Algorithmic ''centrifuge'' - page 9

 
Реter Konow:
ZigZag does not rely on the principles of the 'perfect trade' - the best trade time to profit ratio. ZZ will need to be entered and exited on all its peaks and lows. It is not an ideal solution.

How is it not ideal if it takes away all the profit possible?

 
Dmitry Fedoseev:

How is it not ideal if it takes away all the profit possible?

If a trade drags on and goes from 80% to 100% profit from morning to evening, it is better to get out of it at 80% profit to use the profits in other trades on other instruments.
 
Реter Konow:
If a trade takes too long and goes from 80% to 100% profit from morning to evening, it is better to exit at 80% profit to use the profit in other trades on other instruments.

You can use it anyway, if you have it, you don't have to close the position.

 
Реter Konow:
If a trade drags on and goes from 80% to 100% profit from morning to evening, it is better to exit at 80% profit to use the profits in other trades on other instruments.

This is vivid "sofa analysis", very far from practice

 
Dmitry Fedoseev:

You can use it anyway, if you have it, you don't have to close the position.

It is not wise. Opening a new trade without closing the previous one, believing that its profits will only go up. What if the profits of both go down?
 
Олег avtomat:

it's vivid soapbox analysis, very far from practice.

You don't know what we're talking about. We are talking about the ideal theoretical system. I don't know what it's for and what to do with it afterwards.

 
Реter Konow:
It is unwise. To open a new trade without closing the previous one, believing that its profits will only go up. And if the profits of both will fall?

It's about the perfect system. With such a principled approach, it is better not to open at all.

 

There is another reason why ZigZag is not suitable for finding ideal points.

ZigZag ignores the concept of Trend/Flat, which many indicators and strategies rely on. It bluntly fails to capture their transitions. And it does not take into account the useless holding of an open position in a long price corridor.

 
Реter Konow:

There is another reason why ZigZag is not suitable for finding ideal points.

ZigZag ignores the concept of Trend/Flat, which many indicators and strategies rely on. It bluntly fails to capture their transitions. And it does not consider useless holding an open position in a long price corridor.

But the zigzag does catch all of the price changes. Make up your mind if you want to go this way or that way. Whether you need an ideal system or an optimal one, according to some specific criteria.

 
Dmitry Fedoseev:

But the zig-zag is a blunt instrument for catching all the price fluctuations. You have to make up your mind whether it's this way or that way. Whether you need an ideal system or an optimal one, according to some specific criteria.

You need to determine the ideal places for deals on history. Without unnecessary delays in positions. The deals with the best time/money ratio. We will check and select indicators and custom formulas for their entry/exit points in the TS signals.


I agree, replace the term "ideal" with "maximum-optimal". This is truer.