I think it would be good if a third moving average were added, as it would help to gauge the short, medium and longer term trends.
Jeff
Moving averages
It's not an either/or - indicators can help you interpret what's happening.
If you're able to trade using the ladder alone, then great, but some of us need other information.
Jeff
If you're able to trade using the ladder alone, then great, but some of us need other information.
Jeff
jimrobo wrote:seriously jeff you need to stop looking at adding more and more technical indicators and concentrate on reading the actual market
I take it from the question that you don't, but I wouldn't presume to comment on Peter's setup.
But the fact that some people are able to trade profitably using the existing indicators doesn't mean that other people wouldn't benefit from additional indicators. And it's not like I'm suggesting some esoteric indicator - the moving average is pretty basic!
Jeff
But the fact that some people are able to trade profitably using the existing indicators doesn't mean that other people wouldn't benefit from additional indicators. And it's not like I'm suggesting some esoteric indicator - the moving average is pretty basic!
Jeff
jimrobo wrote:jeff, you relly don;t need any more information that what is already available to you. Do you think I or peter has anything different to what you already have in front of you?
I'm a great believer in the theory that 'less is more' when it comes to indicators, and I don't want a screen that looks like a Jackson Pollock! 
But I do think moving averages can be very useful in terms of getting you into a trend, and getting you out of it quickly when it moves against you.
Jeff
But I do think moving averages can be very useful in terms of getting you into a trend, and getting you out of it quickly when it moves against you.
Jeff
jimrobo wrote:take it from someone who has been profitable on the exchanges for a number of years you are more likely to make money by having less indicators than trying to add more.
-
JollyGreen
- Posts: 2047
- Joined: Sat Mar 21, 2009 10:06 am
Jeff
I am dubious that you will gain anything from an extra moving average indicator. Actually I am certain you will gain nothing at all except more to look at and more things to add doubt.
I have suffered from ill health during the last 2/3 years and sometimes I have been confined to bed. I decided to use that time to analyse the markets a bit more. I did not want to trade because I couldn't concentrate due to the pain but I knew I could setup some analysis software and test various TA indicators.
I made contact with a person in the USA who specialises in that line and he was very helpful. Sadly that is where the positive aspect ended and I then found the TA was not helpful to me at all. I dare say some people have found an indicator that works but they have probably spent a long time customising it and they are not going to talk about it.
Because the markets move so quickly by the time the indicator had waved the flag so to speak, it was too late and the trend was underway. I then tried to analyse what the indicator was looking for to see if I could use an indicator to help predict when the other indicator would fire. Do you see the pattern that is developing here? The more you add, the more you have to look at and the more decisions you have to make. By the time you have checked it all and asked yourself if it is ready to enter, it's too late and most people will have nipped in and out.
Jimrobo is correct when he says "less is more" in this situation. I now use no charts at all because they just add to the clutter. I can tell you that Peter also uses no moving average indicators in his setup. I could tell you which one of the chart indicators he uses but that would betray his confidence - he may choose to tell you which one he uses but that is his decision to make.
I am dubious that you will gain anything from an extra moving average indicator. Actually I am certain you will gain nothing at all except more to look at and more things to add doubt.
I have suffered from ill health during the last 2/3 years and sometimes I have been confined to bed. I decided to use that time to analyse the markets a bit more. I did not want to trade because I couldn't concentrate due to the pain but I knew I could setup some analysis software and test various TA indicators.
I made contact with a person in the USA who specialises in that line and he was very helpful. Sadly that is where the positive aspect ended and I then found the TA was not helpful to me at all. I dare say some people have found an indicator that works but they have probably spent a long time customising it and they are not going to talk about it.
Because the markets move so quickly by the time the indicator had waved the flag so to speak, it was too late and the trend was underway. I then tried to analyse what the indicator was looking for to see if I could use an indicator to help predict when the other indicator would fire. Do you see the pattern that is developing here? The more you add, the more you have to look at and the more decisions you have to make. By the time you have checked it all and asked yourself if it is ready to enter, it's too late and most people will have nipped in and out.
Jimrobo is correct when he says "less is more" in this situation. I now use no charts at all because they just add to the clutter. I can tell you that Peter also uses no moving average indicators in his setup. I could tell you which one of the chart indicators he uses but that would betray his confidence - he may choose to tell you which one he uses but that is his decision to make.
Hi JollyGreenJollyGreen wrote: I now use no charts at all because they just add to the clutter.
Thanks for the advice.
To clarify, do you look at the wom chart or the Betfair graph, or do you focus purely on the ladder?
Because of this, do you avoid trading trends, and focus instead on ranges and counter-trend moves?JollyGreen wrote:Because the markets move so quickly by the time the indicator had waved the flag so to speak, it was too late and the trend was underway.
Jeff
-
JollyGreen
- Posts: 2047
- Joined: Sat Mar 21, 2009 10:06 am
I use the Betfair graph and then look for money building and trading on the ladder.
I trade what I see so if a price is being pushed out by pressure from layers I will trade it. Likewise I will trade the other direction if pressure comes from backers.
I trade what I see so if a price is being pushed out by pressure from layers I will trade it. Likewise I will trade the other direction if pressure comes from backers.
Sorry I may be a bit slow here but what exactly is the 'third' moving average? If you have BA version 1.26 or above aren't you able to set interval of you choosing and therefore get to that 'third' moving average? Slow and Quick moving average indicators have default interval period which can easily be tweaked to suit your needs. A third indicator is bound to be between slow and quick and therefore is this really needed?
At present, you can have 2 moving averages. What I'm suggesting is that the option be introduced of having a third, as it would give added confirmation that the trend is on your side in the short, medium and longer terms.Photon wrote:Sorry I may be a bit slow here but what exactly is the 'third' moving average?
Jeff