A.I.M. Users Bulletin Board

[Conrad]

Adam, I was trying to analyse your formula for the Hold Zones Spread
and could not follow the rationale for your formula

In this link I notice that you formula is different than in the previous link, which was:

Hold zone %= U-L/( (U+L)/2 ) * 100

See Post # 35841

The formula you are posting now in Post # 35843 is

Hold Zone % = (H-L)/(( H+L)/2) * 100.

Í conclude this is the correct one. . .It makes more sense.

Anyway, considering that you guys have put a lot of work in these methods to set Hold Zone based of Stock Behaviour I triggered me to do the same thing. . . and get a little “ wiser” from it. My impression is that the procedure is still quite arbitrary and uses experience if the past rather than a hard algorithm in which only externals information is used.

My thought was to set the hold zones and the trading aggression but I do not think it is an easy job to d. . .I an just picking brains at the moment.