Thursday, September 25, 2014 10:38:46 AM
Hi Allen.
I've been following this discussion since the beginning and got caught up yesterday and this morning.
So FWIW:
One consideration you might make is to follow the Williams %r metric and (assuming other AIM settings/thresholds are met), Buy when it crosses the -80 level up from the bottom, and Sell when it crosses the -20 level down from the top.
I've not made this trigger mechanical in any simulator, but always 'validate' my trades using the W%r. Especially on the Buy side. Not so much on the Sell side as I like to take the $ when it's offered by the Greedy.
One could use other thresholds like -90 and -10. They could work just as well.
Never tested that out either but it might be worth a look.
Also I've never thought there was anything 'magic' about a month or a week. Over the last 14+ years, if I had constrained my activities to either of those two checkup points, I would have missed a lot of transactions. My Sell orders are almost always sitting out there GTC, and I have various alerts set up so I get a text message and/or email when the next Buy price is crossed.
In this way, I don't need to watch constantly. I simply get notified when I need to take a look.
Keep in mind that when Lichello wrote all 4 editions, we didn't have the communication technology available that we have today.
I've been following this discussion since the beginning and got caught up yesterday and this morning.
So FWIW:
One consideration you might make is to follow the Williams %r metric and (assuming other AIM settings/thresholds are met), Buy when it crosses the -80 level up from the bottom, and Sell when it crosses the -20 level down from the top.
I've not made this trigger mechanical in any simulator, but always 'validate' my trades using the W%r. Especially on the Buy side. Not so much on the Sell side as I like to take the $ when it's offered by the Greedy.
One could use other thresholds like -90 and -10. They could work just as well.
Never tested that out either but it might be worth a look.
Also I've never thought there was anything 'magic' about a month or a week. Over the last 14+ years, if I had constrained my activities to either of those two checkup points, I would have missed a lot of transactions. My Sell orders are almost always sitting out there GTC, and I have various alerts set up so I get a text message and/or email when the next Buy price is crossed.
In this way, I don't need to watch constantly. I simply get notified when I need to take a look.
Keep in mind that when Lichello wrote all 4 editions, we didn't have the communication technology available that we have today.
Best Regards, Steve (The Grabber)
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