10.7 CSS

[nanningbob]

The gold debate is fascinating and fun. I disagree with the gold crowd because gold has been used for centuries and it always results in the same problems. I will list three:

1. Gold is always hoarded by the few and the rest of humanity lives as slaves, peasants, low paid labor. Those that have gold become the kings, queens, emperors, noble, barons, princes, etc. A very small group becomes artisans that make up a very small middle class. The vast majority of humans live on a level of minimum survival most as peasants, slaves, or military soldiers defending those who have the gold. That is the known history of gold through the centuries. What the video talks about as its benefits are actually not benefits. Those of you who support the gold cause, you will become part of the peasant class, your chances of avoiding it are almost 0%.

2. Inflation is good and necessary for a growing economy and growing population. Lets talk about the basics of money. There is a great deal of misinformation about it and how it works. One of the driving forces is the so called argument, "They are just printing money". It is presented as some kind of evil or bad thing along with inflation. Most of this information comes from the Gold crowd. If we just use gold all these problems would not exist. Except they ignore the problems of gold based currencies have had in history. It is why it is not used anymore. (sorry conspiracy theorists). Let me try to explain and this will cause a big whirlwind but so be it.

Gold/silver based currencies have a major problem. They always lead to a few having the gold and the rest being peasants. Let me explain and this is simplistic but it is how people get to understand the basics:

Lets pretend you have a country of 100 people and you have in circulation 100 ounces of gold.So if the gold was evenly spread everyone would have 1 ounce of gold. People buy, sell, work, produce, etc. and exchange the gold. After a while some will have more some will have less and some will have none. You also have babies and a growing population. If your country grows to 200 people and the gold was evenly spread then everyone has a 1/2 ounce or what we would call a depression. Populations have always grown faster than gold can be mined so you always guarantee that the majority of the population would live in poverty or be peasants, serfs, etc. Those that get hold of gold then hoard it because to spend it and not get it back would lead you to becoming part of the lower classes.

The second problem with gold currencies is the lack of economic growth. Since the amount in circulation is limited and those that have it tend to hoard it. Economic growth becomes limited because you cant sell and buy more than what funds are in circulation. Just like each human in our make believe country has less gold available to them as the population grows. So does each business have a smaller pie as it grows. If you have two bakers and now there is a third, without the growth of the money supply each one gets less. Gold and silver based economies have always had this problem. So off on ships they go to find new lands and new sources of gold and silver. Temporary prosperity happens as new land's gold and silver is brought back to the old countries. But once economic growth and/or population catches up to the new supply or gold, you have economic collapse, the haves group gets smaller and the have not group gets bigger. Peasants with pitchforks can be a nasty group.

As the group that has more collects more and that group becomes smaller. The group that has less end up with even less and gets bigger. This is exactly what has happened in history. The group that has more becomes the Kings, queens, nobles, barons, princes, and princess. Basically the history of Europe through out the Middle ages. In other areas of the world you have Emperors, Pharaohs, etc. etc. Doesnt matter what you call them you have a ruling class who has the gold, sometimes a middle class of merchants, and the large peasant class or serfs, slaves, peasant farmers, etc.

3. The value of money is not the object that you hold in your hand, whether gold, silver, paper, bronze, nickel, sheep, goats, etc. It is a bartering tool. You give X amount of hours of work or use your brain power in return you receive something that has perceived value. Yes folks, gold has a perceived value just like paper money. With out this perceived value gold would have no value along with any other bartering system. I work x amount of hours I receive x amount of gold, or paper money, or check, or bank transfer or what ever. I then take this to the store, bank, etc and pay for this or that. I bartered my time for real money, and its real because I can trade it for goods and services.

I challenge any gold bug to give me their worthless dollars. Since you call it worthless then you do not need it nor should you want it. For example I live in Florida and I will give you all the sand you want . You pay for shipping and handling and you can have all the sand you want because it is basically worthless in value. Since you claim paper money is worthless in value I will take all of it off your hands and you can transfer your funds to my account. I will pay the transfer fees with my worthless money to receive your worthless money.

