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#1 Frac_Man

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Posted 13 February 2007 - 10:48 PM

Posted Image


How does one describe or paint this picture ? With lines and boxes and circles ?

Not hardly ........


Hank

#2 U.F.O.

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Posted 13 February 2007 - 10:54 PM

Geometry seems to work well enough to get us to Mars. Why do you trash standard chart techniques? U.F.O.

Edited by U.F.O., 13 February 2007 - 10:56 PM.

"Democracy is two wolves and a lamb voting on what to have for lunch. Liberty is a well-armed lamb contesting the vote!"
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#3 Frac_Man

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Posted 13 February 2007 - 10:59 PM

I never said that ........

I just posted a picture ..... how would you illustrate it ?






Geometry seems to work well enough to get us to Mars. Why do you trash standard chart techniques?


U.F.O.



#4 U.F.O.

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Posted 13 February 2007 - 11:01 PM

Why would I have to illustrate a cloud? Or a painting of Mona Lisa? Can I not just enjoy it? U.F.O.
"Democracy is two wolves and a lamb voting on what to have for lunch. Liberty is a well-armed lamb contesting the vote!"
~Benjamin Franklin~

#5 Frac_Man

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Posted 13 February 2007 - 11:18 PM

Yes you can , as I always say "enjoy."

Hank






Why would I have to illustrate a cloud? Or a painting of Mona Lisa? Can I not just enjoy it?

U.F.O.



#6 Rogerdodger

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Posted 13 February 2007 - 11:18 PM

I believe that the patterns clouds make are great indicators of weather conditions in the immediate future.
Ever heard of a hook echo or a wall cloud?
Identifying one could mean your life in tornado alley.

The cumulus clouds in your post show its going to be a fair weather pattern.
As the day heats up you may see some growing, possibly into a cumulonimbus cloud which can bring severe weather, with rain, hail and lightning, in a narrow area. Often more damage is done as this 50,000 foot tall monster collapses at sunset producing high, damaging winds in the immediate area just below it.

Lines and boxes are often used in displaying the predicted path of severe weather.

F5 Tornado hits Oklahoma ....after forming a wall cloud.
News radar showing "Stormtracker" using lines and boxes.
Posted Image

Edited by Rogerdodger, 13 February 2007 - 11:49 PM.


#7 kc135a

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Posted 14 February 2007 - 01:43 AM

I believe that the patterns clouds make are great indicators of weather conditions in the immediate future.
Ever heard of a hook echo or a wall cloud?
Identifying one could mean your life in tornado alley.

The cumulus clouds in your post show its going to be a fair weather pattern.
As the day heats up you may see some growing, possibly into a cumulonimbus cloud which can bring severe weather, with rain, hail and lightning, in a narrow area. Often more damage is done as this 50,000 foot tall monster collapses at sunset producing high, damaging winds in the immediate area just below it.

Lines and boxes are often used in displaying the predicted path of severe weather.

F5 Tornado hits Oklahoma ....after forming a wall cloud.
News radar showing "Stormtracker" using lines and boxes.
Posted Image


Yup

"The cumulus clouds in your post show its going to be a fair weather pattern."

So,..., if that pattern/form/shape (fractal) repeats at another time you could possibly conclude the outcome will be the same, fair weather!

If an H&S type pattern was observed, which is nothing more than a "form" of three curves (let's keep it simple by excluding the volume, nl slope, and % drop criteria) on a 5 minute chart and noticed the price dropped, could not that observation be extrapolated to a daily chart with the expectation of the same outcome? Absolutely. But then we are trained to look for that pattern.

In general, if any pattern on a chart that leads to a rally or sell off or flat lining, why should we not consider the same result if we see the pattern repeat at a later time without consideration to size or time of the original observed pattern?

I have been a student of Hanks' for about a year and a half. My undergraduate is in Mathematics and because of the restrictions of that background it took me about 5-6 months to shake off the well defined view of a chart and begin to see the fluid side.

We are not trained to see irregular shapes repeat neither in exact replication nor in general form but in fact that is what is happening every day with charts. No two cumulus clouds are of exactly the same size or shape yet the outcome is usually, but not always, the same, ..., fair weather.

Similarity of form repeats. When you see a form/shape/fractal repeating on a chart you know two things very quickly. First you know the implied outcome and second where to place the stop if it doesn't work. What else could you ask for?

KC

#8 Rogerdodger

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Posted 14 February 2007 - 12:02 PM

KC:

First you know the implied outcome and second where to place the stop if it doesn't work. What else could you ask for?


Some find that lines serve a similar purpose.
I drew this nice blue line at the first of January as the USD was turning up. (Blue works best) ;)
Lots of very good traders use lines to identify support, resistance, breakouts and breakdowns, etc.
http://stockcharts.com/c-sc/sc?s=$USD&p=D&yr=1&mn=0&dy=0&i=p25955512089&a=32101703&r=2085.png

#9 kc135a

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Posted 14 February 2007 - 01:08 PM

KC:

First you know the implied outcome and second where to place the stop if it doesn't work. What else could you ask for?


Some find that lines serve a similar purpose.
I drew this nice blue line at the first of January as the USD was turning up. (Blue works best) ;)
Lots of very good traders use lines to identify support, resistance, breakouts and breakdowns, etc.


Absolutely lines and known patterns that everyone knows work but so do other methods.

I have lost count how many times I have seen this board agree on an outcome based on conventional TA and then scratch their heads when the opposite happened. How many times has a clean ewave count broke down and then morphed into something else?

I can almost guarantee there was a fractal pattern playing out that indicated the final and not expected conventional TA result. Fractals are not perfect and either is anything else but they are another tool and a very good one. To me the biggest strength is the stop. It is as tight as a triangle consolidation that breaks the wrong way so a person does not need to take a big hit when the fractal does not work.

On the conventional side I personally like a %R overlaying an MACD, a regression line, volume, and particularly pay attention to the slope of a simple 20 MA on any time frame and I do execute a trade just using those simple methods when they are consistent within a greater fractal view.

The old saying is "when everyone knows the same thing it is not worth knowing". That is not completely true but wouldn't it be useful to have an edge?

All traders are trying to minimize their loses and maximize their gains. Why not add something else to the tool box that assist in achieving those goals?

KC

#10 Rogerdodger

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Posted 14 February 2007 - 07:49 PM

Why not add something else to the tool box that assist in achieving those goals?


Great idea!

I thought I was hearing someone say throw away all other tools and belittling any who were foolish enough to use them since they were useless.

Sorry for the misunderstanding. ;)

Edited by Rogerdodger, 14 February 2007 - 07:50 PM.