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It's a picture of the president of the United States with the fib sequence this thread about fibs so I would say it is relevant... just because you don't agree with something doesn't mean it shouldn't be posted.
Crosshairs ?? Have out ever looked down a scope before ?? Because if yours looks like that your probably doing it wrong.
Dug through my github repos to find some old SICP exercises, this one is mostly "borrowed" I sure didn't come up with the mathematical derivation, and I didn't write any tests ><. Its a neat way to do the computation fast though.
I quite like this discussion! It demonstrates how we are all unique and bring different ideas, concepts, and personal beliefs to the market. Thus, I don't think we should bury it in the past, the market is always evolving and so are we!
Have you not seen this happen? I'm quite surprised! One interesting quirk I have found is if you plot out the pHOD/pLOD and set the retracements between those high/low levels (I wrote a simple python script to compute them and round them off to the nearest 0.25 tick for /ES for example), you might, from time to time, see an amusing phenomenon where price surges and then bounces off the "golden ratio" as if it were made of titanium.
All of it works and None of it works, that is one of the mysteries of trading.
I was going to ask if that was LISP then seen the SICP mention. I tried to get through that book when I was in college but wasn't driven enough to get through it. I really wish I had.
The most interesting lines I ever plotted was a long time ago and I don't even remember what software it was. I had figured some pivots for a stock using a new method I found online then I couldn't believe how well they were working. Price bouncing right off and up then bouncing right down off the next level.
Then I realized I had typed in the wrong ticker and so I basically figured out levels for this stock using prices from a different stock.
I have done the same thing with a random number generator to pick out support and resistance/pivot lines as an exercise. Price bounces off those too just as nicely. Why? Because we haven't defined what "bounce" really means. You just ignore all the other levels and all the violations of your own level. I think it is a big part because of how good we are at visually matching something to a horizontal line.
IMO you can't draw a horizontal level that doesn't "work". No one ever defines what "bounce" or "work" means precisely enough to prove that the line doesn't "work".
Myself, I can see them somewhat useful in the overall scheme of things, but I generally look for a confluence of factors and would not take a trade strictly based on a fib level.
Not to take away from the topic of discussion @centaurer, but since you're obviously a staunch opponent, I am legitimately interested in what you, personally, think works or outweighs the effectiveness of fibs in the market
I want to test something. It's simple. Place some random lines on your chart prior to the day opening, and see if at the end of the day you feel like those lines were important (try to imagine they weren't random, but some expensive or complicated …
This doesn't prove fibs, etc., don't work, but it sets a fairly high bar. Not everything is actually a random line, but random lines can look very good in hindsight. But only there.
Maybe someone has some actual trading experience (not hindsight analysis of a chart) that will add to this discussion?