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Hi Gerry,
I typed up a long response, then decided not
to send it... That feels like a waste of
effort, but I think this approach will be
more beneficial.
1) What sort of hard numbers are you looking for?
2) How will these numbers benefit you?
I could post tons of charts with "Buy" and "Sell"
on them, but that would end up being a commercial
for a book/course.
Important: Don't buy a book or course just because
Neal likes it. There are many traders on this
list who recommend many good books. Rather, explore how
the techniques may or may not help your trading, then
decide if they are appropriate for you.
Also, no two traders have the same results with discretionary
techniques.
-Neal.
At 06:29 PM 7/7/98 -0400, you wrote:
>Neal,
>
>I noticed that you are eager advocate for the DiNapoli's technique. This
almost
>made me to purchase the book.
>Could you share your trading success with us using these techniques (please,
>add some hard numbers).
>Thank you.
>
>Gerry
>
>
>
>Neal Hughes wrote:
>
>> Hello Ulrich,
>>
>> Any indicator which issues a signal AFTER price has moved,
>> is a lagging indicator. MACD, Stochastic, RSI, Moving Averages
>> as they are commonly used are lagging.
>>
>> Leading indicators (attempt to) tell you where prices
>> will go (or turn/find support/resistance) BEFORE they
>> get there. Leading indicators are predictive (though not
>> reliable for mechanical/blind trading). It's fair to say
>> that leading indicators usually require subjective
>> human interpretation, which is why novice traders
>> have difficulty with them.
>>
>> Examples of leading indicators are Gann, Elliott, Fibonacci,
>> Astrology, price patterns (such as Triangles, Double-RePo's,
>> Head-and-shoulders), and price pattern failures (Head-and-shoulder
>> failure for example) etc.
>>
>> I use Fibonacci, price-patterns, and price-pattern failures all the time.
>> For me, trading without leading indicators is like flying an airplane
>> in fog without instruments.
>>
>> Combining leading and lagging indicators across multiple
>> time-frames is very powerful. Leading indicators are valuable
>> in deciding when to fade a common lagging indicator. For example, you know
>> that the blind followers of the common Stochastic 25/75 will be
>> on the wrong side of the market on the first false signal it gives
>> near major Fibonacci support/resistance (they will drive price
>> right to a Fib level, where your entry stop is, then they will
>> be scrambling to reverse just as you are taking a profit)....
>>
>> Best wishes,
>> -Neal.
>>
>> ---
>> DiNapoli Fibonacci techniques -
>> http://www.fibtrader.com
>
>
>
>
---
DiNapoli Fibonacci techniques -
http://www.fibtrader.com
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