[brownsfan019]

Originally Posted by bigdavediode »

Hi, I would like to read any summary of criticisms of VSA (not to argue, just to learn).

Thanks.

Bigdave,

I will give you my observation once and then I will let it be for fear of the VSA'ers hacking my computer and deleting all my pretty candlesticks.



My issue with VSA is this - you look at the threads on VSA and you will find people discussing one chart and half say there was a buy and half say there was a sell. And a few might say do nothing. It's too vague for my liking.



For me, if we are using the same techniques, I can't see how one can argue for a buy and one can argue for a sell. Just doesn't add up to me.

But, that's me and I like things a little more clearer. That's probably why I've studied candlesticks and a few other things intently b/c in the candlestick world, I personally find things a little more clean cut.

There's my personal & I won't comment further on the topic. Check it yourself and make your own decision. I made mine.

[BlowFish]

Originally Posted by brownsfan019 »

For me, if we are using the same techniques, I can't see how one can argue for a buy and one can argue for a sell. Just doesn't add up to me.

But, that's me and I like things a little more clearer. That's probably why I've studied candlesticks and a few other things intently b/c in the candlestick world, I personally find things a little more clean cut.

And candlesticks are clear cut mmkay.

BDD have a search for a thread called VSA crock or not? Or something like that.

[bigdavediode]

Thanks for the comments -- I've been reading that thread as well, and I believe that there might be some merit in the general concept, but that the level of detail applied is probably beyond curve fitting, and the explanations of motivations of the market are stretches.

Having said that, I'm going to do some testing on the general concept of weighting range against volume and see what correlation results.

[BlowFish]

You will find that range and volume are 'fairly well' correlated Of course run the numbers for yourself though. Heavy instrument (e.g. ES) seem to be more so than thinner ones (Z). I only ever looked at a couple of indexes.

[steve46]

I think Astrology is the most "far out" aspect of trading. That is why Gann got such a freaky rep. I am told that near the end of his life Gann decided to cover his body with geometric tatoos that he used to forecast trades. Lets, see oh yeah there was Joe Granville who thought he could trade by forecasting the low frequency waves that caused earthquakes. Then there's General George McClellan, inventor of the "McClellan Oscillator". McClellan was a confederate general and early riser who liked to stand in front of his tent in his skivvies playing "Battle Hymn of the Republic" on his bugle, all the while discharging his revolver at passing birds. Finally, If I remember correctly, Wells Wilder used to eat psychedelic mushrooms, and then stand naked in the forest with his index finger just touching the top of his head. He would turn seven times and without opening his eyes, walk ten steps forward. If he hit a tree he would short the market that day. If he hit nothing he would go long at the open.

I once had a discussion with Dick Cheney on this subject. He seemed to have a real interest in General McClellan, saying that one day he too wanted to try playing the bugle while discharging weapons randomly.

I hope this helps.

Steve

[BlowFish]

I am inclined to agree with you about Gann Steve as you will see from my earlier post. Having said that he had a rock solid grip of price action and money management. Nothing esoteric there.

[steve46]

Yes I did notice your post. what I find interesting is that there are folks who use some of these approaches (astrology for instance) who for reasons I cannot fathom are really good traders. For instance there's a guy in Australia who uses Gann numbers and Astrology and I have seen him really hit it out of the park. I have no idea how he does it, except to say that he has a very good feel for market action. Just one of the ongoing mysteries of the universe I guess.

Good luck in the Markets
Steve

[BlowFish]

I have a friend who is a pretty good trader in his own account. He also works in the city on a contract basis. In short he is a bright sort of guy. He is fascinated by this 'natural law' stuff. (They call it that so people don't think they are crackpots ) He's always researching, sending charts, and telling me days I should be watching. Again he can read price action and has a good grasp of money management.

I guess it's essentially cycle stuff, but can't you just measure a swing high to swing high to find a 'cycle'? I do see how a timing method that is based on time (rather than price), or that gives a point in time, could be quite complimentary to a price orientated approach.