Linda and thread,
If you have any interest in speed lines? I apologize for redundancy in those 2 posts. The second was a paste and contains errors. The most obvious of which is where I refer to both speed and velocity in the same sentence. At the time I wasn't able to make the distinction that they are one in the same. Speed although more easily understood is properly called velocity because it permits obfusication of knowledgable to those who aren't already in the know. Many of the markets ways use obsfusication.
Speed lines are an antiquated method, but the concepts of velocity and acceleration exist as market forces and an anchient method that measured them and still works is speedlines. I've seen countless examples, particularly intraday, high volume, fluid situations where a stall occurs and one of the measures of truth to the extension was if it picked up a paralell line, hence it ran again at precisely the same velocity. Price often accelerated actually jumping back up onto the original trendline, where it slowed and resumed the original velocity at the original location, negating the stall. Other oddities include if it'll run there, it often accelerates out of the channel and corrects back down and rides on top of the orginal channel. 2 trendlines beneath it, an entire zone of support. Velocity of the falls were measured much the same as those of the past and the V down matched the V up. Often support was found via linkup with a lost line from the morning, or yesterday.
These methods work for some, but I believe there are modern methods which permit measuring velocity and acceleration, just as precise and accurate, if not more so. How is it that intraday S&P 500 everyone turns on a dime except during nap times? Velocity, acceleration and direction are clearly signaled their better than anywhere meaning extra crispness and less noise. Any ideas on how to measure?
Osci |
