Jim Dean Sage   Posts: 3022 Joined: 9/21/2006 Location: L'ville, GA  User Profile | Thanks for the snaps and the notes ... I think I understand what you are getting at. Documentation on these systems is pretty limited, so let me add some "educated guesses" that might help. 1. the zigzags that are the starting point for the analysis are on the indic, not on price. 2. zigzag pivots are not "identified" until a few bars AFTER the vertex, so the signals come "late" as a result. This is the nature of pivot-point analysis in all its guises. 3. it appears that the rules for the signals are related to the underlying indic's value in some way ... not just a bar count or change of value. Not documented. 4. the price values are the Close of those bars - as good a point as any, I suppose. I guess the key point here is that this uses the indicator zigzag, UNRELATED to any price zigzag, or to a price LinReg line, for analysis ... sometimes this is done differently (other software), but the bottom line appears to be that were it not for the lateness of the signals, most of them seem to be pretty good ... that is, if one could "know earlier" that a pivot was a pivot, then the RSI-D would be a great system. As mentioned earlier ... the lateness is a function of HOW the pivots are defined ... Nirvana has not revealed that. So ... hopefully this helps put it in perspective a bit. [Edited by Jim Dean on 3/3/2010 4:38 PM] | |
