Posted by powerchord on 13th of May 2008 at 11:29 am
Hi Guys --
in my brief experience with Renko charts, i have noticed that
they might give a signal then a day or two later that signal is no
where to be found. For example: The GDX chart on Sunday (presented
in Matts newsletter) showed a buy (based on the stochs, psar &
ma cross). if you look at the renko gdx chart today the stochs have
never crossed 20 & the psar never gapped.
I think this makes back testing suspect
Chart won't post - i'll have to read the directions
Posted by vnathwani on 13th of May 2008 at 11:53 am
Powercord...I share those concerns. I noticed similar last week
on GDX Daily and zooming in, on the 5min because I thought my eyes
were going funny or I was imaging things!!
Matt, can we have your thoughts on this please? Its important in
that a Renko chart may show a buy now but if the market conditions
change, these buy "signals" disappear at some stage meaning that
looking at historical entry/exit points is just theoretical and not
a true reflection of what an investor would have experienced. It
would be great to get your thoughts on this because you are very
familiar with these chart settings
Regards
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Renko
Posted by powerchord on 13th of May 2008 at 11:29 am
Hi Guys --
in my brief experience with Renko charts, i have noticed that they might give a signal then a day or two later that signal is no where to be found. For example: The GDX chart on Sunday (presented in Matts newsletter) showed a buy (based on the stochs, psar & ma cross). if you look at the renko gdx chart today the stochs have never crossed 20 & the psar never gapped.
I think this makes back testing suspect
Chart won't post - i'll have to read the directions
Renko
Posted by vnathwani on 13th of May 2008 at 11:53 am
Powercord...I share those concerns. I noticed similar last week on GDX Daily and zooming in, on the 5min because I thought my eyes were going funny or I was imaging things!!
Matt, can we have your thoughts on this please? Its important in that a Renko chart may show a buy now but if the market conditions change, these buy "signals" disappear at some stage meaning that looking at historical entry/exit points is just theoretical and not a true reflection of what an investor would have experienced. It would be great to get your thoughts on this because you are very familiar with these chart settings
Regards