Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

cdcaveman

BBSqueeze, PBFSqueeze, CounterTrend

Recommended Posts

i'm a little confused about what the difference is.. i would like to adjust the settings a little as well.. they seem to produce alot of noise.. anyone with experience with these can help?

 

can you explain a bit more on your observation?

 

and what would you like to improve?

 

can you post a few screen shots? with arrows and notes describing your concern?

Share this post


Link to post
Share on other sites

Can you post the code you're using? That would simplify getting everyone on the same page.

 

i'm a little confused about what the difference is.. i would like to adjust the settings a little as well.. they seem to produce alot of noise.. anyone with experience with these can help?

Share this post


Link to post
Share on other sites
Can you post the code you're using? That would simplify getting everyone on the same page.

 

i'm working on it i reconfigured my computer to make it faster with solid state drives so i'm loading all my stuff back on it.. i tried using print screen but i didn't have photoshop on thecomputer or anything to edit it.

it just seems like i'm getting a ton of noise on the idicator.. that or i'm reading it wrong.. i'll show you a screen shot with captions to explain my questions thanks Carey

Share this post


Link to post
Share on other sites

now i've attached a screenshot.. it seems like there is alot of lag in this indicator.. my other question is what isthe difference between the pbfsqueeze bbsqueeze and countertrend and how is it read? and how would one suggest to adjust the parameters to reduce noise..

5aa710dec35dc_EURUSD(5Min)3_19_2012.thumb.jpg.4ca685918a033a3c641d7da42e181ce3.jpg

Share this post


Link to post
Share on other sites

Regarding the code I asked for ...I don't use NT so keep that in mind before you go to any trouble to post it. I don't know the answer to the difference between these versions.

 

now i've attached a screenshot.. it seems like there is alot of lag in this indicator.. my other question is what isthe difference between the pbfsqueeze bbsqueeze and countertrend and how is it read? and how would one suggest to adjust the parameters to reduce noise..

Share this post


Link to post
Share on other sites
now i've attached a screenshot.. it seems like there is alot of lag in this indicator.. my other question is what isthe difference between the pbfsqueeze bbsqueeze and countertrend and how is it read? and how would one suggest to adjust the parameters to reduce noise..

 

Although I wouldn't go as far as to say that 'squeezes' are a complete waste of time, there are far more useful things that you could be looking at. All markets move through volatility cycles, but only certain markets demonstrate directional volatility.

 

If you do want to trade with this type of indicator then have a read through "Bollinger on Bollinger Bands" first. It's widely available as a free pdf online.

 

Hope that helps.

 

Bluehorseshoe.

Share this post


Link to post
Share on other sites
now i've attached a screenshot.. it seems like there is alot of lag in this indicator.. my other question is what isthe difference between the pbfsqueeze bbsqueeze and countertrend and how is it read? and how would one suggest to adjust the parameters to reduce noise..

 

generally speaking, indicators work different on each pair, time frame and trend conditions. so you may want to adjust settings accordingly. anyway using single indicator is dangerous ;)

Share this post


Link to post
Share on other sites
...... it seems like there is alot of lag in this indicator.. and how would one suggest to adjust the parameters to reduce noise..

 

 

What is "PBFSqueeze," I'm not familiar with that. :(

 

Most often the BBand settings are a 20 period simple MA as suggested by Bollinger, and bands set to 2 standard deviations. So the "lag" will always be embedded in the average. I like this indicator (I just use the bands no fancy indicator), I also suggest getting/reading the book. I've found if BBands are used with a volume study to aid in confirming market direction (as suggested in "the book") my entries are significantly enhanced, you might get by with tick volume if your trading spot. I would caution you in any attempt to "reduce noise," I believe with some screen time with standard settings (and minimal "tweeking") you'll learn many trade-able signals. Most of my trade signals from the BBands are mean reversion, so the opportunity to overtrade is something I have to keep in mind on a range bound day. As a final suggestion, you might consider putting the bands on the chart and study/see/visualize how the "indicator" indicates :) and with a little more insight (screen time) you might not feel so compelled to "reduce the noise."

 

It's so simple, a caveman can do it!! :rofl:

Share this post


Link to post
Share on other sites
What should I be looking at instead? Why is this so popular if it's a waste of time?

 

Hi Onesmith,

 

I didn't say that it is a waste of time - please see the first line of my comment. I am working on the (perhaps unfair) assumption that the thread starter is fairly new to trading, and may not have the opportunity or skills to test something as rigourously as you or I would.

 

As I'm sure you're aware, squeezes are a form of volatility breakout. The volatility measure in the instance of Bollinger Bands is derived from Standard Deviation, the application of which to market price ('exotic') data is rather dubious. The typical (ie Carter-esque) Squeeze setup assumes that prices do not follow a normal gaussian distribution and that kurtosis ('fat tails') will occur, from which the trader can derive an advantage.

 

Is this true? Sometimes, in some markets. At a guess, the Squeeze indicator might be useful in markets such as the Euro or Crude Oil, both of which are prone to breakout trending moves. However a market such as the ES, which typically does follow a normal distribution pattern of mean reversion, does not tend to produce reliable breakout moves. In fact, if you forced me to trade the ES with a squeeze indicator, I would fade any breakout following a squeeze.

 

As for why the indicator is so popular, I would suggest this is because it 'makes sense' rationally when authors explain it, because it signals sufficient adequate moves on most charts to look appealing to newer trader who doesn't know how to test things well, and because it has been heavily promoted by numerous educators.

