite so much like luck.. 2, questions if I may.. 1. I'm on European time GMT, as my trading starts on the DAX I tend to have my charts for US start at around 13.00 GMT (that's 1 .5 hours before the official open. Is it a necessity for this methodology to have the US charts start at exactly 14.30 GMT ( 9.30 EST) with regard overnight channels ? 2. Is it just me or do point 3's seem even harder to identify in an upwards move....? JDAndy..Thx for your reply. As spooz trader has also suggested, I will use a 5min chart just for coarse channel. I'm sure it will help. I use Esignal so not using the Mikeytrades volume stack..I use MarketDelta software to help with volume interpretation.. Let's see waht Monday brings.. Thx Best to all FilterTip