TD Waldo Pattern # 2

[cbratton 10]

I'm having trouble intrepeting what this pattern means. It's Demark's Waldo Pattern Number Two.

 

This is what I got out of the book (Demark Indicators):

 

Pattern Two:

 

The market records a fresh high or low for a move, but closes higher than the four previous closes (for a potential base)

 

OR

 

The market closes lower than the four previous closes (for a potential top)

 

OR

 

The close of the trend high is greater than the previous price bar, or the close of the trend low is less than or equal to the previous price bar

 

AND

 

A down close occurs after a high or an up close occurs after a low, and the close following the high is greater than the close prior to the high, or the close following the low is less than the close prior to the low.

 

 

 

This is what I think it means a in more simple form:

 

FOR A TOP:

 

The market records a fresh high or low for a move ?

 

AND

 

closes lower than the four previous closes (for a potential top)

 

OR

 

The close of the trend high is greater than the previous price bar

 

AND

 

A down close occurs after a high

 

THEN

 

The close following the low is less than the previous low.

 

 

FOR A BOTTOM:

 

The market records a fresh high or low for a move

 

AND

 

closes higher than the four previous closes (for a potential base)

 

OR

 

The close of the trend low is less than or equal to the previous price bar)

 

AND

 

A up close occurs after a low

 

THEN

 

The close following the high is greater than the previous high

 

 

 

 

But when I try to write a code it still seems wrong.

 

Any Help?

[trader273 10]

probably help if you would post the code. You are basically asking someone to do it for you right now.

[gus 10]

The only Waldo pattern I've found to work real time is Waldo 3

and it is a good indicator.

[trader273 10]

Check out this guy's website:

 

[gus 10]

Thanks for a reply, but since no http addy is included, I'm wondering just what site you are suggesting.

[trader273 10]

Thanks for a reply, but since no http addy is included, I'm wondering just what site you are suggesting.

 

 

Are you kidding me? It's Where's Waldo, would you really go to a site that had a cartoon as its spokesperson for trading advice??:haha:

 

lol

[enochbenjamin 10]

too funny! just made my day!

:rofl:

[diablo272 10]

hahahahahahahahahahaha

[3monkeys 10]

These Waldo patterns are not as amusing as they seemed and they are hard to spot at times. Waldo #2 is generally back plotted by one bar (ie, plot1[1] ) whilst Waldo #3 is plotted in real time or end of bar.

 

The EOD reversal today (11-19-2009) or beginning of a reversal in ES showed the efficacy of this pattern (Waldo #2, yellow dot at 13:00 exchange time).

 

 

http://books.google.com/books?id=GZtlA991lNYC&pg=PT199&lpg=PT199&dq=demark+waldo&source=bl&ots=GsiDAoHonR&sig=nKmYjAteHAV1_DxVu20rxx3uuqU&hl=en&ei=yLIFS7vCBoH_nAfd5PjJCw&sa=X&oi=book_result&ct=result&resnum=5&ved=0CBAQ6AEwBA#v=onepage&q=demark%20waldo&f=false

Edited November 19, 2009 by 3monkeys

[underwaves 10]

Are you kidding me? It's Where's Waldo, would you really go to a site that had a cartoon as its spokesperson for trading advice??:haha:

 

lol

 

Well, would you? As it turns out Waldo IS the spokesperson for DeMark.

 

Demark says, " Waldo Patterns were inspired by the children's cartoon character whose caricature is camouflaged within a background of numerous other cartoon figures. The game is to locate him. Once he has been identified, the task the next time becomes simple. However, the challenge is to accomplish this feat initially. Likewise with market observations and price patterns -- the identification process is easy once successfully performed. This is why they are called Waldo Patterns."

 

It's a shame the post is so old... but had to point that out, lol..

[aaa 10]

Hi trader273

 

U can test Waldo 2 indicator here

 

http://www.traderslaboratory.com/forums/trading-indicators/8125-td-waldo-02-a.html

 

and Waldo 3 indicator here

 

http://www.traderslaboratory.com/forums/trading-indicators/8415-tom-demark-waldo-3-a.html