Technical Analysis = CRAP

Discussion in 'Technical Analysis' started by Frits, Apr 27, 2011.

Thread Status:
Not open for further replies.
  1. First, time isn't removed from the chart it is just not a displayed factor of the bar movement of price. Instruments are traded based on shares or contracts not the time of the day.

    Second, by having equally weight bars the past problems of vastly varying bar outcomes are eliminated.

    Third, how can surf see my posts if he is suppose to have me on ignore?
     
    #491     Jun 22, 2011
  2. Thanks bone but I prefer not to call it art seeing that this a fully & completely programmable, fully objective and non discretionary environment.

    Art is discretionary.
     
    #492     Jun 22, 2011

  3. Ok, number 1 makes sense. number 2--the bars will vary in regard to time by having equally weighted tic bars. I don't get the point.

    The critical question is what will happen next after the far right edge of the chart? What's the purpose of the art work without an answer?

    Please tell

    Thanks,

    Surf
     
    #493     Jun 22, 2011
  4. They aren't tic bars they are Constant Volume Bars and they do not vary in weight. Tic bars vary in volume weight.

    What is critical is what happens at the "oscillations" in real time, not what is happening on the next bar to the right. I don't make decisions based on the individual price bars, only the oscillations (color changes) of the Histogram and the ERG.

    GREEN to BLUE - Support
    BLUE to GREEN - Resistance

    Art is discretionary and I don't do art.
     
    #494     Jun 22, 2011
  5. bone

    bone

    So, for the sake of arguement, if I stack two offers of one thousand lots each on the best offer and next best offer, cross orders with myself, and spoof twenty guys trading off various volume indicators like delta footprint into buying into me, and then take the whole shebang sellers to fuck all the locals over. When Globex calls (big if) I will tell them just an errant fat-finger on my part. Oops. Especially if Harris or Paul or whomever trades 30K RTs per day anyway.

    Personally - and this is just me, I get paid on price and not volume. Since there is a counterparty to each trade, it just never has sunk into my thick skull why volume is an important indicator in terms of trumping other considerations.

    Order book liquidity in terms of volume is another matter.
     
    #495     Jun 22, 2011
  6. Same here.

     
    #496     Jun 22, 2011
  7. Volume isn't the indicator.
    It's clear you are caught up in the verbage and not reading what I wrote.
     
    #497     Jun 22, 2011
  8. I use multiple chart increments as well, both independently and on the same chart.
     
    #498     Jun 22, 2011

  9. Good point. You are just confusing these chart artists with the reality of how markets really work.

    Surf
     
    #499     Jun 22, 2011
  10. bone

    bone

    "I use Constant Volume Bar charting to stabilize the chart structure. What I mean by this is that Constant Volume Bar charting allows each price bar to show or depict the exact same weighted volume based on volume. "

    So, Prof, I am feeling slow today. This is a 'smoothing' function that has nothing to do with traded volume at that price point ?

    Or, is it more like MP, where you are counting the volume of price print tics as a function of time ?

    Or, am I just hopeless...
     
    #500     Jun 22, 2011
Thread Status:
Not open for further replies.