Sunday, August 28, 2016

My take on the Evolution indicators

Price vs the EMA.  It looks prudent to pay particular attention to the closing price primarily.  For me, I'm ignoring intraday breeches until it looks like we will close on the wrong side.  Then I think it becomes very accurate.  Note- This means the platform needs to be set up with a open/hi/low/close bars instead of hollow candles

pivot points - like the SD below, these can disappear.  I think these are tied directly to the SD, and you don't get one without the other.

UO - mannarino says to ignore day to day noise and focus on multiple days or several weeks.  If this is the case, one day of the UO going against you isn't a big deal.  Also if it's flat, that seems to be as good as going with you, or at least very close. 

SD - these are the worst and the best indicators.  They are usually the first, but then sometimes they disappear!  So you have to be careful.  Half a peak here is not a peak at all, I'm ignoring completely.  Even a full peak can disappear, but I think if there is a full up and down peak, and then another day goes buy, it's fixed.  I can't seem to find any importance for the height of the peak.

CMO - This one is good for sure, but a bit late compared to SD.  Usually if you wait for this one, you miss a day of profits, but I suppose that is better than catching several days of losses.  This also seems to be one of the first indicators to flip against a trade.  Ironically, this actually is supposed to indicate the reverse of what we use it for, but due to the modifications made, it works differently.  For getting out of a trade, it might work best to wait for this to move against you 2 days.  I'll pay attention to this moving forward.

In the end there is a little bit of gray area, but very little.  Most of the gray area is based on when to get out.

2 comments:

  1. Thanks for doing this..this blog is extremely helpful for me as I am still looking for some software that can help me run the system as I am outside US. thanks again.

    ReplyDelete
  2. Thanks for doing this..this blog is extremely helpful for me as I am still looking for some software that can help me run the system as I am outside US. thanks again.

    ReplyDelete