I HAVE NEVER MET A GOLD BUG WHO WAS WILLING TO GIVE UP HIS WORTHLESS MONEY TO ME YET. I AM ACTUALLY WAITING FOR THE FIRST ONE TO ACTUALLY PRACTICE WHAT HE SUPPOSEDLY BELIEVES. THE BIG GOLD WRITERS WILL TAKE YOUR WORTHLESS MONEY IF YOU BUY HIS BOOK, INVESTMENT VIDEOS, SIGN UP FOR HIS NEWSPAPER, MAGAZINE, ETC. ETC. FUNNY HOW THEY DONT WANT TO GET PAID IN GOLD.

[dudest]

...

+1

[brinol]

Bob I think there is something wrong with my 10.7 CSS

[astral77]

Nothing wrong with the CSS. There was massive CHF movement following the decision of SNB with regard to the interest rate and its pegging to the EURO.

[brinol]

Nothing wrong with the CSS. There was massive CHF movement following the decision of SNB with regard to the interest rate and its pegging to the EURO.

Hi Astral
Thanks.. I was aware .. just wanted to record it for posterity (thinly disguised by poor humor) as moves like this are rare.

[Swingtraderkk]

Hi all,

Long time lurker here, normally I can find my answers by reading, but I'm a little confused.

Bob, I understood that you moved to the 12 pair CSS due to the correlation between EUR & CHF overrepresenting both currencies.

1) Was that 100% related to SNB intervention in the market or to more general correlation between EUR & CHF due to similarity of economies?

2) As a result what is your current recommendation as to which CSS to use? 12 or 24 pair?

3) Given the distorting large moves in CHF pairs, do you recommend setting CHF to false in the input section?

4) If that is a recommendation, what is the lookback period for CSS, i.e. after how many bars will the dramatic moves drop out of the calculations so we can add the CHF back in? Is it the 200 max bars?

Some extra practical questions - I know I'm really pushing things now:

5) Do you set ignore future to true?

6) What do the difference settings in the input tab relate to? threshold, up, down, lo?

7) where do I go with issues I'm having with the single pair CSS indicator not displaying additional timeframe correctly?

Thanking you for the incredible education I've received on here, and wishing you and your family the best of health.

[piter44]

Hi,

Did you enabled CHF into currencies to weigth after SNB decision?

Regards,
Piter

[Swingtraderkk]

I've left in all pairs, incl CHF pairs, and set CHF to true.

[nanningbob]

Hi all,

Long time lurker here, normally I can find my answers by reading, but I'm a little confused.

Bob, I understood that you moved to the 12 pair CSS due to the correlation between EUR & CHF overrepresenting both currencies.

1) Was that 100% related to SNB intervention in the market or to more general correlation between EUR & CHF due to similarity of economies?
Everything CHF makes has to go through Europe first s o their entire economy is dependant on trading with other countries. However with their own currency they are in control and don't have the Germans or Greeks economies dictating the value of their currency. So they can follow their own path. This means they can value/devalue their currency according to their best interests.
2) As a result what is your current recommendation as to which CSS to use? 12 or 24 pair?I still use 24 pairs for my personal account and 12 pairs for another account that doesn't use all pairs.

3) Given the distorting large moves in CHF pairs, do you recommend setting CHF to false in the input section?
You can trade or not trade CHF the move is a one time thing.
4) If that is a recommendation, what is the lookback period for CSS, i.e. after how many bars will the dramatic moves drop out of the calculations so we can add the CHF back in? Is it the 200 max bars?
Once the distortion is over it settles into its new range just like any other news story. This one was just bigger thus time.
Some extra practical questions - I know I'm really pushing things now:

5) Do you set ignore future to true? yes

6) What do the difference settings in the input tab relate to? threshold, up, down, lo? don't know I use settings that are posted.

7) where do I go with issues I'm having with the single pair CSS indicator not displaying additional timeframe correctly?Go see Baluda

Thanking you for the incredible education I've received on here, and wishing you and your family the best of health.

Sorry I missed these questions.

[leeeta]

The gold debate is fascinating and fun. I disagree with the gold crowd because gold has been used for centuries and it always results in the same problems. I will list three:

1. Gold is always hoarded by the few and the rest of humanity lives as slaves, peasants, low paid labor. Those that have gold become the kings, queens, emperors, noble, barons, princes, etc. A very small group becomes artisans that make up a very small middle class. The vast majority of humans live on a level of minimum survival most as peasants, slaves, or military soldiers defending those who have the gold. That is the known history of gold through the centuries. What the video talks about as its benefits are actually not benefits. Those of you who support the gold cause, you will become part of the peasant class, your chances of avoiding it are almost 0%.

