On the unequal probability of a price move up or down - page 15

 
Mikhael1983:

It is better not to choose any intervals at all. The fewer parameters you don't explicitly control, the better. You don't suppose that in the focus I showed you that the EDq increments relate to the PDq increments as 0.375000000000000 because I picked some intervals, do you? ) I could have constructed other additional curves, with a different ratio of volatilities. And I would have entered the market with a different ratio of lots, at a different moment, and exited at a different moment.

Nothing matters except the final profit.

There's no point in debating about it, no one can prove their point. But you've written that it's easier to make forecasts by increments. Can you elaborate on why?

 
khorosh:

There is no point in discussing it, no one can prove their case. But you wrote that it is easier to make predictions on the basis of increments. Can you elaborate on why?

The logic is very simple: on charts with different scales (e.g. EURUSD and GBPUSD), we need some reference curves. Which would give an idea of how overbought and oversold the two currencies (in this case, the euro and the pound) are in relation to each other. How to construct such curves in such a way, that they can be taken into account in our reasoning, and therefore they have almost the same shape and the difference between them does not accumulate in time, is the task. It can be solved in a thousand and one ways. If the solution is sane, the output is profitable. The beauty is that the reference curves can be lagged as much as desired - and it does not interfere with anything, unlike using SMA.
 
Mikhael1983:
The logic is very simple: on charts with different scales (e.g. EURUSD and GBPUSD), meaning charts with the same quote currency, some reference curves are needed. Which would give an idea of how overbought and oversold the two currencies (in this case, the euro and the pound) are in relation to each other. How to construct such curves in such a way, that they can be taken into account in our reasoning, and therefore they have almost the same shape and the difference between them does not accumulate in time - this is the task. It can be solved in a thousand and one ways. If the solution is sane, the output is profitable. The beauty is that the reference curves can be lagged as much as desired - and it does not interfere with anything, unlike using SMA.

How are these reference curves different from the SMA, the SMA is also a curve, not a straight line).

 
khorosh:

How are these reference curves different from the SMA, the SMA is also a curve, not a straight line).

Because when looking at the two SMAs (of the same order) in the two charts of EURUSD and GBPUSD, you cannot judge whether the euro and the pound are overbought or oversold relative to each other, because the shapes of these SMAs are different.
 
khorosh:

How are these reference curves different from the SMA, the SMA is also a curve, not a straight line).

I have no curves or MAs at all in my indicator, just currency prices.

 
Mikhael1983:

It is better not to choose any intervals at all. The fewer parameters you don't explicitly control, the better. You don't suppose that in the focus I showed you that the EDq increments relate to the PDq increments as 0.375000000000000 because I picked some intervals, do you? ) I could have constructed other additional curves, with a different ratio of volatilities. And would have entered the market with a different ratio of lots, at a different time, and exited at a different time.

Nothing matters but the bottom line.

Sounds like the DEVISION of a TRANSIVATOR )))) And in general I envy your confidence in your system, if you have one of course, well, or your acting skills) Come back in six months.

 
Mikhael1983:
Because looking at the two SMAs (of the same order) on the two EURUSD and GBPUSD charts, you cannot judge whether the EUR and GBP are overbought or oversold relative to each other, as the shapes of these SMAs are different.

At what value of the divergence between the euro and the pound do you think there is overbought or oversold?

 
khorosh:

How are these reference curves different from SMA, SMA is also a curve, not a straight line).

SMA is such an elementary mirror, a symmetry between past and present. All WMAs constrained by a given period will wiggle around it. No tricks or mysticism - it's just arithmetic

 
khorosh:

At what value of the divergence between the euro and the pound do you think there is overbought or oversold?

It doesn't work that way. The author's main technique is scaling.

 
And how did you construct in some shamanistic way two additional curves: EDq and PDq. Having the following properties: their correlation coefficient corr(EDq, PDq) = 1. Strictly, note, not an approximation, but bluntly exactly 1? When calculating the coefficient, the depth required is.... How much is it?
Reason: