The Stochastic Indicator

Discussion in 'Technical Analysis' started by jack hershey, Feb 17, 2003.

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  1. tampa

    tampa

    Ouch...

    Could have sworn I was right - even waited for both lines to cross,,,

    11:35 Short at 820.75 - minus 2 points.

    Missed the early morning move, as I didn't sit down till 11:00...(sigh)
     
    #131     Feb 25, 2003
  2. nkhoi

    nkhoi

    tampa,
    a snap shot of your chart to go with your trade if possible.
    just want to see if I am looking at the same line.
     
    #132     Feb 25, 2003
  3. You must have missed the buy signal at the peak as well. In fact, using the 80/20 parameters that Jack mentions and using your fast line, would have missed the morning decline as well.

    This looks to me to be more complicated than simply trading the market action. LOL. But maybe I don't understand the rules.

    Either way, buy high, try to sell higher, sell low, try to buy lower still.....tough way to go if you ask me.

    OldTrader
     
    #133     Feb 25, 2003
  4. tampa

    tampa

    No, the morning down move was doable. The 11:00 "buy" wasn't a buy...the MACD had not crossed yet.

    You had me fooled. OldTrader, I thought that you were showing a real interest - it appears that all you really want to do is rain on the parade...so be it.

    I see value in the method. You don't. That's cool.
     
    #134     Feb 25, 2003
  5. dawg

    dawg

    Just some fyi from what i have read about Jacks's System

    Doesn't look to trade from 11:30 to 1:15

    Also the MACD 5m histogram never closes below -0.4

    Also the MACD was entwining around 0...market becoming trendless.

    I enjoy the posts. Keep up the good work.
    :)
     
    #135     Feb 25, 2003
  6. "Rain on the parade"? Nope. I'm still trying to understand how this thing works. For instance, I thought the filter was the MACD histogram being over +.4 for buy signals. Isn't that what Jack said? Now you're telling me that "MACD had not crossed". What didn't cross? The MACD line had already crossed the signal line of course. The MACD line was above zero. The only thing that had not "crossed" was the signal line, which had not crossed zero.

    So are you saying that it's also a requirment that the signal line cross 0 in the direction of the stochastic signal? Or does it work some other way?

    OldTrader
     
    #136     Feb 25, 2003
  7. tampa

    tampa

    The Histogram did close below 0.4 on my chart.

    The MACD itself was pushing it on my part - as was trading after 11:15.

    I pushed it, and got my hand slapped:)
     
    #137     Feb 25, 2003


  8. Come on tampa, interest comes and goes, waxes and wains, just like friends. Just because the method has some (or a lot) of downside to it that maybe some can't tolerate is no reason to assume the worst. Maybe I, or somebody else, can find a use for the technique under different conditions. Same is true for OldTrader. Just because he, or I, might find the parameters useless now is no reason to forget the technique. I've sold lows before to set up a short (when trading stocks and when certain the bears were in control) so it is doable, but you'd better be sure.

    Bruce:)
     
    #138     Feb 25, 2003
  9. tampa

    tampa

    I refer you to what has been posted by Jack. interpret it as you will. Trade it, or don't.

    But let's cut the crap as to what your game is...OK?
     
    #139     Feb 25, 2003
  10. tampa

    tampa

    Thanx for the advice. I'll file it in the appropriate place.
     
    #140     Feb 25, 2003
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