Re: BouncingTicks_was get this

[Paul Weston <PaulWeston@xxxxxxxxxxxxxx>]

>
This is actually a good question since there is a wide misunderstanding of
the thing.  It is a method of approximating the action of the market
flopping around in order to see if it will hit your exit.  It does not
affect entries.  Since TS only keeps track of the O,H,L,C,V, and OI on a
bar, it is not possible to tell if the H or L was hit first.  So if you use
a profit target and a fixed money management stop, it is not possible to
tell which stop was hit first, if both could have been hit by the same bar.
If your bouncing ticks percent is set to 10%, TS assumes that the bar
opened, went against the trade 10% of the range of the previous bar and
then
went in the direction of the trade (if it went that way at all), before
closing out the trade.

William Brower
Publisher of TS Express 
Email: 1000mileman@xxxxxxxxxxxxxx
Web: http://www.insideedgesystems.com

<

William -

Thanks for the  excellent post.

It would seem that given what you say,  the conservative approach would be
to set the percentage to 100%, ie assume the maximum adverse before any
positive.  Given Murphy's law, that would be the case.

Do you concur with that approach,  or did I miss something?

Thanks,
Paul Weston