I read this article before and did google search on the subject.
This part is of interest:
It's important to note that prices may exceed the top (or bottom)
of the current brick. Again, new bricks are only added when prices
completely "fill" the brick. For example, for a 5-point chart, if
prices rise from 98 to 102, the hollow brick that goes from 95 to
100 is added to the chart BUT the hollow brick that goes from 100
to 105 is NOT DRAWN. The Renko chart will give the impression that
prices stopped at 100.
In our case with a 0.6 box size and now a change of -1.80, I
would expect to see at least 2 boxes to the downside (if not 3) but
the chart still hasn't turned to the downside yet. And it's not a
question of chart updating at night either. I've seen the same
behavior before and the chart was the same the next
morning.
Just saw the reply from Tom. Makes sense. I will check for next
time. Have a good week-end !
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Hi Matt, thanks for the
GDX renko charts
Posted by atlantis on 2nd of Dec 2011 at 03:51 pm
Hi Matt, thanks for the reply.
I read this article before and did google search on the subject. This part is of interest: It's important to note that prices may exceed the top (or bottom) of the current brick. Again, new bricks are only added when prices completely "fill" the brick. For example, for a 5-point chart, if prices rise from 98 to 102, the hollow brick that goes from 95 to 100 is added to the chart BUT the hollow brick that goes from 100 to 105 is NOT DRAWN. The Renko chart will give the impression that prices stopped at 100.
In our case with a 0.6 box size and now a change of -1.80, I would expect to see at least 2 boxes to the downside (if not 3) but the chart still hasn't turned to the downside yet. And it's not a question of chart updating at night either. I've seen the same behavior before and the chart was the same the next morning.
Just saw the reply from Tom. Makes sense. I will check for next time. Have a good week-end !