Looking for patterns - page 29

[Vitaliy Maznev]

Aleksei Stepanenko:

Maznev Project Rails.

Thank you very much, Alexey!

Regarding the take, the system seems to be 161.8% from the body of the bigger candle. But one really needs to look at the history.

The authors of this system take into account not only two candles next to each other, but sometimes a pattern of 3 or 4 candles, which eventually forms a reversal.

[Aleksei Stepanenko]

Vitaliy Maznev:
but sometimes a pattern of 3 or 4 candles that eventually forms a reversal.

Vitaly, formulate the condition or show me where to read it.

[Реter Konow]

Maxim Romanov:
The field is such that those who know are reluctant to share knowledge because it is not profitable to educate their rivals.)

But okay, here's another pattern. If we take the market as a source of entropy, and two people trade against each other, the probability of winning is greater for the one who has more money. For example, two people are playing, one has $100, the other $10000. Then the other one will come up with $1000, and he will also divest the one who has more money. So the one who has more money will win. Hence, the abstract strategy: if you find a specific participant and trade against him, then you can earn more money, even if the market is random. By the way, only those who have access to certain information do not disdain this algorithm.

If two people are playing, the probability to win is greater for the one who takes the market price, opening a deal to his detriment (he loses a pip). Those who take on the market and move the price. This is the basis of the principle of price movement.

The one who has more money can move the price in its direction, but not the fact that this movement will pay off and be supported by other participants.

It is elementary to buy big volumes, by absorbing positions of sellers, for example. But where is the guarantee that the market will continue to move in the same direction?

[Vitaliy Maznev]

Aleksei Stepanenko:

Vitaly, formulate the condition or show me where to read it.

Borrowed the picture from the author. The candle on the left is longer than usual, followed by not one long candle but two in a row, but in general forming the pattern in question. The point is that one should really define the conditions and criteria according to which the pattern is defined. I've never thought in that format. It will take some thought to identify the main features which can be expressed in the language of the code.

[Maxim Romanov]

Реter Konow:
If two people are playing, the probability to win is greater for the one who takes the market price, opening a deal to his detriment (he loses a point). Those who take on the market and move the price. This is the basis of the principle of price movement.

Why do you think so? As much as I have thought about this point, I have come to the conclusion that being a liquidity provider (placing bids) is more profitable than buying back those bids on the market. Whoever clicks on the market is at a definite disadvantage according to my calculations. Explain your point of view, please.

That's how the market is built, we do not agree on an elementary question), we estimate our own profit differently. And then each participant individually assesses the benefit and it's on)

[Vitaliy Maznev]

By the way, here are more examples of reversal patterns, which also fall under@RomFil's idea describedhere. In the sense that they can be identified by OHLC and practically by a single bar.

[secret]

Roman Kutemov:
Will the bar size be different for day/night here?

For bollinger-like systems, no.

[Aleksei Stepanenko]

Maxim Romanov:

Why do you think so?

Maxim and Pyotr, think about how this could be applied to us, because this conversation could go on for a long time

[Реter Konow]

Maxim Romanov:

Why do you think so? As much as I have thought about this point, I have come to the conclusion that being a liquidity provider (placing bids) is more profitable than buying back those bids on the market. Whoever clicks on the market is at a definite disadvantage according to my calculations. Explain your point of view, please.

That's how the market is built, we do not agree on an elementary question), we estimate our own profit differently. And then each participant individually evaluates the benefits, and the game begins).

It's simple))

You and I make a deal. You sell the apple, I buy. You say: 5 rubles, I say: 4 rubles! The price is undetermined between us, and nothing happens. And then I got tired of waiting and said: fine! Let it be 5 roubles! And I buy an apple. I took the market price, and you sold at the limit price. You sold it to your own advantage, but I moved the price up. Even if to my detriment, I showed my confidence to the other buyers that the apple was worth it. And the others, seeing my determination, start buying apples from the sellers after me. The latter, seeing the demand, out of greed raise the price, but the chain reaction is set in motion and the buyers cannot be stopped. And then, the sellers start losing money. Their positions go into deficit because they raise the price themselves, and I, who set the example and was at the beginning of the movement, get the maximum profit).

[Aleksei Stepanenko]

Vitaliy Maznev:

Here are more examples of reversal patterns by the way,

OK, let's get the Rails out of the way first. I think the 2 candles absorbing the previous one can be attributed to this pattern. The rest of the patterns will be done separately.