|
PureBytes Links
Trading Reference Links
|
Neal,
I've always loved the fib numbers. I use them in my moving average
templates and start at 13 and overlay each moving average through 144.
They provide great support and resistance levels (really haven't seen them
used as S & R). I'm fond of momentum oscillators and I think I understand
their strengths and weaknesses. I apply a whole bevy of them to price
movement. I favor: Bollinger Band and MACD Histograms, Coppock Curve,
StoRSI's, and a number of borrowed, tweaked, and reformatted oscillators:
FibAccordian (moving averages subtracted from each other and summed),
Kaleidoscope (a combination of True Strength Index, Linear Regression
Slope, and Stochastic Momentum Indicator), and a Linear Regression
Oscillator (here's a freebie in MS language):
(LinearReg(C,13)/Ref(LinearReg(C,13),-13))-1
There's not a formula that I use that I haven't modified and substituted
with fib numbers. I guess I have a "fib fetish". The combination of
moving averages, momentum oscillators, and fib retracements and projections
tend to keep me out of trouble. Too many people want "no brainer systems"
(yes, I have developed those also) and think TA is a science as opposed to
an art. Nothing substitutes for years of research and trading experience.
Give me a dart and good money management principles and I can "tread
water". Give me the best "all of the above" and shabby money management
techniques and you can kiss my equity goodbye.
Did I mention candlesticks and Edwards and Magee? Maybe next time.
Steve Karnish
CCT
----------
> From: Neal Hughes <neal@xxxxxxxxxxxxx>
> To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
> Subject: Re: fib retracements
> Date: Thursday, April 08, 1999 11:18 AM
>
> At 10:48 AM 4/8/99 -0700, Steve Karnish wrote:
> >Realtraders:
> >
> >How could anyone benifit from this approach? It missed the retracement
top
> >in wheat by 13 hundreds of a penny and if you check out corn, it was way
> >off (fib retracement = 233.94 and the market on blew right by it to
> >234.25). I don't know about you folks, but I hate all this slippage.
I'm
> >going back to my Larry Williams books.
> >
> >Steve Karnish
> >CCT
> >Attachment Converted: "c:\eudora\attach\47wk.gif"
> >
>
> Steve,
>
> You'll have to improve your techniques, it looks like
> you may not be precise enough... And you don't expect
> people to believe that you were able to calculate/predict
> these prices **before** the market got there* !!!
>
> Joking aside (I love Fibonacci too), you must be trading with
> orders already in the market. I find that these techniques
> are so good that you often need to have an order in place or you
> miss the opportunity.. I'm speaking of the Stocks world, though
> I know Futures traders have the same problem.. When your techniques
> are good, it's tougher to get a fill.. When a fill is too easy,
> it's often a fill I don't want!
>
> Having a leading indicator (Fibonacci) is a powerful asset, but
> the trick is to decide on which Fib retracements to trade,
> and which to ignore. I have my methods, but I'd be interested
> to hear your perspective on this..
>
> Are you using Fibonacci for profit objectives too?
>
> I recognize your name, forgive me if we discussed this before,
> but I think it will be of interest to other list members too.
>
> Best wishes,
> -Neal.
>
> -----------------
> Neal on the 'net.
> Trade well. Train hard.
> http://www.halcyon.com/neal/
|