 

I am not saying that the indicator is a waste of time, but I don't think it's the easiest thing to use well.

 

Bluehorseshoe

Share this post


Link to post
Share on other sites

This is the key to everything or at least the most important key I've found.

 

with some screen time with standard settings (and minimal "tweeking") you'll learn many trade-able signals

Share this post


Link to post
Share on other sites
I think this is good advice.

 

I totally agree ;)

 

of course value of indicator is important but if you look at it only, you may miss extra information you could get. convergence-divergence, formations etc...

Share this post


Link to post
Share on other sites
I shouldn't have misquoted you. I am sorry. Thank you for elaborating. I get lots of good ideas from your posts.

 

No worries - glad someone finds my posts beneficial - I'm sure I'll be coming to you for help again next time I get stuck with coding!

 

Bluehorseshoe

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Similar Content

    • By Cookie Monster
      Does anyone know of any indicators, indices, or market internals that function well during the overnight session for the US index futures, bond futures, oil, gold, type of 24 hr trading during non US hours?
    • By Donald
      So I've been messing with the indicators and learning about them. Made me curious what does the majority use here and why?
      Currently I'm using Bollinger Bands, Awesome Oscillator, Moving Average, Belkhayate Timing and Parabolic SAR.
      From all these Belkhayate is my favourite so far, it almost only made me win trades. While Parabolic is almost like MA, I still can read it more clearly on how the market moves.
  • Topics

  • Posts

    • Why not to simply connect you account to myfxbook which will collect all this data automatically for you? The process you described looks tedious and a bit obsolete but may work for you though.
    • The big breakthrough with AI right now is “natural language computing.”   Meaning, you can speak in natural language to a computer and it can go through huge data sets, make sense out of them, and speak back to you in natural language.   That alone is a huge breakthrough.   The next leg? AI agents. Where they don’t just speak back to you.   They take action. Here’s the definition I like best: an AI agent is an autonomous system that uses tools, memory, and context to accomplish goals that require multiple steps.   Everything from simple tasks (analyzing web traffic) to more complex goals (building executive briefings or optimizing websites).   They can:   > Reason across multiple steps.   >Use tools like a real assistant (Excel spreadsheets, budgeting apps, search engines, etc.)   > Remember things.   And AI agents are not islands. They talk to other agents.   They can collaborate. Specialized agents that excel at narrow tasks can communicate and amplify one another’s strengths—whether it’s reasoning, data processing, or real-time monitoring.   What it Looks Like You wake up one morning, drink your coffee, and tell your AI agent, “I need to save $500 a month.”   It gets to work.   First, it finds all your recurring subscriptions. Turns out you’re paying $8.99 for a streaming service you forgot you had.   It cancels it. Then it calls your internet provider, negotiates a lower bill, and saves you another $40. Finally, it finds you car insurance that’s $200 cheaper per year.   What used to take you hours—digging through statements, talking to customer service reps on hold for an hour, comparing plans—is done while you’re scrolling Twitter.   Another example: one agent tracks your home maintenance needs and gets information from a local weather-monitoring agent. Result: "Rain forecast next week - should we schedule gutter cleaning now?"   Another: an AI agent will plan your vacations (“Book me a week in Italy for under $2,000”), find the cheapest flights, and sort out hotels with a view.   It’ll remind you to pay bills, schedule doctor’s appointments, and track expenses so you’re not wondering where your paycheck went every month.   The old world gave you tools—Excel spreadsheets, search engines, budgeting apps. The new world gives you agents who do the work for you.   Don’t Get Too Scared (or Excited) Yet William Gibson famously said: "The future is already here – it's just not evenly distributed."   AI agents will distribute it. For decades, the tools that billionaires and corporations used to get ahead—personal assistants, financial advisors, lawyers—were out of reach for regular people.   AI agents could change that.   BUT, remember…   We’re in inning one.   AI agents have a ways to go.   They’re imperfect. They mess up. They need more defenses to get ready for prime time.   To be sure, AI is powerful, but it’s not a miracle worker. It’s great at helping humans solve problems, but it’s not going to replace all jobs overnight.   Instead of fearing AI, think of it as a tool to A.] save you time on boring stuff and B.] amplify what you’re already good at. Right now is the BEST time to start experimenting. It’s also the best time to find investments that will “make AI work for you”. Author: Chris Campbell (AltucherConfidential)   Profits from free accurate cryptos signals: https://www.predictmag.com/     
    • What a wild year.   AI seems to be appearing everywhere you look, Paris hosted a weird Olympics, unrest continues in the Middle East, the US endured a crazy-heated election, and the largest rocket ever to fly successfully landed in a giant pair of robot arms.   Okay, but what about the $money stuff?   Well, this year we've seen a load of uncertainty - inflation is still biting and many businesses have gone down.   Property has been very fractured, with developments becoming prohibitively expensive, while other markets have boomed.   It hasn't been an easy ride, that's for sure.   However, the stock market has had some outstanding results, and for those who know how to trade, some have done VERY well for themselves.   Some have replaced their incomes. Some have set themselves up for the rest of their days on this planet.   How about you? How did you go? Author: Louise Bedford    Profits from free accurate cryptos signals: https://www.predictmag.com/  
    • U Unity Software stock watch, attempting to move higher off the 22.4 triple+ support area at https://stockconsultant.com/?U  
    • TSSI TSS stock, watch for an ascending triangle breakout above 11.49, target 15 area at https://stockconsultant.com/?TSSI
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.