Fibonacci Time Clusters

[Philby]

I am using GET-EOD and want to know a little more about the Fibonacci time clusters.

I have three questions :

1. In the manual it suggests to optimise using all your bars - but when I do this I get a wall of bars like a constant volume chart, no real spikes indicating a possible turning point. Is this normal, am I using it right - how do I interpret this information as I do not find it very discriminatory in helping me make a decision.

2. There are a number of pre packaged optimised models - where are these models (BO, BB ..... etc) explained, what do they mean, when should I use them. I cannot find any mention of them in the manual or on line help. I am in the Australian Market and suspect that these pre-packaged models may not work, so I am interested in finding out how they were built etc. to check their validity.

3. Where can I find a better description of the Time Cluster input window. I feel I do not have a strong enough understanding to create my owm model.

[jims_id]

Philby

Philby:

I'm certainly no expert on time clusters, but here's what I recommend:

Step 1: Put your cursor on the time cluster window and right click your mouse.
Step 2: Select properties.
Step 3: Hit the optimize button.
Step 4: Check the use all bars box.
Step 5: Hit the calculate button.
Step 6: On the left side of the cluster box, my favorite settings are pictured below (I would advise playing with these settings to see what you like).
Step 7: Click OK and presto, you've optimized the clusters.

I optimize often for each chart (daily if it's a daily chart, weekly if it's a weekly chart, etc.)

Good luck,
Jim

[DuaneG]

Hi Philby,

Good to see you on the forums again. In response to your questions...

The best way to work with the Fibonacci Time Clusters is through manual optimization. This optimization is tuned to work and provide different results depending on the market that you are working with. The optimization that you get with CL #F may be completely different that the optimization that comes back for MSFT.

In regards to the Pre Built optimizations, there isn't any documentation that I have seen on them. They were included from the Trading Techniques era and are based on the historical data that typically worked well for various markets. To work with them is pretty much trial and error. The more you notice Time Cluster spikes coinciding with major turning points, the more valid a particular Pre-built algorithm will be for that particular issue. As with the manual optimizations, I suspect they are incorporating some Pivot criteria into the calculations. Regardless, it is best to optimize the Clusters before applying them to insure a "best fit" for a particular market.

[Philby]

Fibonacci Time Clusters

Duanne, It is good to be back - I have been spending an enormous amount of time on consolidating a new version of my trading method.

The Fibonacci Time clusters became a little sideline distraction which lead to a frustration when I could find minimal documentation on how to manually set up the input screen( refer to Jims post below).

I have been optimising using all bars but was curious about the pre-builts etc.

Jim thanks for your posting as well.