Replies to post #47174 on Short Term Trading Member Forum

[techcharter]

OddLot - Chebychev Filters

This class of filter is more sensitive to coefficients in the recursive equation. The recursion must be run for at least 1/2 of the period of interest before magnitude and phase can be determined. This is a manually laborious way to generate the spectrum, but a very quick way to perform time analysis. I tried automating magnitude and phase detection before from the time respnose. The underlying trend varies too much that as it moves in and out of the filter band multiple zero crossings can occur in less than half a cycle. Worse yet, a "cycle" may never have a zero crossing.

Using a window filter (finite impulse response), the spectrum can be estimated very quickly; however, the time response calculations are more computer intense due to convolution. One benefit of spectral analysis is the ability to create more reliable timing oscillators. For now I will use this approach since I can better handle exceptions to the ideal model than writing pages of software. I also gain much more knowledge how the markets ebb and flow.