#1 RE: Array question - intraday vs. closing by Alex 25.04.2016 10:47

Hi there,

I'm looking at a daily array in Oil and I'm thinking what is considered to be a day with a rising price vs. falling price. Here is a constellation where in case 1 oil is rising intraday but falling on a closing basis. Case 2 is the opposite. It's falling intraday but rising from one day to the next day.
So my question is, what is MA consider to be a rising price (or falling price)? intraday or on a closing basis? In this case it's the daily level, but this can also happen weekly, monthly or yearly.

#2 RE: Array question - intraday vs. closing by pinky 26.04.2016 12:15

MA also uses reversals on closing basis to help identify trend change.

#3 RE: Array question - intraday vs. closing by Alex 26.04.2016 14:21

That's right, but on the array the Turning Point (Composite) typically is a intraday high or low. That's why I had some doubt over this question.
In the Directional Change it's not about intraday high or lows. Martin has made that clear.

A Directional Change differs from a Turning Point in that Directional Change targets need NOT be the period when an intraday high or low forms. Instead, a Directional Change is the target where the market actually begins to make a decisive move.

In general I also assume that the closing should be relevant for 1 time unit in the array / Composite because I doubt that the difference between opening and closing is considered. But it's just an assumption though...

I just found this and it only confirms that Turning Points are based on intraday events. It doesn't mention the time units between the turning points.

The turning points are based generally on the intraday event. We will be adding the turning points on a closing basis to help break out all three dimensions to this complex movement. ....
....This will be added to the user interface for Phase II of bringing Socrates online.

But maybe the bars in the time units between turning points are not really indicative altogether for rising/falling prices and only the turning points itself are relevant.
After having looked at a couple of arrays and how they played out in the past, I tend to believe that this is the case.

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