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try looking at dual timing concepts .. this can help alleviate to some point
the whipsaws.. it was in my article.. thanks
Andy Abraham cta
-----Original Message-----
From: A.J. Maas <anthmaas@xxxxxx>
To: metastock@xxxxxxxxxxxxx <metastock@xxxxxxxxxxxxx>
Date: Friday, October 02, 1998 5:52 PM
Subject: Re: "Trade The Trend"
>Hallo Andrew, Harvey, David et all,
>
>Thanks for your input, and Andrew thanks for attending the discussion on
your
>excellent Trading The Trend article.
>
>Regarding Davids question, "the underlying enters a trading range, would
>you get whiplash?", for this the answer lies within the question.
>The articles title, subject, goal and as such its indicator is fully
expressed in its
>main prime target, the Trend.
>Trading the trend, in this, does not cover for the "Trading The Traders",
eg the
>technical corrections trading periods.
>This "phrase" in the wider sence, then would have had to be included in the
>article and/or in its title.
>
>>From writing and testing the "TTT-Trend Trailing Ind"-indicator for
Metastock,
>have discovered that its all "in the name", close your trades wich were
made and
>based on the Trend, when on entering the technical corrective periods.
>Then for such an entering on the different market mode, with its own
characteristics,
>switch to the "Trading The Traders" period, periods for wich other
indicators and
>systems are and have been written, or bypass, or just omit. Apart from, as
Andrew
>also suggested and wich is my LT experience as well, use the immens variaty
in
>tools, eg patterns and trendlines and other indicators, as the
trends/prices
>forecasters and divisors. We all know that not all forecasts will become
true.
>As is with anything when analysing.
>
>True trends are continuious periods of higher highs and higher lows, any
breach
>of this repeatedly rythm can be seen as a corrective period, will it be for
the ST,
>IMT,MT or LT.
>For the immediate VST, Andrews indicator can be traded if a trend developes
>or ends(temp). As such NO FALSE signals can be generated by this indicator,
>as it reflects clean Trends support/resistance.
>
>As such have forwarded to the List the TTT-TDS and RWI systems using the
>- along with what is already been written on use of patterns ages ago
>(eg Elliot Waves, Edwards & Magee, Candlesticks etc.) -
>indicators to help to detect the markets "impulsive" switches in trend and
>corrective cycles modes. Previous mails on the MESA cycles as such were
>also targeted on the 'trend/trade' subjects.
>
>Regards,
>Ton Maas
>Ms-IRB@xxxxxxxxx
>
>
>
>
>-----Oorspronkelijk bericht-----
>Van: angus@xxxxxxxxxxxx <angus@xxxxxxxxxxxx>
>Aan: metastock@xxxxxxxxxxxxx <metastock@xxxxxxxxxxxxx>
>Datum: vrijdag 11 september 1998 0:39
>Onderwerp: Re: "Trade The Trend"
>
>
>>Hi Harvey,
>>
>>I agree that any trend following system can whippsawed.. but the way I use
>>trend rider is to give me the idea where I stand in the market.. upon
>>knowing that .. I have patterns that I trade.. these patterns repeat
>>themselves over and over.[but each are a random event and there is no
>>gurantee when I put on a trade then pattern will work.. but over time ..
>>and ifI am consistant .. then that is my edge..and I will and do succeed.
>>Your are mistaken that just because I have a change in wave.. Trends are
>>made up of waves.. in uptrends you have upwaves and downwaves.. I only
look
>>to trade upwaves in uptrends and sell downwaves in downtrends.. I take
>>that as the only signal for a trade..In order to advance .. one must look
>>for low risk trades.. recognize them.. feel good about them.. and
execute..
>>that is it.. Trend Rider isn't magic.. it simply just gives a trader an
>>idea where they are located in the trend .. I hope this helps more...
There
>>are no magic indicators or systems... it is just a numbers game.. with
>>probabilities.. and we as traders ... have to be carefull we don't make
>>mistakes that aren't part of our game plan..
>>
>>Andy Abraham cta
>>Trend Rider
>>Angus Jackson
>>
>>At 01:00 PM 9/10/98 -0700, you wrote:
>>>David/
>>>
>>>With regard to this particular indicator, it flips back and forth
>>>between uptrend and downtrend. This is fine as long as there is a
>>>steady trend; used as an exit signal it will get you out before you give
>>>up too much. However when prices go sideways the flips will occur at
>>>short intervals. Anyone using the indicator for entry and exit signals
>>>would be continually buying and selling and losing more than they make.
>>>These trades are called whipsaws. Given enough of them and you may well
>>>suffer whiplash.
>>>
>>>Most systems are trend-following. Prices spend only a part of their
>>>time in trends of any duration. Therefore trend-following systems
>>>attempt to enter as soon as possible after the trend begins and exit as
>>>soon as possible after it ends, and to stay out of the market while
>>>things are flat. How to achieve that is what we're all trying to find
>>>out, since the market has endless variations.
>>>
>>>Harvey Pearce, Victoria, B.C., Canada
>>>=====================================
>>>
>>>
>>>
>>>David Duggan wrote:
>>>>
>>>> I am a trend trader and I am interested to know what happens to these
>>formulas
>>>> when the underlying equity enters a trading range.
>>>>
>>>> Would you get whiplash?
>>>>
>>>> It has been my experience the more sensitive a system is to "potential
>>breakouts"
>>>> the more false signals are generated.
>>>>
>>>> I haven't programmed everything on this thread related to this subject
>>yet but I
>>>> have started.
>>>>
>>>> David Duggan
>>>>
>>>
>>>
>>
>>
>
>
>
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