Fibo & Geometry

[Garym]

Ted,
Hi, I haven't read Murray Math, so I don't know. Is there an accessible primer on it somewhere? I have put in .75s and they do catch points too. I have seen the circle fibo cycle finder adjusted to these ratios too. Search for the holy grail goes on...
Gary

[IbEmE]

Murrey Math Info

“Irrefutable Laws”: The basis of Murrey Math


The Law of Mathematics: We live in a mathematical universal absolutely controlled by mathematical law. All of the grand cycles, eclipses, stellar movements, seasons, growth/birth cycles, music etc., submit themselves to the mathematical law of cycles. Murrey Math precisely applies these immutable laws to reveal the harmonic rhythm cycles inherent in all market buying/selling activities. The result is a Visual Representation of market action.


The Law of Harmonic Rhythms: All Repeated Actions produce MOVEMENTS that create a Harmonic Rhythm Cycle or Reoccurring Pattern. The four seasons and their specific weather patterns create the basic rhythms of life. From the macrocosm to the microcosm, rhythms and patterns are everywhere. Everything that exist is a part of a pattern, components that dance to a fundamental harmonic rhythm.

The Law of Observation: By Consistent Observation these harmonic rhythms cycles or reoccurring patterns can be MEASURED and PLOTTED, (visually illustrated), with Dependable Mathematical Exactness. Aside from modest variations (Indian summers and late winters), these rhythms or patterns are very precise, with no exceptions.

The Law of Predictability: Once the Movements that create the Harmonic Rhythms or Patterns are mathematically Measured and Plotted, Continual Observation, allows SUCCESSFUL PREDICTION of their Future Direction.


Two arena’s that cbe predicted.


1. Back-room decisions.

A. Security and Exchange Commission C. Boardrooms of Trading Companies.

B. Pre-opening strategies. D. Federal Reserve Action


2. Impacting news before it happens.


These Two arena’s require every Murrey Math trader to Learn to accept Immediate, modest LOSSES when reverses go against you. (See: Top-Gun-Trading). Once these non-predictable events are activated, they immediately become predictable.

Learning to See the Market!

The Murrey Math System captures, measures and visualizes the movements of stocks. The picture of the movements enables those trained to SEE to consistently predict the probable future direction. Once your eyes have been trained to accurately SEE the past, you can SEE the future. Murray Math is DEAF to what the market says! We WATCH what the market does! We GO where the market is going!


You learn to SEE Murrey Math ONE Picture at a time!

(Use the memory keys to lock in the pictures quickly)


Murray Math is based on the mathematics of Music, (eight notes to an octave). The “Square in time,” is divided into EIGHT sections. 1/8, 2/8, 3/8, 4/8, 5/8, 6/8, 7/8 and 8/8.

1st Picture. “The Picture Frame.” The Murrey Math Trading Frame. Mr. Murrey calls it a “Square in time.” Everything that we need to know will be found and SEEN inside this square!





2nd Picture: “Eight City Blocks.” Seven Horizontal Lines that divided the Trading Frame from side to side. These Horizontal lines create EIGHT Vertical zones. They measure PRICE and expected Reversals. (From bottom to top the first interior line is 1/8ths, the second 2/8ths or 25% of the WHOLE and so on UP to the top of the frame.) Horizontal lines measure height of activity.


3rd Picture: “The Time Zones.” Seven Vertical Lines that divided the Trading Frame from bottom to top. These Vertical lines create EIGHT Zones. They measure TIME and expected Changes of Direction. (From left to right the first interior line is 1/8ths, the second 2/8ths or 25% of the WHOLE and so on ACROSS the frame.) Vertical lines measure the Width of activity.


4th Picture: “The Ski-Lifts.” LONG Angled Parallel Lines which measure Continual Momentum in an Upward direction. We stay with parallel momentum.








5th Picture: “The Skiers.” LONG Angled Parallel Lines which measure Continual Momentum in a Downward direction. We stay with parallel momentum.









6th Picture: “The Skydivers.” Seven angle SPEED lines that run from TOP to bottom, left to right, through the trading frame. These seven angled lines Measure IMMEDIATE Fast Reverses in an Upward direction. These lines are Walls of Resistance. If the market can’t breakthrough or jump over a wall, it will reverse Downward fast.




7th Picture: “The Astronauts.” Seven angled SPEED lines that run from BOTTOM to top through the Trading Frame. The “Skydiver’s” lines measure IMMEDIATE Fast Reverses in a Downward direction. These lines are also Walls of Resistance. If the market can’t penetrate, it will REVERSE Downward Fast. Measure SPEED of Time and Price Reversals. The fewer the zones being touched the sharper the angle and the faster the speed.









