Strategy Based On Chart Pattern

trading strategies and money management discussion, code, results

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fatdog1
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Postby fatdog1 » Thu Jun 22, 2006 12:21 pm

Ali Son wrote:Well to be specific, when I uploaded your workspaces I got the following messages for example: "AA-PR MACD K MA 2 [and 3 actually] deleted," "AA-FUTS-VOL4 deleted" and "Trendline SE 5-13-06 deleted." This is usually an indication that the ELD was not uploaded before the workspace. So, that indicates in the original workspace there were other indicators, whehter used or not; that was the confusing thing.

So, how do you draw the trandlines then if you do not have them as an ELD? I tried to look under Format Analysis technicques but there was nothing there.

Also, is there a way for me to turn off or better control the alerts en masse on the trendlines that did remain on the charts, rather than one at a time?

If you like you can send me an additional workspace for the 60 MINUTE EURUSD AND RIMM if you think that answers my questions or better clarifies/resolves everything.

Thank you for sharing. Hope we can help you out with ideas and coding.

You can PM me here OR on Tradestation forum OR better yet send to alison3cpo@yahoo.com (or if you need more room I can send you my comcast email too.)

And, Kudos overall! I like your methodology and am familiar with Weinstein at a rudimentary level from various articles and synopses, though I'm not sure how you draw the trendlines. I definitely think this technnique combined with Darvas or another congestion recognition technique is worth purusing as a methodology.

aka OPTIONSWINGS on Tradestation Forums. :)


Ali,

I don't use those indicators anymore. I never posted them in a eld file.
They are simple macd indicators that I renamed with "aa" so they would
show up in the front of the indicator list. Sorry about that.

The trendlines on that work space were hand drawn.
Tradestation has been having problems with the trendlines disappearing, so I am not suprised they did.
I use the standard horizontal lines on my regular charts.

I would suggest that you delete the old workspaces because they will give you constant alerts unless you right click on the horizontal line and turn off the alerts one by one.

I will post a new one of EURUSD in place of the old Dow chart.

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Ali Son
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Postby Ali Son » Thu Jun 22, 2006 12:37 pm

Fatdog,

What I noticed about the Weinstein method when I looked at it briefly a year ago is that it reminded me of the stages of Eliott Wave theory which, as you probably already know, was the first to point out that price is fractally based.

What you say about S/R and the exploitation of S/R by other schools of thought for fulfillment of prophecy is true, FATDOG. I myself was occasionally deceived or misdirected by those fancier false idols of the simpler method of S/R. :x

How are you measuring or drawing these trend lines which appear to be automatic for as far as the chart can speak? What am I missing here?

It is amazing though that you do not use any indicators to confirm the areas of S/R, other than Darvas?! For what's S one day, hour or minute is R the next time. Have you seen TRO's Dynamic S/R or Gridiron? (Though, your TL's appear to work better, that is for every instrument.)

-OPTIONSWINGS
Last edited by Ali Son on Thu Jun 22, 2006 12:55 pm, edited 2 times in total.

Ali Son
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Postby Ali Son » Thu Jun 22, 2006 12:40 pm

Fatdog,

I will PUT OUT THE WORD for you, unless you want it to marinate first, so that we can get full participation on this.

-OS

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Postby Ali Son » Thu Jun 22, 2006 1:01 pm

Fatdog, it's fine about the Alerts. Better to get an alert, than to be caught sleeping. If this works out, I'll get around to resetting the alerts individually TL by TL to fire only once like I like it. Thanks.

fatdog1
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Postby fatdog1 » Thu Jun 22, 2006 1:03 pm

Ali Son wrote:One thing that is missing from your work and might be able to improve it are time projections. Those who use them, use them well to know when a breakout will occur. I've only become familiar with Darvas boxes in the last two months, but perhaps you are using them to fulfill this purpose?

This methodology seems to work with the fractal nature of price, as judjing by your charts (and if I am not mistaken you said it works with all time frames). That's great. But, what timeframes do you usually trade in and for what instruments...5 minutes for scalping in general? And?

Great Charts by the way, Fatdog. Have you traded this methodology for a long time, or is this a recent development?

-OS


I am not sure what you mean by time projections.
Price behaves like it does when it reaches support or resistance.

I would buy a breakout of the DarvasBox for a long here since we are near support the way it is currently coded.

I would not want to take a short trade until EURUSD trades
at 1.2630.

I am updating a 60 minute EURUSD workspace right now which is
sitting on an area of support at 1.2573.

It is the last fresh area of support for a long way if EURUSD wants to fall.
1.2460 is the next fresh area if this area does not turn EURUSD higher.

I will clean up the workspaces and post new ones to replace all the older ones.

I have been trading this method since I first noticed what a flag looks like on a candle chart.
Attachments
EURUSD 60 MIN 6-22-06.tsw
(54.5 KiB) Downloaded 27 times

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Ali Son
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Postby Ali Son » Thu Jun 22, 2006 1:25 pm

So how many years is that since you first noticed what a flag looks like on a candle chart? Did you have a mentor trader who clued you in? Did you use it when you were employed full-time as a trader?

Time projections==proejcting (forecasting) in advance how long it takes for price to reach those areas of S/R. A few gods of EW do it consistently to the day, believe it or not. That's the only piece you are missing (and the most difficult) from your methodology. Perhaps Darvas method solves this, but if not, one is still a prisoner of the "random" (though logical some say) appearance of the inteaction of price and time.

Time is really the distance that price will move in between S/R and through S/R to the next S/R, forecasted in advance. Hence, to do it, you must not only have a price target in mind (S/R) but know the speed which is related to intensity, which might require greater understandings of pattern recognition and momentum ("intensitiy").

It's not esential as your methodology is sound and fairly accurate but gives those grey beards who can do it, Oracle-like piece of mind. Yes, it sounds crazy, until you've seen it done, again and again over the years. :shock: Don't ask me how. (I know S/R [called fibs, etc.] is essential to it though.)

Ali Son
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Postby Ali Son » Thu Jun 22, 2006 1:39 pm

If you can do a workspace for an individual stock, say RIMM since that's one of the "cows," that would be interesting to see. Thanks.

And, leave your alerts in, as that clarifies your thought process for me, since I notice on some chart only selective TL's have Alerts, signifying which ones are more important. Perhaps you can expound on this some more too. Thanks again.

-OPTIONSWING

fatdog1
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Postby fatdog1 » Thu Jun 22, 2006 4:13 pm

Ali Son wrote:Fatdog,

I will PUT OUT THE WORD for you, unless you want it to marinate first, so that we can get full participation on this.

-OS


Hey Ali,

If you know anyone on the Tradestation forum who could figure out how to add the condition that the DarvasBox only trades if there is a flag pole
before the congestion area that would be great.
That would be a major improvement.

Ali Son
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Postby Ali Son » Thu Jun 22, 2006 8:52 pm

I will get on it Fatdog, you can be sure of that. I will cast a wide net.

BTW, did you explain how you are drawing those lines?

-optionswings : :)

Ali Son
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Postby Ali Son » Thu Jun 22, 2006 8:54 pm

I will also post links to this topic, strategically of course, without getting into trouble... : :(

OPTIONSWINGS

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