[notouch]

Andrew's Pitchfork is interesting because it's based on sound principles similar to Market Profile and Volume Spread Analysis, namely standard deviation and reversion to the mean. You'll see on the chart that we seem to have rejected the upper line sharply so the chances are we'll see a return to the middle line or even the lower line before moving higher.

[Soultrader]

Very interesting. I never used them before. How do you draw them? Is it like fibs.. taking the swing low and swing high?

[notouch]

Similar to Fibs but you need 3 points, ABC, as marked below.

[Soultrader]

Ok. Thank you notouch. With pitchforks are you looking at the middle line as possible retracement/support area? Or is this a tool to measure if prices are overextended?

[notouch]

Both I think. You would look for price to be rejected at the upper line and then revert to the middle line. It should find support at the middle line but if it goes through the next area of support is the lower line.

[TinGull]

Interesting stuff with the fork. The YM liked to ride the tines today....

[walterw]

Originally Posted by TinGull »

Interesting stuff with the fork. The YM liked to ride the tines today....

Nice Keltner there Tin, could you share what inputs do they have, are they simple or exponential ? thanks Walter.

[TinGull]

Sure thing.

Its a 21 period triangular moving average with 1.5 deviations for the bands.