Market theory - page 168
You are missing trading opportunities:
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
Registration
Log in
You agree to website policy and terms of use
If you do not have an account, please register
What are you, a miracle worker or the new Nostradamus?
The argument is a computer-accurate match between the actual and calculated price values. P accurately comes out to CD by calculating using the above formula. This has been shown repeatedly. There is no deviation between the calculated and actual values of P and CD at the moments when P captures CD.
The new market theory is based on the principles of making or not making a profit. It describes both the real market for goods and services and the Forex market with equal precision. If at the real market it allows to find conditions for maximal profit at Forex market, then at Forex market this theory without any changes of notions and levels allows to reach conditions of non-profit trading and all this finds its confirmation in practice.
According to this theory, there are four price levels in the market.
Along with the current price C (Bulls or Bears) that you can see on the terminal, there are virtual market prices P (Bears or Bulls) that are closely related to the current price C and which, at the will of the optimal price Copt (Leo) and the average market price Cp (Leopard), mutually turn into each other, so to speak.
The indicator allows you to see the beginning of the formation of trends, the moments of transition into a flat and back - into a trend by the specific behaviour of the virtual levels of market prices.
This video shows how the indicator works based on these principles. In fact, market candlesticks periodically disappear and appear again due to updating of the tick history of the MT4 terminal.
The indicator allows you to see the real battles of current and market price levels going on in the depths of the market, which have so far remained invisible to market researchers and traders. Hopefully, using the indicator will allow traders to successfully trade on any timeframe, especially on the TF M1.
Are you pointing to these formulas?
a) C = (Cp + Cp)/2 - (Cp - Cp)/2 = C (identical!);
b) P = (Tspr + Ts)/2 + (Tspr - Ts)/2 = Tspr;
or to these:
a) Ts = (Tspr + Ts)/2 -(Tspr- Ts)/2 = Ts (identical!);
b) P = (Cp + Cp)/2 +(Cp- Cp)/2 = Cp;
Are you pointing to these formulas?
a) Ts = (Tspr + Ts)/2 - (Tspr - Ts)/2 = Ts (identical!);
b) P = (Tspr + Ts)/2 + (Tspr - Ts)/2 = Tspr;
or to these:
a) Ts = (Tspr + Ts)/2 -(Tspr- Ts)/2 = Ts (identical!);
b) P = (Tspr + Ts)/2 +(Tspr- Ts)/2 = Tspr;
Sure, on the bottom, above is a misprint, instead of Cpr it should be Cpr = P
Right, OK. Moving on.
Ts = (Tspr + Tspr)/2 - (Tspr - Tspr)/2 = Ts (identical!); (1)
P = (Cp + Cp)/2 + (Cp - Cp)/2 = Cp; (2)
Here:
C is the current price, or price, let's say Bid,
Cpc - the average market price.
P - some virtual market price, the existence of which we will try to check
Now let's try to get into the physical meaning of formulas 1 and 2:
First you need to understand - what Cp is, please explain.
Simply, as a senior lecturer in the Department of Economics and Entrepreneurship at the Institute of Economics and Trade, I was obliged to bring clarity to the processes of pricing and profit on the real market for goods and services. Believe me, market theorists have done nothing good in this area, except explain in words and graphs. The concept of market prices has been shrouded in mystery and interpreted as one likes. When I arrived at a new formula for profit, adequate to the classical way of defining it as the difference between income and all kinds of expenses, it put everything in its place. In the real market of goods and services I discovered, showed and proved the existence of 9 levels of prices. Of these, I left only 4 on Foreus.
Everyone knows the Chinese proverb: 'You can'tfind a black catina dark room if it's not there'.
To point out the titles, you don't have to. First you should have made sure of it in practice, and not one month of trading, and then raise such a fuss.
If you prove it in practice by showing on areal account signal, then well done !
Right, OK. Moving on.
Ts = (Tspr + Ts)/2 - (Tspr - Ts)/2 = Ts (identical!); (1)
P = (Cp + Cp)/2 + (Cp - Cp)/2 = Cp; (2)
Here:
C is the current price, or price, let's say Bid,
Cpc - the average market price.
