The Price / Volume Relationship

[Boux 10]

Thanks Spyder---I'm learning some things from all of this-----and I also see why you haven't done more of it---much appreciation!

[romanus 10]

please disregard this post as being off topic :doh:

Edited January 28, 2010 by romanus

[innersky 10]

Then name the differences anything you like. Up / Down, Left / Right, Goat / Hedgehog or whatever other binary pattern suits you. The vocabulary isn't nearly as important as recognizing a subtle difference in the object itself (at this point in time). For example, the first example of a Lateral (today), moved in the opposite direction of the previous bar (Note, how I did not use Dominant nor Non-Dominant here). Whereas, yesterday's examples formed in the same direction as the previous bar (to the actual lateral). Clearly, such a thing would represent a subtle difference.

 

At some point in the future (once you do have a better handle on Order of Events), you can always change the vocabulary.

 

- Spydertrader

 

Spydertrader,

 

Do you mean the bar before bar 1 that starts the lateral? And if so, does it mean that this bar is important in the differentiation process?

 

--

innersky

[dkm 10]

Once you can see the various situations, you then focus on Order of Events (noting any differences from one situation to another). For example, the lateral which formed today beginning with the 11:10 Bar began at a completely different point along the continuum than 'Ezzy's Lateral.'

- Spydertrader

 

The lateral at 11:20 on the 26th Jan is post p3, so it must be the 2b portion of the b2b-2r-2b. "Ezzy's lateral", which I presume is the lateral beginning at 09:45 on the 25th Jan, contains the 2r-2b portion of the b2b-2r-2b sequence beginning at 16:05 on the 24th Jan. I personally cannot see the 2b portion on the ES 5 min but it would seem that the ym is sufficient to confirm that it exists.

[Spydertrader 10]

Do you mean the bar before bar 1 that starts the lateral?

 

Correct.

 

And if so, does it mean that this bar is important in the differentiation process?

 

If one becomes confused when attempting to determine Dominant vs. Non-Dominant, I simply provided an alternative method for differentiating how a Lateral Forms. Otherwise, one need not even pay attention to it.

 

- Spydertrader

[saturo 10]

Spyder - a basic question about the volume sequence that might benefit others as well:

 

Can volume sequences overlap? By this I mean can the 2R or 2B of a trend also play a "double" role by being part of the ensuing trend?

 

For example - this would mean that a 2R of an up trend is also "counted" as part of the R2R of the ensuing short.

 

If my question is unclear I will try to clarify with a picture.

[Spydertrader 10]

Can volume sequences overlap?

 

If you logically think this through, you'll realize you already know the answer to this question.

 

All trends overlap at the FTT (Point One). No Trends overlap at Point Two. Ocassionally, some trends overlap at Point Three (what Jack and Neoxx discused as "the golden triangle").

 

What Volume Sequences cause Price to move from Point One to an FTT?

 

What Volume sequences push Price from Point One to Point Two? To Point Three?

 

Once one arrives at an FTT of a specific fractal, then the non-stationary window (for that specific fractal) has closed. As such, 'sequences' are not shared in the fashion your question specifies.

 

- Spydertrader

[sambrown 10]

Haven't we ween this before?

[dkm 10]

Spyder - a basic question about the volume sequence that might benefit others as well:

 

Can volume sequences overlap?

 

The answer that you are seeking is NO.

[TheDon 10]

I included gaussians today. I am sure that I have jumped fractals in some cases, though through portions of the day it felt based on my traverses and trendlines that I was in sync.

 

By 'doing the work' I am learning a lot.

 

Apologize for jumping into the lateral posts and being off primary topic, but it helps me to have accountability by posting my charts

[Spydertrader 10]

I included gaussians today.

 

Attached, please find an over view of 'the bigger picture' as Volume moved Price from Point One to Point Two and from Point Two to Point Three. After reaching Point Three, Volume moved Price in the direction of the 'bigger picture' FTT (until we ran out of day).

 

All one need do now, is 'nest' the various faster (than the 'bigger picture') Gaussians within the Price and Volume Containers in an effort to learn what must always take place before a specific order of events has completed.

 

One can go as far down the rabbit hole as one wishes.

 

- Spydertrader

[cnms2 10]

The lateral at 11:20 on the 26th Jan is post p3, so it must be the 2b portion of the b2b-2r-2b. "Ezzy's lateral", which I presume is the lateral beginning at 09:45 on the 25th Jan, contains the 2r-2b portion of the b2b-2r-2b sequence beginning at 16:05 on the 24th Jan. I personally cannot see the 2b portion on the ES 5 min but it would seem that the ym is sufficient to confirm that it exists.

