What is a fad? The question seems simple enough but you'll realize the definitions are varying, sometimes obscure and contradictory or illogical if you do any amount of research. The most common response given is a downward trend consists of lows and lower highs and an upward trend consists of highs and lows.
Wikipedia, under its entry for Trend (technical analysis) says the following:
The general direction is surely broad enough and general enough to cover nearly all facets of a fashion. However, I believe we could and should do. The CFTCs definition is no less ambiguous:
There are a range of books that discuss the trend however few of these give a concrete and goal definition beyond these nonspecific descriptions merely mentioned. One publiion that claims to provide a fashion definition that is concrete, and offers mathematical evidence concerning its exactitude is Trends and Trendlines from the writer, who happens to post on this forum from time to time. A survey of the definitions or review let me state the fact of a set of assumptions rests on the truth of the assumptions without turning this. It is impossible to reach the conclusion, if you start with erroneous assumptions. But if you start with first assumptions that are sound, you have a chance.
I will endeavor to explain in an objective and statistically measurable way how I specify the fad or a single way you can do it too. It's important to specify the conditions correctly so that a statistically legitimate trading egy could be built up in the base. But why everyone appears to have the wrong idea, Im going to explain about trends and put a base.
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Notice: this isn't an open discussion about what you believe defines tendency. Please keep the discussion on this issue of trends exhibited in the framework . I placed a three voucher minimum after reading the content, so the more seasoned will chime in about the topic. Feel free to PM me your questions I believe this material fairly well explains itself and though I can't guarantee a reply due to time constraints.
It's unfortunate but some will question my motives so let me put it in the first post. What is my motivation for submitting this info? I'm tired and sick of the misinformation that accepted by the masses and is passed around under the guise of both TA fact. Books have regurgitated this misinformation? How can anybody possibly get the ideal response if they're basing their question? Nowhere have I seen advice regarding how to statistically establish a fashion. I get nothing other than the good feeling from knowing I have made my one small attempt to shine some light to the topic of trends. This thread will become the most and most famous forgotten or the hottest ribbon on FF. I doubt it's going to be the latter given but I hope that at least one individual accomplishes something. That person will be me.
I've attached an Excel sheet. It'll be used during the discussion and you won't be able to follow along unless you examine it when reading a few of the sections and download it.
https://www.cliqforex.com/attachment...8868751625.xls