8th Picture: “Mr. Profit.” A Rectangular Column, (clear or shaded) represents one day of trading activity or the total volume of a company’s marketable shares. We personify the column as Mr. Profit. Each Mr. Profit’s Total Productivity ends with the closing bell. Mr. Profit’s SON is the next trading day. The son is a completely different person but carries his father’s genes. By studying father/grandfather/ etc., the general rhythms of the family can be determined.







With these Eight pictures we can measure the markets TOTAL activity. Murrey Math allows us to WATCH Mr. Profit move Up and Down Wall St. We can See WHAT Mr. Profit is doing, WHERE he is doing it, WHEN he does it. Content. Space. Time. Mr. Profit, On Camera, moving through the Trading Frame, the real world of buying an selling.


9th Picture: The Murrey Math’s Big Picture “Bonus Secret.” ‘Five Areas of Conflict!’ “Equal distant circles” that markets have great difficulty going through. They will almost always “sell” around these areas.














How Mr. Profit Made Money TODAY!


Before we learn to READ Mr. Profits’ movements through the Trading Frame, (the square in time), we must be able to READ the column, to know what a ONE day picture of Mr. Profits activity tells us.


Each column tells us Seven facts about Mr. Profit activity.


The Prices: The Directions:

1. Opening 5. Where are his hips?

2. Closing 6. Where are his shoulders?

3. High 7. Where is his waist?

4. Low.




How to Read the Column


Wall St. is Eight Blocks Long. When Mr. Profit makes his money walking UP Wall Street, the Sky is CLEAR, so is the column. When Mr. Profit makes his money walking DOWN Wall Street, clouds hide the sun, the column is SHADED. Clear means UP. Shaded means DOWN. Up means profits. Down means More profits. Mr. Profit’s Hips are at the Bottom of the UP Column. He made money walking UP in the sun. His Hips are at the TOP of the DOWN Column. He made money walking DOWN in the shade. (Appears upside down)


KEYS: Mr. Profit’s HIPS are the Opening Price Line, in both directions! Mr. Profit’s SHOULDER is the Closing Price Line, in both directions!

If you look closely, you will notice that many columns have LINES that extend in ONE or BOTH directions from the Top or Bottom of the Column. (Remember, Shady days appear upside down when you are first learning to Watch Mr. Profit). These Lines indicate “intra-day” trading Highs and Lows beyond the Opening and Closing Prices. YOU MUST GET THIS! Our One dimension graphic presents these price movements as Vertical Lines FROM the column. (Ex. 1). When we look at the same activity from another dimension, we get a “side-view.” This picture shows what the Total PRICE movement looked like in relationship to the opening and closing PRICE. (Ex. 2).





















Make sure you can explain what Mr. Profits did on each of these days.


Ex. 1. From the opening price (first horizontal line), Mr. Profits feinted Up to H before he reversed and started making money walking DOWN Wall St., He walked all the way Down to L, until finally settling his head at the top of column with the closing bell.


Ex. 2. From the opening price, Mr. Profit walked Down the street most of the day before running back Up the street during the closing session. Right before the closing bell he CROSSED the opening price line and finished in the evening sun slightly UP the street.


Ex. 3. From the opening price, Mr. Profit feinted Down the street to L for a few minutes then reversed his direction CROSSED the opening price line for a strong move UP the street to H. He moved slightly back Down the street just before the closing bell.


Think of Volume as taking on MORE Weight, i.e., gold bars. The father Mr. Profit walks the More Volume he must carry. He will tire. The Faster he goes, the Quicker he tires out. If the Profit’s have walked in one direction a few days, or have Run Fast in one direction; they will be ready to “sell their load” and start “building volume” in the opposite direction.


You Must Look at All of These Lines, (pictures l# through 9# plus the seven facts about Mr. Profits activity) in order to SEE what he is Doing!


Remember our objective is react quickly to Reverses!


Key Questions to ask as you start each day?


1. What SEVEN things did Mr. Profit tell you yesterday? READ yesterday’s column. If you can’t answer this question you are not ready to trade.


2. What direction is Mr. Profit walking?


3. How far have “the Profits” moved since their last reversal? (Length of move) How many blocks? We do not deal in fractional blocks. If the market has mov½ or more into the next block, start your count from the new block. If it has not moved ½ into the next block count from current block.


4. How does today’s volume compare to yesterday’s?

A difference of 25% or more in either direction usually signals a reverse.


5. How fast is Mr. Profit moving? (Speed of move)

Use MM Speed Lines to judge, Remember markets reverse fastest off 33, 45 or 78 d. Angles. We can remember them as the “Gold Records.”


