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Non-Linear Indicators – Cyclic Time Part 1
/in Frontpage Article, General News/by LvTWhy don’t we use the last n-bars of several years ago instead of using present last n-bars to derive the current condition?
In our “western thinking” and “left-brained” world, we always use the linear concept of time. It has become so “normal” in today’s world that no one questions it. However, awareness of the consequences can have a tremendous impact when building technical indicators and trading systems.
Today and in every charting application, technical analysis is placed in the logic of linear time. The important question now is: Why don’t we use the last n-bars of several years ago instead of using present last n-bars to derive the current condition? (That would be cyclical logic)
Why are the current last n-bars important for judging the current condition?
Nobody questions this since we believe that there is only one rule set for time: linear. Hence, all our indicators are based on the linear time concept of our “modern” world.
However, perhaps the bars n-days/years in the past related to a given cycle are more important to rate the present condition than the current last n-bars. This would correspond to the cyclical concept of time. Unfortunately, this idea is not available in any technical analysis platform for building technical indicators.
A cyclic module for automating the transformation from linear into cyclical time based on any one of a full range of cycles and indicators is available in the WhenToTrade platform. This module will be the first charting platform able to build non-linear predictive indicators and mechanical trading systems.
Please watch the following presentation on the power of non-linear indicators, Metonic Cycles and how to build them.
Please also read the follow-up article: “Cyclic Time Part 2“
WTT C# Scripting Engine now available
/in Frontpage Article, Software Updates, WTT News/by LvTA real C# scripting engine has been included in the latest major release ofthe WTT Charting Module V.3.4!
The C# scripting engine is based on native C# programming code providing a powerful and flexible model for
developments.
You can now feed the integrated Genetic Engineering module with your own C# functions and let the GA evolve the parameters for your C# functions. Or you can use the cycle functions together with your own trade logic coded in C# and now feed the GA engine with these rules to check the needed configuration against your own fitness function. Think about to let the GA module check the parameter combinations you need for your individual C# trade system logic on any chart. Or simply code your own indicators in C# to be plotted on the chart. Endless possibilities.
Example Screenshot from C# script editor:
Example WTT C# RSI indicator script excerpt
The inherent benefits of using a real programming language include: portability, unlimited educational resources and extensibility. You can now code nearly anything, integrate third-party plug ins and extend the functions for your own needs.
Check you account page for latest updates and the forum for more news and details. Read updated WTT user manual/help file with instructions on how to use. Also watch the HOW-TO guide here in the knowledge section.
AstroPatterns – a scanner for astrological constellations
/in Science & Research/by LvTAstroPatterns is a a tool for quickly finding astrological constellations through the time. It is particularly helpful in the search for resonances between two or more dates. It is therefore a powerfull tool to look and search for recurring cycles and resonances between different points in time. The points in time can refer to important highs or lows in the market. You can check the power of these dates according to specific astropatterns and look out for dates when these pattern will reoccur. It also can plot scores for each day based on a given “birth” date. This can be plotted onto the chart to analyse the score of astrological patterns in correlation to market turns.
Abstract:
In the middle ages, an astrologer was busy with lots of astronomical computations — tasks like casting charts, computing directions, profections, solar revolutions and much more — before he finally could apply his “core competence”: the horoscope interpretation itself.
With the advent of computers, life became easier for astrologers. Today, there is an abundance of computer programs, displaying a astrological chart on a mouse click, together with all the relevant auxiliary planetary information. On another mouse click, the astrologer is served with a complete list of transits or even progressions, which would have kept him busy for hours in the mid of the last century.
But even with high quality astrological programs at hand, there would be still a lot of work involved if one would follow the outline of Alexandre Volguine: The horoscope computation being quick nowadays, I was missing a program with the ability to evaluate a large series of points in time, looking for some astrological constellation. This feature is important in many situations. To have it available now with AstroPatterns, opens the horizon of a more intense astrological research.
It is available here for free:
http://astropatterns.sourceforge.net/
Financial Stress – Low Low Low Low Low…
/in Frontpage Article, General News/by LvTThe following charts show an alignment between the dominant cycle in the VIX index (daily) and the dominant cycle in the St. Louis Financial Stress Index (weekly):
St. Louis Financial Stress Index Dominant Cycle
VIX and Financial Stress Index Dominant Cycle View
Academy: Geomagnetic Disturbances and the Stock Market
/in Frontpage Article, Knowledge & Academy/by LvTThe seminar shows how to use and decode geomagnetic Ap/Cp index for trading purposes. A 65min. seminar including live speaker video, presentation, trade signals, source data, generic approach on how to decode Ap data to predict trade signals.
The presentations shows how to decode the raw geomagnetic Ap index data and how to use detrending / cycle analysis tools to map the Ap index turns onto financial datasets like the Dow Jones Index. Presented on a traders conference in Las Vegas 2011.
First time a concrete trading approach based on the geomagnetic Ap/Cp index is presented.
All incuded material (including DLL, script and Ap data from 1930-2011) is available as seperate product for download if needed.
To get access to the presentation and Ap dataset, please click here.
Visit us at TradersWorld Online Expo #15
/in General News/by LvTTradersWorld Online Expo 15
– June 2014 –
Time is cyclical, not linear: Building non-linear predictive indicators based on cycles.
The presentation explains how to build predictive, leading indicators based on cycles. The session shows how to construct an cyclic-time based sentiment indicator and how to setup a 100% mechanical trading system. Performance results and statistical analysis will be shown comparing classical linear-time based indicators against cyclic-time based indicators. Example trading system and rules included.
Direct Link to Presentation: http://tradersworldonlineexpo.com/15.09-lars.html