2. Inflation is good and necessary for a growing economy and growing population. Lets talk about the basics of money. There is a great deal of misinformation about it and how it works. One of the driving forces is the so called argument, "They are just printing money". It is presented as some kind of evil or bad thing along with inflation. Most of this information comes from the Gold crowd. If we just use gold all these problems would not exist. Except they ignore the problems of gold based currencies have had in history. It is why it is not used anymore. (sorry conspiracy theorists). Let me try to explain and this will cause a big whirlwind but so be it.

Gold/silver based currencies have a major problem. They always lead to a few having the gold and the rest being peasants. Let me explain and this is simplistic but it is how people get to understand the basics:

Lets pretend you have a country of 100 people and you have in circulation 100 ounces of gold.So if the gold was evenly spread everyone would have 1 ounce of gold. People buy, sell, work, produce, etc. and exchange the gold. After a while some will have more some will have less and some will have none. You also have babies and a growing population. If your country grows to 200 people and the gold was evenly spread then everyone has a 1/2 ounce or what we would call a depression. Populations have always grown faster than gold can be mined so you always guarantee that the majority of the population would live in poverty or be peasants, serfs, etc. Those that get hold of gold then hoard it because to spend it and not get it back would lead you to becoming part of the lower classes.

The second problem with gold currencies is the lack of economic growth. Since the amount in circulation is limited and those that have it tend to hoard it. Economic growth becomes limited because you cant sell and buy more than what funds are in circulation. Just like each human in our make believe country has less gold available to them as the population grows. So does each business have a smaller pie as it grows. If you have two bakers and now there is a third, without the growth of the money supply each one gets less. Gold and silver based economies have always had this problem. So off on ships they go to find new lands and new sources of gold and silver. Temporary prosperity happens as new land's gold and silver is brought back to the old countries. But once economic growth and/or population catches up to the new supply or gold, you have economic collapse, the haves group gets smaller and the have not group gets bigger. Peasants with pitchforks can be a nasty group.

As the group that has more collects more and that group becomes smaller. The group that has less end up with even less and gets bigger. This is exactly what has happened in history. The group that has more becomes the Kings, queens, nobles, barons, princes, and princess. Basically the history of Europe through out the Middle ages. In other areas of the world you have Emperors, Pharaohs, etc. etc. Doesnt matter what you call them you have a ruling class who has the gold, sometimes a middle class of merchants, and the large peasant class or serfs, slaves, peasant farmers, etc.

3. The value of money is not the object that you hold in your hand, whether gold, silver, paper, bronze, nickel, sheep, goats, etc. It is a bartering tool. You give X amount of hours of work or use your brain power in return you receive something that has perceived value. Yes folks, gold has a perceived value just like paper money. With out this perceived value gold would have no value along with any other bartering system. I work x amount of hours I receive x amount of gold, or paper money, or check, or bank transfer or what ever. I then take this to the store, bank, etc and pay for this or that. I bartered my time for real money, and its real because I can trade it for goods and services.

I challenge any gold bug to give me their worthless dollars. Since you call it worthless then you do not need it nor should you want it. For example I live in Florida and I will give you all the sand you want . You pay for shipping and handling and you can have all the sand you want because it is basically worthless in value. Since you claim paper money is worthless in value I will take all of it off your hands and you can transfer your funds to my account. I will pay the transfer fees with my worthless money to receive your worthless money.

I HAVE NEVER MET A GOLD BUG WHO WAS WILLING TO GIVE UP HIS WORTHLESS MONEY TO ME YET. I AM ACTUALLY WAITING FOR THE FIRST ONE TO ACTUALLY PRACTICE WHAT HE SUPPOSEDLY BELIEVES. THE BIG GOLD WRITERS WILL TAKE YOUR WORTHLESS MONEY IF YOU BUY HIS BOOK, INVESTMENT VIDEOS, SIGN UP FOR HIS NEWSPAPER, MAGAZINE, ETC. ETC. FUNNY HOW THEY DONT WANT TO GET PAID IN GOLD.

Lol, I enjoy reading this. Thanks Bob.