Using Cycles

Discussion in 'Trading' started by louisjxn, Jan 12, 2017.

  1. louisjxn

    louisjxn

    Can anyone recommend any good books, videos, websites, etc. for learning more about using cycles in trading?

    I keep hearing terms like "daily cycle low", "intermediate cycle low', etc. but I have not been able to find any good resources for teaching myself how to use these.

    Thank you
     
  2. just21

    just21

  3. wintergasp

    wintergasp

    wtf is a daily low cycle ? been working for hedge funds for soon 10 years and I've never heard that, I think it's a retail mumbo jumbo, don't waste your time
     
    comagnum likes this.
  4. From my understanding, some people will assign a "daily cycle low" to shorter-term cycle's in the 35-45 day window. The real problem is that there are too many people implying they use cycle analysis without actually using it (i.e. it has a sort of Elliott Wave type of subjectivity to it in the wrong hands).
     
  5. panzerman

    panzerman

    John Ehlers has done a lot of work on identifying cycles in the markets using DSP. Just Google his work, and specifically his work on finding the "Dominant Cycle."

    Now, there is a philosophical argument to be made against using DSP to analyze financial data. DSP was designed for use with physical systems, while financial markets are sentient systems. So DSP in finance could be viewed as a misapplication. It is for you to determine whether DSP is an appropriate tool for your use.
     
    Simples likes this.
  6. Zodiac4u

    Zodiac4u

    Confuse the public, make it sound more complex. Just call it a pull back and be done with it.:)
     
  7. tiddlywinks

    tiddlywinks

  8. panzerman

    panzerman

    Not enough precision in that answer. Is a pullback a pullback or a trend change? If a pull back, what percent do you do you call it at? High an low are only relative, not absolute.

    High and low need to be put into some sort of context, whether by fundamental or technical analysis.
     
  9. Zodiac4u

    Zodiac4u

    I'm past that point of complexity, I leave the quantitative research for those who feel it's necessary.:)