Monday, September 27, 2021 9:42:15 AM
Hi N,
I wonder could you tell me what the upper bands are and the multiples? What percentages do you use? Calculated how? You use Value?
The upper bands (I think you mean outer bands?) are the X_DEV bands. They are calculated by using an 3 day SMA (simple moving average) of price, multiplied by the "multiple". The multiple is used to position the bands at the average extreme deviation high or low. Once you have achieved the highest return possible in the time frame you are interested in trading, your X_DEV bands are "fully optimized". Then you will be able to determine the next best high or low targets to take action at.
Once a target is reached the X_DEV algorithm uses a deviation factor which is multiplied by the portfolio value to determine the correct "sizing" of the buy or sell order you should place. The deviation factor is calculated by using a 8 day sma of "midpoints" of daily prices divided buy the daily midpoint. The midpoint is simply the high and low price of the day added together and divided by 2.
Much of this can be visualized by the spreadsheet I have provided in the header window above. Let me know if you have any other questions. Happy to discuss.
I wonder could you tell me what the upper bands are and the multiples? What percentages do you use? Calculated how? You use Value?
The upper bands (I think you mean outer bands?) are the X_DEV bands. They are calculated by using an 3 day SMA (simple moving average) of price, multiplied by the "multiple". The multiple is used to position the bands at the average extreme deviation high or low. Once you have achieved the highest return possible in the time frame you are interested in trading, your X_DEV bands are "fully optimized". Then you will be able to determine the next best high or low targets to take action at.
Once a target is reached the X_DEV algorithm uses a deviation factor which is multiplied by the portfolio value to determine the correct "sizing" of the buy or sell order you should place. The deviation factor is calculated by using a 8 day sma of "midpoints" of daily prices divided buy the daily midpoint. The midpoint is simply the high and low price of the day added together and divided by 2.
Much of this can be visualized by the spreadsheet I have provided in the header window above. Let me know if you have any other questions. Happy to discuss.
Myst
X_DEV board
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