22 replies to this topic

[Mr Dev]

Not many traders out there are using this indicator,..and if they are,.. they would of been well positioned for the

decline last July.

The formation I speak of has nothing to do with price....as it is based on CPC moving averages alone.

The areas in which cross-overs occur..have been quite successful in foretelling of bullish and bearish

trends to follow, as well as depicting momentum areas of highs and lows.

It also shows momentum either beginning or ending.

At this time the indicator has recently crossed over to come out of what is a momentum area high.

This shows that upside momentum is ending,...can it resume? Well yes,..as even this indicator has shown

double tops and double bottoms.

Volatile market reactions like the one we saw in July can be exacerbated...do to multi week price divergences

leading into these readings. In comparison, last July highs did not come from a momentum area

high...but it was certainly a diverging high. Momentum area reversals ....although not always

abrupt,...usually lead to multi-month trend changes.

Know that there is also a trend change confirmation signal built into the chart....which has not yet triggered.

However on any further deterioration of the CPC,...it will draw closer and closer.

The one thing I do see different this time is that the McOsc is already negative instead of positive ...that combined may be signaling

a very choppy but rewarding trading market ..ahead.


For those that do not have the chart to create the indicator just take a CPC chart and overly a set of

well positioned Bolli-bands, along with an 8 and 18 ma,.. that's all there is to it.

Be sure your settings are the best they can be by going back and pin pointing tops and bottoms for your market.


Best :bowrie:

Edited by Mr Dev, 26 October 2007 - 01:15 PM.

[Mr Dev]

P.S. I had titled this for the NDX... as that is what I've used it for most ..in the past, but as we know most of the markets move together

[isaac613]

I can't seem to find cpc. what is the ticker symbol for it. Thanks.

[thespookyone]

THX! Mr Dev. I shorted NDX in the 2199 area, soon after the open. I'm willing to sit through what they have left from there, considering risk-reward. Noticed equity players comfortable, and jumping back into calls fairly hard so far today, a good sign, I feel. Nice to see you posting more again, good trading to you! Spooky

[Rogerdodger]

I can't seem to find cpc. what is the ticker symbol for it. Thanks.

$CPC on Stockcharts.
Also check out $CPCE and $CPCI.

http://stockcharts.com/c-sc/sc?s=$CPC&p=D&b=3&g=0&i=p41261564129&r=2544.png

Edited by Rogerdodger, 26 October 2007 - 01:34 PM.

[Mr Dev]

THX! Mr Dev.

I shorted NDX in the 2199 area, soon after the open. I'm willing to sit through what they have left from there, considering risk-reward. Noticed equity players comfortable, and jumping back into calls fairly hard so far today, a good sign, I feel. Nice to see you posting more again, good trading to you!

Spooky

Thx spooky,..
I had a small short on over night and should of flipped it long this morning... but I missed that one..so I'll add to

shorts here at the close while expecting a continuation Monday and a possible high Tuesday morning, followed

by some kind of pullback by Wednesday.

It may be better timing to short Monday on follow thru but we'll see.

best

[gannman]

thanks for sharing that very kind of u to do that

[Mr Dev]

Here is a small CPC chart below with just a 21 ma. for a guided preview to what your chart should look like.

The chart works on an inverse relation,..the lows on the chart are highs for the market ..and visa versa.

You can see as even the 21 moved back inside the bolli back in Aug (which I caught and flipped at 10:45am
the morning of the reversal day)it told us a momentum low was in for the markets.

Earlier see the momentum in price that picked up as it moved outside the bollis...in July which told us we could trade into a

momentum short position.

At this time the 21 is about to move back into the Bolli as it signals a momentum high is nearing it's end.


This is much different than a standard looking CPC chart....don't you agree.?

It carries much more meaniing.

Edited by Mr Dev, 26 October 2007 - 03:30 PM.

[gannman]

way cool brother go ahead on with your bad self now thanks gman

[danzman]

Here is a small CPC chart below with just a 21 ma. for a guided preview to what your chart should look like.

The chart works on an inverse relation,..the lows on the chart are highs for the market ..and visa versa.

You can see as even the 21 moved back inside the bolli back in Aug (which I caught and flipped at 10:45am
the morning of the reversal day)it told us a momentum low was in for the markets.

Earlier see the momentum in price that picked up as it moved outside the bollis...in July which told us we could trade into a

momentum short position.

At this time the 21 is about to move back into the Bolli as it signals a momentum high is nearing it's end.


This is much different than a standard looking CPC chart....don't you agree.?

It carries much more meaniing.

Thanks for posting. I don't see much statistical significance however. Have you ever backtested this
idea more than a few months? There are times when patterns work, but they tend to fizzle out. An
edge that has withstood the test of time is more likely to work in the future.

My COT stuff is nicely bullish here for the IT.

D