Chu Xiao Hang asked: “I am Chu xiaohang living in China. I am reading the book - the nature of trends.My questions is:
I noticed when you draw 5-period barros swing, the filter used is +10% of the adjacent 3-period swing.
- Why do not use +10% of adjacent 5-period swing?
- When I draw 18-period swing and 60-period swing and so on, what filter should I use respectively ? I mean +10% of adjacent ?-period swing?”
1) A: Because that’s the way I constructed the filters. Unlike Hart swings which use 10% of the swing’s time frame, I use the next lower time frame as a filter. The progression on the daily and intra-day charts is: 1, 3, 5.
2) A: The Nature of Trends contains the full list. I use the daily chart for the monthly and weekly trend (18-day and 5-day); the weekly for the quarterly trend (13-week) and for the yearly trend (12-month) and above, I use monthly chart.
Please go to the Free Section for a video on how to draw Barros Swings
Siu Yin asked:
“Matt Keyes wrote an unfavourable review on the Nature of Trends. Would you like to add your comment’?
A: I do not reply to reviews, unfavourable or favourable. Reviews are a reflection of personal preferences and experience. A reader will find or not find what he needs depending on where he is in his evolution to being a successful trader.
The concepts in the Nature of Trend are not easy to grasp - you need to work through the ideas - but then nothing worthwhile comes without effort. It took me 9 months to internalize the concepts of the traditional Market Profile and it was one of the best investments I ever made.
If you are looking for simple ideas like a ‘moving average cross-over system’, then Nature of Trends is not for you. If you are looking for an understanding of how markets work, and are willing to put in an effort, then the book may be a worthwhile read - at least some of the other reviewers thought so”.
Paul Lee asked:
“Thank you Mr. Barros.
Please send me a picture of intra-day cycles”.
A: Sure Paul attached. See Figure 1.
The software is supplied by Cyclepak from Chris Ktuza; it’s an E-signal add-in for US$300 pa or US$30 pm. I find it good value for money.
http://www.sr-analyst.com/cyclePack.htm
John Gault asks:
Are you a Democrat or Republican?”
A: John, pardon me for asking: Is this your real name or pseudonym? Sorry mate. I just had to ask.
Anyway to your question. I am neither. My beliefs are pro individual rights and I see limited government, lassez-faire capitalism as the best form of government - not perfect but the best alternative that we have.
Ayn Rand has articulated my leanings far better than I could in her works on philosophy and ethics. The Austrian School of economics has provided an economic basis for my philosophical and political beliefs.
Many years ago, Rand wrote that Republicans tended to be in favour of economic rights and would suspend individual rights - she cited censorship as an example; whereas Democrats leaned towards greater individual freedom and favoured greater Government interference in the realm of economics. But neither can be said to champion individual rights.
But then she did not witness the Clinton years. Clinton did for the US what Paul Keating and Bob Hawke did for Australia. Both governments were ‘Democrats’ but in my view they did more for individual rights and capitalism than any other leader in the USA and Australia since their tenure.
After Clinton, the US got lumbered with Bush (surely one of the worst US presidents ever) and now Obama (whose policies are ensuring the US and the world will suffer longer than would have been necessary).
Australia saw John Howard and Peter Costello frit away the legacy they were given by not continuing with the revolution instigated by Keating and Hawke; Rudd looks as though he’ll do a Fraser and set Australia back 50 years.
FIGURE 1 Intraday Cycles
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