I don't understand what 2b can't you see (in your attachment ? in Ezzy's lateral ?), but I believe your conclusion is incorrect: you should be able to trade based on what you see only on the 5 minute ES chart, without relying on the YM 2 minute.

[dkm 10]

I don't understand what 2b can't you see (in your attachment ? in Ezzy's lateral ?), but I believe your conclusion is incorrect: you should be able to trade based on what you see only on the 5 minute ES chart, without relying on the YM 2 minute.

 

"Ezzy's lateral" - 09:45 25th Jan. Spydertrader suggested that I look at the YM to assist with my difficulty to see the 2b on the ES.

http://www.traderslaboratory.com/forums/34/price-volume-relationship-6320-124.html#post87581

[TIKITRADER 10]

One can go as far down the rabbit hole as one wishes.

 

- Spydertrader

 

Spy drill . . . or art ? ( Composizione, 1921 Serigrap by Piet Mondrian )

Edited January 29, 2010 by TIKITRADER

[Tams 20]

Spy drill . . . or art ? ( Composizione, 1921 Serigrap by Piet Mondrian )

 

or a modified Rothko ?

[MomentumMike 10]

Salutations All,

 

I've read the posts in this thread many times and I think/hope that I'm ready to join the discussion. I've decided to start by posting my view of the first day of the Channel Drill. (I hope that attempts to resolve this exercise are still welcome.) I found myself accelerating/decelerating TL's according to what I felt the Gaussians were telling me. So, the TL's aren't "clean". Heck, I'll be happy if concensus tells me I've identified the correct number of tapes. I'm very interested in anybody's view on my interpretation of the Gaussians, especially through laterals. TIA for any comments. And thanks to Spyder and all contributors for a thought-provoking mountain of material.

[Ezzy 10]

Today's chart. Medium weight gaussians are building (inside) the medium weight traverses.

[Spydertrader 10]

TIA for any comments.

 

I encourage you to change from Candlestick Charting to Bar (OHLC) charting.

 

- Spydertrader

[romanus 10]

I found myself accelerating/decelerating TL's according to what I felt the Gaussians were telling me.

I am somewhat intimately familiar with that particular day. And also, I was fortunate to receive some guidance on what subtle differences exist on that day. I believe that the attached reflects the order of events accurately.

[romanus 10]

Today's chart. Medium weight gaussians are building (inside) the medium weight traverses.

I wonder why the 1540-1555 can't be considered as b2b2r2b on some super-extra-fast level?

[frenchfry 10]

Hi romanus,

 

as a beginner may I ask you about this in your chart... "...the gaussian lines should ALWAYS match the trendlines..." (or maybe it was the other way around.). How does this workout in your chart?

 

Thanks.

[romanus 10]

Hi romanus,

 

as a beginner may I ask you about this in your chart... "...the gaussian lines should ALWAYS match the trendlines..." (or maybe it was the other way around.). How does this workout in your chart?

 

Thanks.

In the chart that I posted for every line drawn in volume pane (gaussian) there exist a corresponding pair of lines (trendlines) drawn in price pane. The relationship between those two ( namely a pair of trendlines and gausisan line) can be described using the verb "match". Where do you see the contradiction between your premise ("...the gaussian lines should ALWAYS match the trendlines...") and what is drawn?

[TIKITRADER 10]

In this image is a lateral. This should be one that fits the the current topic.

 

Can the direction of this lateral exit be known with just the information shown ?

is there enough information here for . . .

 

1) Differentiation

 

2) Context

 

3) Order of events

 

 

This is for anyone who wants to answer any or all questions.

 

additionally . . . Spyder, could you just give a yes or no to each question here if possible ?

 

EDIT: All bars are finished, none are forming

Edited January 30, 2010 by TIKITRADER

[TIKITRADER 10]

One more lateral that meets current topic.

 

 

Differentiation

 

Context

 

Order of events

[ptunic 10]

I'm going to take a stab at this.

 

I would say yes to 1) and 3) but No to 2). There is a lack of needed context here.

 

Is this already inside some other lateral? Is that at the beginning or ending of day which might affect the volume bars?

 

However if we know this is middle of day, not in the FOMC or other unusual event, and not inside a bigger lateral itself, in other words in normal context if there is such a thing, then I think this would be sufficient to know where it exits in both of these examples.

 

I will just tackle the 2nd one for now since I'm studying those right now. In that case, I think it is a Dominant lateral, with black being the dominant direction. I believe this would BO to end the lateral in the dominant direction (black).

 

Attached is what I believe is a similar lateral as your 2nd one. My example is jan 24, 13:05.