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Beyond Traditional Cycles

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FIGURE 5.19 DT Time Band Setup

a position to make a larger time frame reversal, the Time Band would be very helpful to identify the narrow-range time target when the larger-degree high or low should be complete. With each part of the trade strategy, the lower time frame can help to identify a narrower range of time, price, momentum, or pattern when a higher time frame reversal may be made. Figure 5.19 is the Time Band menu in the Dynamic Trader software. The first column identifies the market or symbol and the time frame of the Time Band, such as daily or 60 minutes. In the case of the daily DJIA example we just looked at, the 5 to 13 low-to-high and 13 to 18 high-to-high ranges are entered and the Time Band result is displayed in the indicator window, as shown in the prior figure. The DT Time Band menu contains columns labeled Bull High and Bull Low as well as Bear High and Bear Low. The time rhythms in bull and bear markets are often different, so we include a section for each. Time Bands can be made on any market and any time frame of data. The next example is for the EUR/USD on 60-minute data. The highs are marked on Figure 5.20. Only a limited amount of data is shown so the markers will not overlap and be unreadable. The highs going back several more repetitions to the left of the chart were in the 22 to 27 bar range. One high-to-high count shown on the chart was 57 bars, which is about twice the range of the other counts. We’ll eliminate the 57-bar outlier and use the 22 to 27 bar range of all the other counts, which include several repetitions to the left of the chart. Figure 5.21 shows the same EUR/USD data with both the lows and highs marked. The bar count with each high label is the low-high count. The low-to-high range of counts is from 7 to 16, which includes several L-H counts to the left of the data on the chart. The overlap of the H-H and L-H ranges of counts is a Time Band for a high from the 8 P.M.. (20:00) bar on January 24 to midnight (0:00) January 25. If the recent time rhythm from the last few weeks continues, a high lasting at least from 10 to 18 bars should be made in this Time Band. The last 60m bar on the chart is the 8 P.M. (20:00) bar on January 24, which is the first bar of the Time Band range for a high. Momentum is overbought in a position where highs lasting at least several hours have been made. The EUR/USD is in a position to make a high lasting at least 10 to 18 hours, a comparable high to recent highs, not including the outlier that made a 43-bar decline. How did it turn out? Figure 5.22 shows the results.

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(wiley trading) robert c miner high probability trading strategies entry to exit tactics for the for  

(wiley trading) robert c miner high probability trading strategies entry to exit tactics for the for  

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