Internal Strength Trading

[dusant]

Hello Traders
This is my intraday update with charts updated around 12:30 (GMT)/07:30(NY).
The charts can be accessed at Click here on the updated link.
As usual comments are welcome.
Dusant

[dusant]

Hi fellow traders.
My daily updates as on 07:45 GMT (02:45 NY).
There has been no discussions about these charts since i have been posting my links. I wonder if people are indeed reading these posts or pursuing the charts or is all in vain.
View the charts here by clicking this link.

[MattH]

Dusant

I have looked at your charts a few times - 1 problem - I have no idea what they are meant to show???

I have attached the GPBUSD one for this morning here - can you explain what you are trying to "Recommend" with this chart. You have put that yesterday we should have entered a sell order - however how does your chart help today???

I'm confussed
Cheers Matt

[MattH]

oops - first time i've tried to post a chart attachement & it hasn't worked as i planned

[Tekunda]

Dusant I think the lack of discussion derives directly the lack of information you are willing to render.
The first posts were only charts with no further explanation.
Only later did you post a few more details about your indicator.
Did you assume that people all are familiar with the internal strength indicator of currencies you are using?
If you want to have a lively discussion going on - I am looking forward to it - this forum needs far more food for thought coming your side.

BTW

Your indicator looks to some degree like the indicator of www.Forextrm.com which there is called the Momentum indicator is suppoesedly built on the theories of Hurst. Did you use the same mathematical theories also?

[dusant]

Matt
Thq for ur post. I'm glad it gives me an opportunity to explain.

The basic premise here is that if the GBP is rising against the USD that currency is gaining strength. At the same time the USD is weakening.

the second week of October the internal strength of USD (red line) is showing a warning of strength vis a vis the GBP (green line). While the GBP is rising made a higher peak its Internal Strength has made a lower peak thus exhibiting a classic negative divergence.
Similarly there is a positive divergence displayed by the USD Internal strength. Because the USD has been weakening all the while yet its internal strength is rising. In effect its Internal strength also has made a negative divergence.

During the last four days there has been a change in the movements of the respective internal strengths which are now moving towards each other setting up a potential crossing.

The signals are calculated by another algorithm. These are calculated by a complex set of mathematical rules devised by me.

However the rules are simple:
Long term trend up short term trend up = Long Entry (LE)
Long term trend up[/color] short term trend down = Long Exit (LX)
Long term trend down short term trend down = Short Entry (SE)
Long term trend down short term trend up = Short Exit (SX)

The signal generated four days back was a LX (long exit). Yesterday a short entry was generated. On a daily basis therefore a trader should consider shorting options.

Any more q's please do not hesitate.

Dusant

[dusant]

Tekunda
Thank you for your frank comments. Yes I admit sheepishly that I have not posted enough material about my indicators signals method. I hope that my previous post has corrected that to a certain extent.

I have heard of Hurst's methods though I have not used his methodology. It's quite possible that my Internal Strength indicators are somewhat similar to another method. However on your hint I did visit Forex TRM site the charts shown on their first page with the Sigma Bs are "somewhat similar" to Keltner's Channels.

I have great respect for anyone who tries out something different even though it may be similar to any other method. But all said done no matter what method is used the data is going to remain the same. also the quest for trading that data successfully.

Cheers. :-)

Dusant

[MattH]

Thanks for response

Can your system be used to help trade on an Intra-day basis or is it more for 3-4 day swing trade moves??? If it can be used for intra-day are you suggesting today we should be looking for shorting opportunities only???

Cheers Matt