System Improvisation-Thought process!

[kkseal]

Point 03.The temperature of water shall reach 100 and remain so till its entirely vaporised.

The price will remain in the area till all the "news" is assimilated. I think this is called consolidation phase. From here the stock will fry or frost!!!

Do not assume 'persistence' at any point of a price-time series. Prices could simply 'stop & reverse' - or else we could have simply applied the projectile formula (another simple SINE/COS one to a price curve & calculate the max height (peak) & range (half-a-cycle time). Why, we could even 'predict' where it was going next using the velocity (or momentum). But in a real price-time chart persistence itself is a variable. There are no 'constants' - neither in velocity, momentum or even the 'trajectory' (slopes change, trendlines change).

Regards,
Kalyan.

 

[kuriako]

Do not assume 'persistence' at any point of a price-time series. Prices could simply 'stop & reverse' - or else we could have simply applied the projectile formula (another simple SINE/COS one to a price curve & calculate the max height (peak) & range (half-a-cycle time). Why, we could even 'predict' where it was going next using the velocity (or momentum). But in a real price-time chart persistence itself is a variable. There are no 'constants' - neither in velocity, momentum or even the 'trajectory' (slopes change, trendlines change).

Regards,
Kalyan.

Thank you for dropping in Kalyan!

Speaking about the "persistence" of markets, I must say there is some persistence!!!
When an object is moving with a high velocity, if it hits a wall, there are two chances. One it may break the wall and continue with a less velocity. The second is that it rebounds with almost the same energy!

In markets we are actually seeing that!!! Prices stop and reverse- Ball hitting wall and rebounding!!!
Prices consolidating on a news- iron ball breaking the wall and going forward again! Cant that be considered a persistent move!
Motion is persistent unless until some force acts on it! And so is the price time series as per my humble effort to study market!
If we are analyzing a PRICE-TIME series then that force can be taken as volume. But when we analyze Volume-Time series, we can take the force as price.

So moving through that idea, i was just thinking about the relation between price,volume and time and the interrelation between them! Unfortunately it is the largest mystery to be solved for a holy grail! And it still remains as an enigma!

Hope I made some understandable thought!

 

[amarnath]

Do not assume 'persistence' at any point of a price-time series. Prices could simply 'stop & reverse' - or else we could have simply applied the projectile formula (another simple SINE/COS one to a price curve & calculate the max height (peak) & range (half-a-cycle time). Why, we could even 'predict' where it was going next using the velocity (or momentum). But in a real price-time chart persistence itself is a variable. There are no 'constants' - neither in velocity, momentum or even the 'trajectory' (slopes change, trendlines change).

Regards,
Kalyan.

yep simple truths other wise trading floors and FIIs dealing desk with be full of ph.d's in maths LOL

working system with positive edge is not far from reality but just from our way to find one

Below is my simple intraday system which i am using to trade live

If interested look at more details here on below link

http://www.4shared.com/file/27487422/3b7f219a/aets.html?

 

[kuriako]

yep simple truths other wise trading floors and FIIs dealing desk with be full of ph.d's in maths LOL

I guess there are only 4th standard students working for FII`s!!!

It is not education,but expertise that is honored!

And true education is priceless!!!

If an educated person knows how to implement what he learned, he is a winner!!!

Persons with the afore said ability will surely flood FII desk!!!(both inside,outside,on the side and may be on top!!!)

 

[hari09omkar]

...both inside,outside,on the side and may be on top!!!)

U missed ur favourite side: the bottom (now don't blame me.....it is u who said dat u love a certain posture in another thread).

 

[uasish]

Thank you for dropping in Kalyan!

Speaking about the "persistence" of markets, I must say there is some persistence!!!
When an object is moving with a high velocity, if it hits a wall, there are two chances. One it may break the wall and continue with a less velocity. The second is that it rebounds with almost the same energy!

