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Relativity [ Sat Nov 07, 2015 9:37 am ]

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The Scientific Method : MMLC (major move life cycle) v12

Basic Swing Indicator Construction :

A-RAW STAGE
1-On a M30 chart, draw boxes worth 7 M30 candles on a rolling basis

2-For each box, there is a ‘major move’ within the box. It is the highest high and the lowest low extremes of the box. Mark them with a swing. It is ok if the highest high and the lowest low extremes of the box are of the same candle.

A1 and A2.png

3-Eliminate swings that do not have their end at the end of the box, but keep a marker at the opposite side on all end of box, regardless if their swings are accepted or not.

A3.png

4-Hide the boxes

A4.png

B-STAGE 1
1-For successive raw upswings, keep tracking until you get a raw downswing. Sum up the entire upswing by a single line. Continue the process, down->up->down…etc. Raw swings here are thinner, Stage 1 swings are thicker, hopefully you can see them

2-Hide the raw swings.

B1 and B2.png

C-Stage 2
Backtrack as much as possible, code up (obvious) logic to join up these gaps. Simple thumb of rule is always maintain the lowest/highest extreme and adjust the ‘wrong’ swing.

C.png

D-Stage 3 (final)
There are 6 types of swings
-Down Retrace = previous swing is up and current swing is down, previous swing low NOT broken by current swing
-Up Retrace = previous swing is down and current swing is up, previous swing high NOT broken by current swing
-Down Trend = previous swing is up and current swing is down, previous swing low IS broken by current swing AND current swing’s end candle did close beyond previous swing low
-Up Trend = previous swing is down and current swing is up, previous swing high IS broken by current swing AND current swing’s end candle did close beyond previous swing high
-Down Reject = previous swing is up and current swing is down, previous swing low IS broken by current swing BUT current swing’s end candle did not close beyond previous swing low
-Up Reject = previous swing is down and current swing is up, previous swing high IS broken by current swing BUT current swing’s end candle did not close beyond previous swing high

Classify them and color code them any way you like.

D.png

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The Scientific Method : MMLC (major move life cycle) v12 https://www.stevehopwoodforex.com/phpBB3/viewtopic.php?t=4487	Page 1 of 1

Author:	Relativity [ Sat Nov 07, 2015 9:30 am ]
Post subject:	The Scientific Method : MMLC (major move life cycle) v12
How do participate in this thread : There are 2 requirements for participation. 1-Required reading of 2 books Nature of Trends by Ray Barros Evidence-Based Technical Analysis by David R. Aronson 2-Ability to code your own indicators, minimally to code the basic swing indicator which will form the foundation of everything else in this thread. I will not provide any of my swing indicators. What will this thread generally compromise : 1-Key components of MMLC v12 broken down and explained in detail 2-Methodology of finding edges via Frequency Distribution and Probabilities 3-Continued research for continuous improvement The idea is to ensure #1 and #2 can be easily replicated by other independent individuals. Why did I decide to take this approach? I realized that if #1 and #2 cannot be easily replicated by other independent individuals, it simply means a part of my trading logic is actually not logical at all and is subjective. This opens up to the possibility either ... A-weak point which can be a blind side B-strong point which is still stuck within the subconscious ... in which the The Scientific Method attempts to reduce down objectively, in order to improve accuracy and encourage truthfulness. Both A and B needs to be unlocked, broken down and properly dealt with. This is also an advantage for myself. It becomes a failsafe should I be ever be physically/emotionally/mentally down, and my work would be able to succeed/outlive me and trading results will still continue with or without me. To being near 99% mechanical. Which is the scientific ideal anyway.

Author:	Relativity [ Sat Nov 07, 2015 9:54 am ]
Post subject:	The Scientific Method : MMLC (major move life cycle) v12
I wrote this in forexfactory : Ok, I will stop here and give this thread a rest until the following happens : Someone else is able to follow the swing construction instructions and send it to me via PM for verification. Please do not share it here as it would defeat the overall purpose. I can still post whatever I wish to share, just that without this happening, it would be difficult to continue this thread. I've stated in the 1st post that the construction of the swing is foundational. Its not quite blackmail (haha) Admittedly, this is indeed the scientific ideal : replicate-able results from independent individuals. The reason for construction of the swing is simple. It would facilitate gathering of statistics later. If you are the one who did the construction, then the rest gets easier for you. However, if you get the indicator from someone else, you would have a harder time in the later stages. Trust me on this, the kind of statistics I intend to look at is not for anyone who wants an easy job. sits and waits However, I've decided I would make the conditions looser here. So far what I see here is a good forum, so I might want to continue posting here (plus on another forum-you can google and perhaps you should see it), if there is sufficient interest from the members here, along with some kind of discussion. I would love to post more if there is someone who understands and appreciates it on moderate levels.

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