Confusion Only For the Latecomers! July 8, 2011

[Billy]

What also threw me off was that Billy publishes confluence pivots every day on GDX and thus, in my mind, it reinforced the impression that these pivot levels had some influence of the robot behaviour (risk management, Expected return probabilities, and so on...) while the statistics tell a different story.

Pierre

Pierre & all,

Let me know if the GDX cluster chart and commentary are a distraction. Our common goal is to have the clearest appreciation of the robot trades. I am the first one to be aware of the limited use of the pivots for GDX and it was my conviction well before the robot research started.
I have no problem with dropping the daily cluster chart since it could often contradict the robot decisions.
Just give me some feedback on this.
Billy

[adam ali]

Remove pivots/clusters - keep commentary

[asomani]

Pierre & all,

Let me know if the GDX cluster chart and commentary are a distraction. Our common goal is to have the clearest appreciation of the robot trades. I am the first one to be aware of the limited use of the pivots for GDX and it was my conviction well before the robot research started.
I have no problem with dropping the daily cluster chart since it could often contradict the robot decisions.
Just give me some feedback on this.
Billy

I would be in favor of the removal of the GDX cluster chart but am not sure about the commentary.

As an aside, if you could give the SPY cluster chart regularly and mention a few words on it, on top of the cluster chart and commentary for IWM as you already do, that would be nice due to how many of us are used to watching the SPY closely.

Thank you for considering my suggestions.

[Pierre Brodeur]

Pierre & all,

Let me know if the GDX cluster chart and commentary are a distraction....
...
.. Just give me some feedback on this.
Billy

Billy,
I consider your daily commentary as a "market awareness" comment and therefore I would also see a lot of value if and when you added other markets from time to time when you feel there is something we must be aware of in terms of S/R clusters. The SPY and QQQQ come to mind as for me they illustrate another "quasi independant" section of the market of different interest to the main IWM sector or Large, Tech, Small Cap.

Pierre

P.S.: Our time is precious and something that keeps bugging me is these posts with long quotes at the end of the message which reappear every single time...! Would it be possible to stop that practice which I feel is a distraction. Now I feel better [lol]

[grems8544]

Let me know if the GDX cluster chart and commentary are a distraction.

I prefer to keep both the cluster chart and commentary.

Regards,

pgd

[asomani]

If I may compare IWM to GDX, I would say that IWM is like watching the changing of the guard in front of Buckingham palace while GDX is watching a 15 years old kid riding a wild horse in the forest. It is just not the same.

Excellent description, Pascal.

[Pascal]

The GDX chnage will not be "radical", but simple: when a new signal is issued, entry will be executed at the open of the following day.

However, from day 2, the robot will still issue the best R/R buy points based on the pivots.
Indeed, if these buy point are less efficient than the "buy at open", for traders who did not buy at open on the next day, then the best R/R entry is still the best place for entering the trade.

All in all, the change will not be spectacular but only minimal. You will only notice it at the day when a signal is issued, which is not that often anyway.


Pascal

[roberto.giusto]

However, from day 2, the robot will still issue the best R/R buy points based on the pivots.

Pascal

I guess I misunderstood.

If this is the case, then it is indeed logical to have a pivot commentary for GDX as well.

[dsmcdougal]

Any comment or observation by Billy and pascal are not only welcomed, but looked forward to.