6. Where does this market enter the trading frame? Look back to the last reversal for point of reference. This entry point tells you how much you will make (%) from a reversal up or down.


7. Where is the move in relation to the “Circles of Conflict?”

Is it going around, going under, or moving into the Circle? On those rare occasions when the market moves into the circle it’s direction will usually be determined by is immediate direction from the center of the circle.


8. On Which MM Line did the your market reverse?

Price, Time, Speed or Momentum?


9. Check the Three Time Trading Frames. 16, 32 and 64 days.

You are looking for the most precise horizontal price lines that allow you to establish The last high and the last low within the smallest 8/8ths as possible.


10. Setting our Murrey Math Trading Lines.

A. Zero to 100: 1/8th = 12.50 = 1.5625 = .1953125

B. 250 to 1,000: 1/8th = 125. = 15.25 = 1.953125

C. 2,500 to 10,000: 1/8 = 1250 = 156.25 = 19.5

[tedk]

Full wave up complete and back to 1113 or wave exentions up?

Gary,
Don't know that much about MurruyM either. IbEmE gave a nice intro. In addition there are a lot of rules to follow.
To me Murrymath is a derivative of Gann basically dividing price and time in 1/8th.
My understanding of Diatonic is that only some of these 1/8th are used.
Sort of using some tones to hear more of the music.

[theplumber]

interesting chart

Interesting chart via sentimentrader.com

[FibbGann]

Anyone seeing this today ES

[jouster]

Calm before the storm?

I noticed the triangle today--think there's a major break pending? What are the indicators that you're using--something related to Fibonacci projections?

[spike500]

Originally posted by spike500
Plumber,

...

According to my actual model we should go up for approx. 3 weeks. If we than make a new high the next step would be a severe move downwards.

As you already told: these are no advices, just opinions. Everyone should take his own responsability in deciding what to do.

Next week is the third week.

[tedk]

Daily support @1122. 10-min on the left shows 50% retrace from 1122 up. 1-2 of last 5 up or will 1140 hold?

[spike500]

Originally posted by tedk
Daily support @1122. 10-min on the left shows 50% retrace from 1122 up. 1-2 of last 5 up or will 1140 hold?

Tedk,

we will break the 1140 level, if not today than surely next week.
I think we will test the high of the year again.
Momentum is building up and very strong.

[tedk]

Dailys. Left EOD. 1140 as brickwall. 62% HL retrace of 1 down. 3 or C down to come in this scenario.

Spike,
Preferred and alternate scenario. preferred is still 1162+

[spike500]

Originally posted by tedk
Dailys. Left EOD. 1140 as brickwall. 62% HL retrace of 1 down. 3 or C down to come in this scenario.

Spike,
Preferred and alternate scenario. preferred is still 1162+

We both agree, let's hope the markets agree as well.

[tedk]

Still in the channel but getting weaker

[spike500]

Found this on the internet:

Received this message from a member of my investment forum who is currently on the floor of the Chicago Mercantile Exchange: "Only have a minute but, write more later but... The entire S&P price action in the futures is being controlled by one counter party. All the guys frickin' hate them: their CME clearing number is 990N and they clear through Gelber.

That one account is solely responsible for the current level of the S&P. They are the ones that are throwing the S&P up overnight. Then they are the ones that are sitting on the bid all day long, supporting the market action. The S&P pits have been decimated, absolutely ruined. There is no volatility, so all the traders have left.

Now the hot pit is the Eurodollar pit. Go figure, that used to be like watching paint dry. All the traders I have talked to view the market as being rigged.

They keep waiting for the price action to break loose, but it never does. They are stunned by the lack of volatility. And furious. "Time after time after time 990 just sits there on the bid. Don't they ever go away. They just absorb the entire market and then push the price whereever they want it to go. 'Gee, I wonder who that counter party is.' They are all terrified of shorting, because every time they do, they get drilled. I thought it was just my systems that weren't working that well, but they are far more dispirited than I."

Intervention at its finest, your tax dollars at work, providing the ultimate tax to us all. We have watched 2000 contract market orders on the Bid at key down levels of - 50 and - 100 on those rare days when 990N decides the program trading will revert to a well defined pattern of "allowable" retracements. The Minis are being rigged in order to provide "support" for swollen price levels. They have to be for now, as without the daily rigging, "Price" would revert to its inherent "Value," a disturbing proposition to those benefitting from the financial economy's adolescent denials.

Counterparties provide an important function in any exchange, liquidity. Given the incessant "intervention" by 990N, there is very little liquidity beneath these markets to provide real support.

Jun 16, 2004, John Mackenzie

[tedk]

Example of a market fractal. Daily on the left, 21-min on the right.

[tedk]

Based on the 21-min assume the daily to follow