P - some virtual market price, the existence of which we will try to check
Now let's try to look into the physical meaning of formulas 1 and 2:
To begin with we need to understand what Cp is, please explain.
Let me explain it to you using the example of a real commodity market. It will be faster and more reliable for you to understand the meaning of Cpr.
Suppose you buy a product at the price of Cpc for the purpose of reselling it and then making a profit. If you sell at the price of Cpc, you incur a loss equal to the fixed costs. To break even, you have to sell at a price of C1 which is a little higher than Cpc. And to make a profit, you must sell even more expensively, at a price of C > C1. As you increase the price, your profit increases up to a certain limit at first and then starts to fall due to the high cost of the product. Then you reach a point where your customer will buy not enough money for your price at the price you set in C2 to cover your costs. A further price increase up to Cp would lead to a complete halt in trading. So, there is a price between C1 and C2 that ensures maximum profit. So, Ts1 and Ts2 are the two breakeven poles - the levels of Bears and Bulls. In Forex Q1 or Q2 coincides with either Q or P. Since we do not take into account trader's expenses, Qp = Q2.
I assumed that the Forex market organizes trading precisely around these two break-even points, so that no one could, theoretically, make a profit from exchanging currencies. There is a 3rd, global break-even point, when even trading at the optimum price does not allow you to make a profit - this is the Lion's level.
Simply put, Cpc = C1 - this is the price at which it does not make sense for sellers to sell the product, Cpc = C2 - at this price no one will buy the product because it is expensive.
Let me explain it to you using a real commodity market as an example, so that you can grasp the meaning of Cpc more quickly and reliably.
Let's say you bought a commodity at a price of Cpc with the further purpose of reselling it and making a profit. If you sell at the price of Cpc, you incur a loss equal to the fixed costs. To break even, you have to sell at a price of C1 which is a little higher than Cpc. And to make a profit, you must sell even more expensively, at a price of C > C1. As you increase the price, your profit increases up to a certain limit at first and then starts to fall due to the high cost of the product. Then you reach a point where your customer will buy not enough money for your price at the price you set in C2 to cover your costs. A further price increase up to Cp would lead to a complete halt in trading. So, there is a price between C1 and C2 that ensures maximum profit. So, Ts1 and Ts2 are the two breakeven poles - the levels of Bears and Bulls. In Forex Q1 or Q2 coincides with either Q or P. Since we do not take into account trader's expenses, Qp = Q2.
I assumed that the Forex market organizes trading around these two break-even points in order to prevent anybody, theoretically, from making profit from exchanging currencies. There is a 3rd, global break-even point where even trading at the optimal price does not allow one to make a profit - this is the Leo level.
Logically, i.e. we get the following correction:
Ts = (Tspr + Ts)/2 - (Tspr - Ts)/2 = Ts (identical!); (1)
P = (Tspr + Tspr)/2 + (Tspr - Tspr)/2 = Tspr; (2)
Here:
Ts is the current forex price, or price, let's say Bid,
Cp - maximum/minimum price, at which buying/selling transactions are possible
P - a virtual market price, the existence of which we will try to check
Would you agree?
Logically, i.e. we get the following correction:
Ц = (Цпр + Ц)/2 - (Цпр - Ц)/2 = С (identical!); (1)
P = (Cp + Cp)/2 + (Cp - Cp)/2 = Cp; (2)
Here:
C - current forex price, or price, let's say Bid,
Cpc is the maximum / minimum sale / purchase price.
P - a virtual market price, which existence we will try to check
Would you agree?
Quite right and I found a way to define it as the ratio of virtual income to elasticity.
It's more or less clear now. Thank you. It's a long thread. I'll keep reading for now.
The current post also clarified something for me that I didn't find above.
It's more or less clear now. Thank you. It's a long thread. I am continuing to read for now.
The current post has also clarified something for me which I did not find above.
And, when working in the real market, you also can't do without a definition of virtual income, which is much higher than real income. Unless the notion of virtual income is introduced, it is impossible to calculate an entrepreneur's profit.
There's also the average market price Tsr = (Ts1+Ts2)/2 = (Ts+P)/2 - the Leopard level. Remarkably, Ts and P are equidistant from Csr.