The ACD Method

mfbreakout · Sep 10, 2011

Quote from Samsara:

Hey, congrats also on so quickly getting it right and running with it in CL.

Here's one thing that's always on my mind.

I still hesitate with the idea that working theories get better with popularity. When MBF is the largest clearing firm in its specialty, and when almost everyone in the pit immediately bids up his orders when he places a buy -- that makes sense. But a lot's changed since 2003, with a globalized, electronic marketplace. You gotta watch both the fly-by-night quants and the "bus people" who just flip orders and don't dig into why they're taking positions.

Hell, the prop I used to trade at (not Swift, which was notorious for outsourcing to China) aggressively shipped out its chop shop model to China and drilled its techniques into the students there. There's a cultural norm of replicating something that works in China, by rote, without understanding the theory. There's a lot more bus people out there is all I'm saying.

I kinda commented on this reluctance a while back in this thread.
More...

Thanks. Some just happens to be luckier than others - what can I say? I will not consider 3 years of trading screen time - as quickly_ but compared to 8 years it does seems to be QUICKLY.

mfbreakout · Sep 10, 2011

Quote from Joman:

I've been in one of those firms and can confirm what you say is very true.

One of the question a (senior) trader asked me when I told him I was going to trade on my own was: "but how are you going to trade without the information we have here in the bank ?"

It really made me wonder (one more time) why these guys were paid so much to just steal a bid-ask spread from their clients
More...

AMEEN Joman.

Hope fully my wife does not read this as we have debates about this all the time.(lol)

mfbreakout · Sep 10, 2011

Quote from Maverick74:

A lot of people have been asking me about the 6 hours of video Fisher did at the NYMEX back in 2003.

Here they are. He speaks fast and he does dart around a lot, but these videos are outstanding.

http://www.4shared.com/dir/8iqeNDfz/NYSE_Symposium_2003.html

And yes, that is Joe Terranova in the background.
More...

Thanks Maverick74.

I watched these videos 2 weeks ago when i found the link you had posted a while back.

Posting of these seminars and MF doing them in the first place is a perfect example of how sharing and giving can help some one like me tremendously.

I been searching for these for some time . Every time , i will Google it, i will get to some links at Elite Trader old posting from some members talking negatively about ACD and MF. I will just turn it off and start looking again.

Now as far as utility of these seminars - all i can say they are worth in 24K GOLD.

Thanks again maverick 74.

Lucrum · Sep 10, 2011

This appears to be an honest to god trading thread.

You don't see that every day.

RCG Trader · Sep 10, 2011

Quote from Lucrum:

This appears to be an honest to god trading thread.

You don't see that every day.
More...

Nope, you don't. It's enuf to make you bury the hatchet

Maverick74 · Sep 11, 2011

Quote from RCG Trader:

Nope, you don't. It's enuf to make you bury the hatchet
More...

So there was a hatchet?

Maverick74 · Sep 11, 2011

Monthly A down on the spot EUR/USD for me is 140.89. Currently 135.64. Nice short on the confirmed monthly A down. Of course the US Dollar index broke out last week and confirmed a monthly A up at 75.49. Taking out the high of the QTR as well. Seems the Euro bears are going to press their bets this week on the downside.

mfbreakout · Sep 11, 2011

Quote from Maverick74:

Monthly A down on the spot EUR/USD for me is 140.89. Currently 135.64. Nice short on the confirmed monthly A down. Of course the US Dollar index broke out last week and confirmed a monthly A up at 75.49. Taking out the high of the QTR as well. Seems the Euro bears are going to press their bets this week on the downside.
More...

I just started looking into Monthly and weekly A down, A up. What method do you use to calculate A and C values , for example for CL, EUR/USD?

At the present, I just day trade and use A value of 8 ticks and C value of 13 ticks for CL.

A value of 10 and C value of 12.5 for eur/usd. These values are provided by MF service. They currently do not provide A and C values for weekly or monthly time frame.

Shanb · Sep 11, 2011

I'm on the 5th video in the NYSE seminar video series...all I can say is good stuff!

I looked into ACD in the past and as any other newb would do, I tossed it away after glancing over a couple charts and trying to apply it. Now a year+ later, things actually make sense. The methodology helps to clearly classify price and time. If anything the way Fisher uses Macro and Micro ACD help to keep a running tally on a market.

Obviously one has to have had some screentime to know what to look for, and after getting much more screen time in the past 6 months I see the value in it. Going forward I will definitely be working on applying these principles...I know it will take some time but it will definitely be a good investment.

John you've packed alot of info into this thread I have alot of reading to do! LOL

RCG Trader · Sep 11, 2011

Quote from Maverick74:

So there was a hatchet?
More...

Purely figurative, Mav., purely figurative.