Today's square root idea is not new ( re: William Dunnigan ), however what is new is that I have worked it out on cable by unearthing it's unique multiple (0.0625). In this example I am applying it to the LOW 1.45648. Once you suspected that this low was going to hold for a while the S/R lines could have been easily generated using a calculator and a pencil. This can also be applied to a bear market ( subtract instead ), and the multiplier is likely to keep working for future tops and bottoms. Below is how to do the math.
Low: 145.648 ( I shifted the decimal 2 places to the right ) Square Root of 145.648 = 12.068 1st rotation multiplier (1 x 0.0625) + 145.648 = 147.160 ( convert to 1.47160 ) 2nd rotation multiplier (2 x 0.0625) + 145.648 = 148.681 ( convert to 1.48.681 ) 3rd rotation multiplier (3 x 0.0625) + 145.648 = 150.209 ( convert to 1.50209 ) 4th rotation multiplier (4 x 0.0625) + 145.648 = 151.745 ( convert to 1.51745 ) 5th rotation multiplier (5 x 0.0625) + 145.648 = 153.288 ( convert to 1.53288 ) 6th rotation multiplier (6 x 0.0625) + 145.648 = 154.840 ( convert to 1.54840 ) 7th rotation multiplier (7 x 0.0625) + 145.648 = 156.399 ( convert to 1.56399 ) 8th rotation multiplier (8 x 0.0625) + 145.648 = 157.966 ( convert to 1.57966 ) 9th rotation multiplier (9 x 0.0625) + 145.648 = 159.541 ( convert to 1.59541 )
The number of accurate hits is quite astonishing when you put this in perspective...these 9 S/R lines where generated from one number 1.45648..... As a trading tool, it is quite powerful both from the viewpoint of locating a trade entry and/or holding a position into the next S/R level...not bad considering each level is 150+ pips.....
Sincerely,
TIK
Comments
FXKOPPA
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these are down level til 5th root
1.38195
1.39668
1.41150
1.42639
1.44135
Timing_is_key
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Nice Pin Bar on the 5th Rotation!! Keep pressing the play button:) Do your own charts to confirm:) Remember these S/R levels were generated from 1 Low Pivot!
Timing_is_key
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Touchdown...Almost @ the 4th rotation....That's 140 +pips just playing the S/R levels
FXKOPPA
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I was looking at USDCHF , before intervention of CHF , was following the same parameter.
Timing_is_key
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If you are referring to SQROOT. . S/R levels yes....key is to find the right multiple...once you find...it will provide the roadmap moving forward into the future. Your starting point may change ( Not often ) when major Tops & Bottoms are taken out.....I've been testing a strategy using this method with good results ......trying ti iron out the sideways action:) keep well .....I have recently posted a chart on the Swissy worth checking out...keep well
FXKOPPA
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super amazing work , BOOM BOOM Hurrah
FXKOPPA
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now price heading towards 3rd rotation
Timing_is_key
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Yes, possible however the levels are getting a little sloppy there are 2 possible scenarios I will need to test
1.I will run them from the most recent high back on the 18 June and see what happens....I don't anticipate much of a shift in the levels.
2. I will run them from the most recent Low on the 30 Sep 2015....Reason The 2 Sloppy Hit's are actually communicating to me that the cycle has shifted slightly so if this is the start of an uptrend I can get these levels up early.
Will post an update
1.38195
1.39668
1.41150
1.42639
1.44135