The image is getting clearer...
It is like having an EKG hooked up to the market in ever time-interval. An optimal way to see the hidden Bias in the market. And, as if that was not enough, it does us a favor by leaving in its wake... its own handwriting in the form of a visual Signature. All this from just one little easy Indicator.
I call this Indicator the Transequential Contiguous Delta, or TCD for short (for those that have been following my work over the years). TCD-Long, is what TRO calls: H-pL. TCD-Short, is what TRO calls: L-pH.
In my system, there are actually three (3) primary TCDs: Strategic TCD, Tactical TCD and Real-Time TCD. The type that TRO has dialed up for us here is the "Tactical TCD" as it measures the AbsVal (Absolute Value) of the "Delta" between the Price Points that make up the Indicator.
In my system, I don't see "Price" per se, the way most do. I only use Price as a descriptor to set Triggers, Limit Orders and Stop Levels (when I use a Stop). For me, there is no such thing as a singular Price. I see Price as being smeared out over a particular Span of both Time and Distance. Thus, for me, Price has Shape, Form, Contouring, Depth, Height, Width, Length and Duration. In other words, in my system, Price is a living, breathing entity. Not static.
TCDs are the heartbeat of the market and I've always worked with them at or above the Daily bar level. I'd like to start working with them at the lower time-intervals (M1, M5, M15, M30, H1 and H4, to name a few). The power is in the cyclical nature of the signature. The Signature is the Structure that is made which forms the Range of the outliers in the line graph and the histogram. What you are looking at, is the DNA of the market.
The key is understanding that while the market's signature remains unchanged, its behavior is always changing and thus its structure is constantly being re-shaped and re-formed. But, no matter what form it takes, the underlying signature and cycle resonance will always be the same. Thus, the master key is in understanding which signature is in play at any particular time.
In Star Trek, they are known as Shape Shifters. The exact same entity, taking on different physical forms, yet having precisely the same DNA sequence.
Ok, enough TCD 101. I need some time to think about how to integrate the cycles properly.
TRO, can you post either the code or some pics of the Tactical TCDs for EURUSD in M1, M5, M15, M30, H1 and H4 - when you get back from Monaco. I don't want to interrupt your vacation!
I can give away the Strategic, Tactical and Real-Time TCDs, as I have done on other forums. But, I'll limit the discussion to Tactical for now, until people "get it," as putting up the other two at this point, would only serve to confuse, rather than to illuminate. The math on the Strategic and Real-Time is very easy and I'll do those later. However, the Tactical is proving to offer a wealth of information all by itself, LOL!
My other core system indicators are: Distinct Vega (DV), Enhanced Trajectory Ratios (ETR), StealthIndicators (SI), Alpha-4 and Alpha-5 (A4 and A5). After that, the system has a subset of what I call "MetaIndicator" classes, which number in the dozens. Below that, the system uses Clusters of Indicators to produce MetaSignals. Those MetaSignals are then filtered and ranked to produce the final Daily Trade Signal.
Here's an old pic of the read-only Excel based Trader's Panel I use (some of you might have seen this before):