PowerTrapezoid
- Indicadores
- Li Rong Tan
- Versión: 2.2
- Actualizado: 17 junio 2021
Introduction to PowerTrapezoid:
The application of market Power deviation system is not a secret, such as volume price deviation, MACD deviation, Chanlun deviation and so on. However, how to correctly understand and calculate, and accurately judge the increase or decrease of POWER is a threshold in application, which is difficult to cross with the conventional system. How to avoid reciting? How to implement multi level backflow parallel computing? How to intuitively show the range of backtracking? Is geometric structure subject to dynamic force, or is dynamic force subject to geometric structure? What is the relationship between POWER zone nesting and geometric structure?
The correct calculation of the TREND is the basis for the correct application of the POWER deviation system. The most commonly used methods are: 1.use the MACD high point or low point, or area; 2. Slope of trend line. These two ways can be easily learned and applied by ordinary people. On the surface, the logic of these comparative evaluations seems to be very reasonable. In fact, there are major defects in these two ways, which are likely to cause serious consequences for trading.
MACD high low point or area to evaluate the trend strength is the standard way to pester scholars. The drawback of this method is that between the high and low points of a line segment, the red and green pillars are often partly below the zero axis and partly above it. If we compare the strength of only one part of them, it will be incomplete. Therefore, this kind of scheme is extremely inaccurate. With this inaccurate value to evaluate the strength of the trend, it is impossible to obtain reliable results, which will not only affect your confidence in the application of "entanglement theory", but also mislead your operation.
Generally speaking, there is a common sense cognitive error in evaluating the strength of the slope: as long as the slope is larger and the range is larger, the strength of the trend will be greater. Is that true? Not really. This point will be analyzed in the following blog. Through the principle of flowing chips, we can count the part of POWER that we ignore. You'll realize that this common sense mistake is real. This is even a cognitive mistake that 90% of the people in the market are likely to make.
Principle and performance of PowerTrapezoid:
1) According to the principle of flowing chips, the stacking calculation of chips is carried out on the time axis to form a trapezoidal stack of chips. At the same time, the market is divided into segments, and the height of chips is compared according to the segments in the same direction, and the phenomenon of chip price deviation is found.
2) The PowerTrapezoid index is especially suitable for the operators to evaluate the strength of trend backwardness. It can find the turning point of the market through the principle of POWER zone nesting.
3) The PowerTrapezoid index is much better than MACD and SLOPE in strength evaluation performance.
The PowerTrapezoid index is recommended to be used together with the following:
4.1) the PowerTrapezoid (the index of power evaluation, this index).
It would be better to add at least some tools for using your trading system, there is nothing complicated, but I think you have more experience with it, I would be very grateful