Decoding The Hidden Market Rhyhtm

Part 2: Non-Linear Time / Metonic Cycles

Part 2: Metonic Cycles
Table of Content: Show TOC

> 240 pages, incl. open EasyLanguage script sources & generic pseudo code

Price: 149,00 USD



Abstract / Summary:
The second book of the series introduces correlations between markets and external energy cycles like gravity and geomagnetism. Digital signal processing techniques are used to reverse engineer Gann’s master cycles, resulting in a 100% mechanical cycle-based trading system that has shown a compounded growth rate of 20% per year over the last 30 years when back-tested using the Dow.

Part 2 introduces new non-linear indicators and reviews the significance of a cyclic sentiment predictor for the Dow Jones Industrial Average Index. To that end, using daily data covering the period from 1935 to 2013, ancient cycles are condidered as predictors to forecast daily sentiment for years ahead of time.

The forecast plotted as an indicator is transformed into a mechanical trading rule whose profitability has been evaluated against the Dow buy-and-hold performance of 1990-2013. The results suggest that trading based on recurring sentiment significantly outperforms the Dow in nearly all performance metrics, including net return, profitability, and Sharpe ratio.

Includes TradeStation / EasyLanguage code to rebuild indicators and use the trading system. Generic pseudo code and step-by-step guidelines included.

Amazon Top 100 Bestseller in the category Business & Money Finance – Financial Engineering. (Link)

  • The Master Rhythm

    Correlations between markets and external energy cycles like gravity and geomagnetism. Understanding the master rhythm of the world’s first computer from ancient times.

  • Building the SuperPosition Wave

    Digital signal processing techniques used to reverse engineer Gann’s master cycles. Background of the recurring sentiment patterns.

  • Decoding market turns in advance

    Knowledge to deciphere market turns ahead of time. Decoding the superposition energy wave and building non-linear predictive forecasting models.

  • 100% Mechanical Trading System

    Pure mechanical cycle-based trading system that has shown a compounded growth rate of 20% per year over the last 30 years when backtested on the Dow.

  • Statistical Analysis & Verfification

    In-depth statistical verification analysis that demonstrates that the results are not based on luck.

  • Ready-made Trading Scripts

    Including all scripts and codes to rebuild indicators and systems to use with TradeStation / EasyLanguage code.