[mitsubishi]

[QUOTE=UrmaBlume;69013]Might I suggest precise sentences that:

1. Describe what points are connected by each line.




1) The only points i am interested in connecting are the OHLC .These 4 prices are connected either to each other or/and future OHLC prices.With traditional trendlines you can connect a series of highs/lows which gives you a trend.The problem is,imo,all those prices cannot be significant.While you are expecting price to obey those lines (for a while) or signal it is no longer obeying those lines, you are looking at something that looks different in each different time frame.The angle of those trendlines will also change according to chart scaling.The angle of my projected lines are constant.If they were not constant it would be useless to attempt to find a price at a future time.And,it is worth attempting to do that because these connections a far too numerous to be a coincidence.We now have enough examples in this thread bearing out this theory:the ohlc are connected geometrically by the same constant angels.This may not be news or interesting to anyone else but me,but i've never seen it demonstrated before (correct me if i'm wrong)There can only be one ohlc per day-very significant prices connected with the same constant angles.Leaving aside the problems of how best to use this information,the very fact this is happening merits further investigation.

[mitsubishi]

Here's todays chart.....

[mitsubishi]

Originally Posted by UrmaBlume »

Might I suggest precise sentences that:

1. Describe what points are connected by each line.

2. If the line is not drawn between 2 points but rather at an angle from one of those points or lines, then describe that point and the angle up or down from the horizontal, from the way I read it that will always be plus or minus 45 degrees.
.

The angle running down from north to south pointing short is 60 degrees from the horizontal.The angle running west to east pointing long is 30 degrees from the horizontal.Wherever they meet they form a 90 deg right angle.You can project each of those angles from each price that is the ohlc of the prev day into the next day(s) The verticle close line is where price must stop for the next day,so any projected lines that hit the close suggest a possible closing price.But,and this is where problems begin to arise, tomorrows closing price maybe connected to tomorrows open or high or low or a combination.I also think that the projected lines suggest what is a likely price range/direction for the next day.In the same way as we tend to think there will be a bounce after a big drop which just happened and 912 was not likely to get hit the following day but could well get hit today-which happened (just short)

[mitsubishi]

Originally Posted by UrmaBlume »

Might I suggest precise sentences that:



3. What occurrence triggers the drawing of a line?

5. In what sequence are the lines drawn?

3) You can only begin by projecting 30 and 60 deg lines from the prev ohlc.
(There was no question 4)
5)In real time,without the benefit of hindsite,you do not know if you are looking at the high/low.But, let us take today.We know 912 is resistance and we have a projected line from yesterdays high indicating 912 at 11.30. In fact the actual high was 910.8 at 11am. We should already be aware the market has gapped up a point at the open so we might be looking to get short for 2 reasons in this area.And third we are retracing the recent highs in a bear market,so we might be inclined to sell here rather than expect resistance to get broken -at the first time of asking at that.
All of which we might be thinking without the projected line but... it's there.
These projections can be used as price targets as well as possible reversals.
I'll go into more detail later about what other things i am using with this model.But bear in mind i'm on a learning curve here myself!

[mitsubishi]

6. Once drawn what does the most recent line tell you about price action that has yet to occur?

7. What does any part or the sum of any parts of these line(s) tell you about price action that has yet to occur?
.[/QUOTE]

6&7) I would be looking at the lines which have not yet been connected.The high today was the most recent line at resistance and we closed at 900.9 and that is not connected so i would expect conections to be made tommorrow running from these 2 points.At this point in time,the path of least resistance is down.But in any event,if you are looking for a green light/red light indicator this is not it and i am not expecting to find something to incline it that way,only to increase probabilities that the projected target has been hit.As traders none of us can say that if A and B happens then C always comes next.But we do have some great things on our side,We know that if resistance cannot be broken then price will seek support and we can narrow down where support is.This model is not concerned where a minor 5 min/pivot/fib/is, it will connect somewhere to the intraday low.The low today was the open.We would have to have gone into negative territory to even be concerned with todays low.As i said before,we dont know where the market is going but we do know where it's been.This is early days,we may be able to further increase probability.Sometimes something that is incredibly difficult, looked at from outside the box,could turn out to be relatively simple purely because it is being seen/approached in a novel way.I know it's a big ask.But we don't have to know everything-just enough to make money.
Besides something in this thread may trigger something that improves other traders results and that would be great.Also what i like is this model forces you to constantly consider the prev highs and lows which is the basic nature of price action;new highs,new lows

[mitsubishi]

Further to Q 6) and 7)

I would add this.We must also bear in mind that we can also work out what is highly improbable.The very wide divergence in the 2 angles from any given price means that some lines can be dismissed in terms of price being hit tomorrow in that area/time.Also with this scaling i am using(more about that later) the targets get hit so often and within a couple of days that there are far less outstanding unconnected lines to worry about,of which some are too far away from present price and can be eliminated.Probability must include considering what is not probable.

[mitsubishi]

Something else that i just noticed today.If you run the 60 deg angle from close to close it = 34 points down.Run the 30 deg angle from close to close it = 11 points up. Something is niggling at the back of my mind that this maybe significant,but i can't see how...

[mitsubishi]

8. Upon what chart of what resolution in either time or volume are these lines to be drawn.[/QUOTE]

For those who have not read the beginning of this thread.I discovered this model by reverse engineering a 1 min line chart (bigcharts) of the s&P500 cash that enabled me to connect all the intraday ohlc prices by a 60 or 30 deg angle.Had the scaling of the chart been different this would not of been possible .So i believe that something that was previously hidden was now in plain view and that this was a very fortunate,pure piece of luck.
I had previously attempted to square price and time about 2 years ago by using graph paper and a 45 degree angle.But the scaling of my chart differed to this model.Although the width of a day was 6.5cm- the same as this model,the price axis was 0.5cm per 1 full index point (s&p500).Whereas this model has the price axis set at 0.7cm per 2 full index points.
With the different angle and scaling the prev experiment had too many outstanding lines and took longer to hit targets.I gave up on it concluding that if you fired bullets at 45deg into a forest you would hit trees and all it would prove is that there's a forest over there.Although it did have some amazing results (in hindsite of course).But this is very different and it is all to do with scaling.
I dont know if Gann invented squaring price with time but he is most commonly associated with it.And,again i am not certain,but i think he said that each instrument would need to be configured uniquely.So this scaling for the s&p may not work on another index or share commodity etc.