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Zig-zag finds exact tops and bottoms in a price chart based on your
setting of % movement. To do this it looks forward from a low point
until it finds the price has moved up the % you specified (5% for
example). It then goes back a marks the exact turning point. Same for
tops. For this reason (looking forward to find the when price has fallen
from a peak or risen from a bottom) you cannot trade the zig-zag
real-time. If you backtest it gives fantastic results because of this
look forward.
--
Terry
| -----Original Message-----
| From: amibroker@xxxxxxxxxxxxxxx [mailto:amibroker@xxxxxxxxxxxxxxx] On
| Behalf Of raven4ns
| Sent: Saturday, August 06, 2005 09:06
| To: amibroker@xxxxxxxxxxxxxxx
| Subject: [amibroker] re:zigzag
|
| Hello,
| Would someone please tell me what the zigzag indicator does and how
| to
| use it, please?
| I've seen it before but don't understand it. Thank you.
|
| Tim
|
|
|
|
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