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I have a no nonsense stop.  My options expire.  No complaints, I’ve
been fortunate.  And I’ve followed your work for a long time.  Don’t understand
it but it works pretty good along with your management system. 
  
The next couple weeks could be interesting.  Good luck, Jim 
  
From:
realtraders@xxxxxxxxxxxxxxx [mailto:realtraders@xxxxxxxxxxxxxxx] On Behalf
Of Ben 
Sent: Sunday, October 18, 2009 9:18 PM 
To: realtraders@xxxxxxxxxxxxxxx 
Subject: RE: [RT] Re: Failure of studies/patterns 
 
 
  
   
Hello Jim 
Solar Man
had times when he was right 
And times
when he was wrong 
Same
with  Al 
We all
have  our good  spells and bad spells 
One ALWAYS
have to trade with stops 
When
wrong,, your loss small,, 
All the
best 
Ben 
  
  
From: realtraders@xxxxxxxxxxxxxxx
[mailto:realtraders@xxxxxxxxxxxxxxx] On Behalf Of Jim Ross 
Sent: Sunday, October 18, 2009 8:54 PM 
To: realtraders@xxxxxxxxxxxxxxx 
Subject: RE: [RT] Re: Failure of studies/patterns 
 
  
 
 
When you get that million Ben you can
buy SolarMan’s algorithm that Al Larson mimicked.  Oops, he was selling it
for $64M. 
  
Jim 
  
From: realtraders@xxxxxxxxxxxxxxx
[mailto:realtraders@xxxxxxxxxxxxxxx] On Behalf Of Ben 
Sent: Sunday, October 18, 2009 8:39 PM 
To: realtraders@xxxxxxxxxxxxxxx 
Subject: RE: [RT] Re: Failure of studies/patterns 
 
 
  
 
 
Thanks 
That’s 1 million I owe you 
Ben 
  
  
From: realtraders@xxxxxxxxxxxxxxx
[mailto:realtraders@xxxxxxxxxxxxxxx] On Behalf Of SergeyTS 
Sent: Sunday, October 18, 2009 8:36 PM 
To: realtraders@xxxxxxxxxxxxxxx 
Subject: Re: [RT] Re: Failure of studies/patterns 
 
  
 
 
   
Can you run the 10, 20, and 40 week cycle
and show us what it predicts? For same period? 
 
  
 
----- Original Message -----  
 
Sent:
Sunday, October 18, 2009 8:22 PM 
 
Subject: RE:
[RT] Re: Failure of studies/patterns 
 
 
 
Thanks for giving us the future of Dow, on
a silver platter 
Can you run the 10, 20, and 40 week cycle
and show us what it predicts? For same period? 
All the best 
Ben 
 
 
   
BTW, this is forecast based on last 4 dominant cycles: 
 
  
 
----- Original Message -----  
 
Sent:
Sunday, October 18, 2009 6:25 PM 
 
Subject: Re:
[RT] Re: Failure of studies/patterns 
 
 
 
  
Clyde, I think this is some kind of
misunderstanding. 
 
MESA deals with dominant cycles, this is not a tool
that calculates the cycles more accurately. It simply deals with not ideal
cycles. 
 
For example, it deals with the cycles whose
period and/or phase changes. This is the main reason why MESA has been
developed. The most tradable cycles mostly exist as dominat cycles (as cycles
change constantly), the stable cycles are economical cycles only (like Kitchen
or Juglar cycles). 
 
This fact changes the whole situtation
drastically:  we constanly should recalculate spectrogrtam (when
the new price history is coming). And we cannot apply classical
back testing here. 
 
----- Original Message -----  
 
Sent:
Sunday, October 18, 2009 12:47 PM 
 
Subject: Re:
[RT] Re: Failure of studies/patterns 
 
 
 
  
Here is the type of study you mentioned but in this
case 
 
only 10 years of data is used and the
"normal" Fourier 
 
synthesis is used and results are from four periods. 
 
----- Original Message -----  
 
Sent:
Sunday, October 18, 2009 6:29 AM 
 
Subject: RE:
[RT] Re: Failure of studies/patterns 
 
Thank you Clyde. I have a question.
After having determined the single frequency candidates using MESA and
optimizing the shifting as indicated, if we went back and instead performed a
brute optimization of all frequencies (including optimizing shifting), wouldn’t
we get similar results? In other words, are there more than just these three
frequencies that could be “made” to work and if so, what does that tell us? 
The reason I ask is that it appears your
method “may” be tying into the natural tendency of the markets to rise over
longer periods (to varying degrees) and I wonder out loud if the distribution
of frequencies couldn’t be more random and still work. 
Regards, 
 
Gene 
From: realtraders@xxxxxxxxxxxxxxx
[mailto:realtraders@xxxxxxxxxxxxxxx] On Behalf Of Clyde Lee(swb) 
Sent: Sunday, October 18, 2009 12:16 AM 
To: realtraders@xxxxxxxxxxxxxxx 
Subject: [RT] Re: Failure of studies/patterns 
 
 
 
 
  
This discussion turned into a discussion of fixed
period 
 
"waves" based on a non-analytic method. 
 
I prefer an analytic method for examining periods of  
 
waves and use the Maximum Entropy method to measure 
 
However, I take a simple approach for fixed wave
projections 
 
and use a trading model based on fixed Cosine waves
and  
 
trade at inflection points which are optimized for
lead/lag of 
 
the fixed wave over a very long period of time. 
 
The attached pictures indicate that MESA analysis says
that 
 
there are 82 month, 108 month, and 262 month LONG 
 
period waves in the DJIA from 1921 to now. 
 
The results of each model and the composite model are 
 
shown in the attached pictures. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
    
    
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