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[Bob, question for you at last paragraph]
Bob, the results are just as good. I have used Winmidas algorithms on a
10 minute intraday chart on futures contracts that covers the market on a 24
hour basis. ie day & night session trading. I beleive that if you just use
the midas on just day/pit trading then your breaching the theoretical
foundations of the midas method. Normally one would disregard night sessions
due to the illiquidity of the market at nights but the midas approach
allows you to include night sessions because it actually in essence weights
price by volume to a degree, so if theres no price change, hence no volume,
theres no change in s/r nor topfinder, & if there is a price change it is
in essence wieghted to a degree by the trade volume. So although you get
horizontall s/r levels during night sessions they are very valid & at all
times provide very good s/r levels.
Using just day data will often give gaps in mornings & it takes a while
for the s/r levels to adjust , by which time half the morning is over.
I suppose that it works on futures because the principles on which the
algorithms are based on, which is what I find very appealing about this
analysis method , also apply in any market. [ look in papers by paul levine,
approx 20 pages at www.winmidas.com ] .
The volume figure that I use in the 10 minute chart is the total volume
traded for that period of tme, ie 10 minutes. Using a volume of 1 would be
entirely incorrect, & would give you an anchored moving average of price
from the launch point. This totally disregrds the theoretical foundations of
the midas method.
Bob I find that s/r levels are more appropriately found if you launch
the s/r level just a little to the left of the absolute apex of a high or
low. Do you find the s/r to be a better fit than from launching from exactly
the apex of the high or low. I theorise that this is because new
buyers/sellers , that create the trend change, dont begin to enter markets
at exaclty the apex turning point but generally a little bit before the apex
turing point. This I feel fits in very nicely with Levines theory on which
the algorithims are based on
regards Peter
-----Original Message-----
From: BobRABCDEF@xxxxxxx <BobRABCDEF@xxxxxxx>
To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
Date: Thursday, 23 July 1998 20:07
Subject: Re: MKT WINMIDAS
>Peter, you asked where the Top Finder is for the SPX, it is behind us now
on
>the attached chart. The initial support for the SPX is 1144 using the most
>recent launch point. SPX low on Wednesday was 1155.2 intraday.
>
>BobR
>RussF
>
>In a message dated 98-07-23 04:41:35 EDT, you write:
>
><< Subj: Re: MKT WINMIDAS
> Date: 98-07-23 04:41:35 EDT
> From: derivatives@xxxxxxxxxxx (peter)
> Sender: owner-realtraders@xxxxxxxxxxxxxx
> Reply-to: derivatives@xxxxxxxxxxx
> To: realtraders@xxxxxxxxxxxxxx (RealTraders Discussion Group)
>
> Bob, I forgot to ask where the Top finder curve was currently on S&P & the
> DJIA. Last I saw it was at 1100 on the spoo.
>
> regards Peter, Sydney Australia.
>
> - >>
>
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