In markets we are actually seeing that!!! Prices stop and reverse- Ball hitting wall and rebounding!!!
Prices consolidating on a news- iron ball breaking the wall and going forward again! Cant that be considered a persistent move!
Motion is persistent unless until some force acts on it! And so is the price time series as per my humble effort to study market!
If we are analyzing a PRICE-TIME series then that force can be taken as volume. But when we analyze Volume-Time series, we can take the force as price.

So moving through that idea, i was just thinking about the relation between price,volume and time and the interrelation between them! Unfortunately it is the largest mystery to be solved for a holy grail! And it still remains as an enigma!

Hope I made some understandable thought!

You have cited only one type of motion what about Centrifugal & Centripetal force.
On Price ; as per efficient discovery process; there is always a Latent Centripetal force ;acting on the Smaller Time Frame,
the Volume happens only i repeat again only when Price reaches certain Critical level,hence Volume is the effect not the cause.Volume is Confirmatory ; corollary in Nature not the Theorem.

 

[newbee]

You have cited only one type of motion what about Centrifugal & Centripetal force.
On Price ; as per efficient discovery process; there is always a Latent Centripetal force ;acting on the Smaller Time Frame,
the Volume happens only i repeat again only when Price reaches certain Critical level,hence Volume is the effect not the cause.Volume is Confirmatory ; corollary in Nature not the Theorem.

Hello

Volume happens only i repeat again only when Price reaches certain Critical level, hence Volume is the effect not the cause

Thats a aha movement, something you learn and never forget.

Makes absolute sense, major S/R region, common SL points, change of sentiment, just plain price reversals . . . . wow


The Latent Centripetal force acting on the Smaller Time Frame

By this are you indication at the tendency of the price sometimes also refered to as Reversion to the Mean.

If yes, then would the Centrifugal force represent the trend?

On system design I was once told a concept,

Fade the smaller timeframe to go along the trend of the higher (7 min and 49 minutes), couldn't take if further though ..

Maybe got it all wrong, but then again will learn somthing when corrected.

Thanks
nb

 

[oxusmorouz]

Hello

Volume happens only i repeat again only when Price reaches certain Critical level, hence Volume is the effect not the cause

Thats a aha movement, something you learn and never forget.

Makes absolute sense, major S/R region, common SL points, change of sentiment, just plain price reversals . . . . wow


The Latent Centripetal force acting on the Smaller Time Frame

By this are you indication at the tendency of the price sometimes also refered to as Reversion to the Mean.

If yes, then would the Centrifugal force represent the trend?

On system design I was once told a concept,

Fade the smaller timeframe to go along the trend of the higher (7 min and 49 minutes), couldn't take if further though ..

Maybe got it all wrong, but then again will learn somthing when corrected.

Thanks
nb

Whether volume is a cause or if volume is an effect serves no deuce to a trader trading time frame greater than intraday, for every day is a new day, with different perceptions and different degree of noise, with no patterns of continuity, unless such a continuity is random.

 

[newbee]

the Volume happens only i repeat again only when Price reaches certain Critical level,hence Volume is the effect not the cause.Volume is Confirmatory ; corollary in Nature not the Theorem.

Whether volume is a cause or if volume is an effect serves no deuce to a trader trading time frame greater than intraday,

Hello oxusmorouz

I am currently looking only at intraday, moreover am in a formative phase, looking at volume as an effect rather than cause, makes me look at price action differently, it eliminates the possibility of using volume as a leading indicator.

As for longer term trades, Not been there, Not done that.

It is your next statement for which I am making the post.

for every day is a new day, with different perceptions and different degree of noise, with no patterns of continuity, unless such a continuity is random.

Trying to comprehend it. I kinddof agree but am puzzled at the same time.

Yes agreed that every day is a new day, with different perceptions and different degree of noise,

But if it means there is no patterns of continuity, unless such a continuity is random then what are we looking at for an edge?

By looking for patterns of continutity (trend) are we being fooled by randomness?

Is this what you mean to say?

Have few more question regarding ID & longer TFs, but will save them for next post.

Thanks
nb

 

[uasish]

Zeel Fut 1min for Price volume relationship.