Price is nothing but a transaction between a buyer and a seller who have a opposite view on current value of scrip that is being traded and have agreed upon a price. A series of such transaction gives rise to price movement. Price moves up till the last buyer has filled his inventory and there are no more buyers willing to transact at that price. This gives us our swing high.

Sellers then auction the price down to invite buyers and price moves down till the last seller has sold his inventory and there are no more sellers willing to sell at that price. This gives us our swing low.

When the buyers are more desperate to act, then we have a scenario where we have a higher swing high and a higher swing low. A series of such higher high / higher low on price gives us our up trend.

On a strong up trend, price seldom retrace 50% from the top before buyers are desperate to buy the dips.
[IMG]http://s4.postimage.org/ybs30utla/image.png[/IMG]
image uploader


On the 3 min chart of nifty, the high of the last 20 bars is plotted with a green line. The low of the same 20 bars is plotted in red. The 50% retracement from the top, is basically the mid point of this 2 lines, which happens to be our KS.

A rising KS signifies a rising bullish sentiment on the a set of 20 bars of 3 min each, meaning we monitor the progress of 60 min time frame using a 3 min chart.

Now same chart, we plot the midpoint of the last 5 bar's high and low, we now have our TS. TS represents the change in sentiment of 15 min tf on my 3 min chart.

[IMG]http://s3.postimage.org/fbahbzki3/image.png[/IMG]
image uploading

All i need now is an oscillator, like stochastic to tell me which dip i should buy.

were these charts generated within Ninja?, and are there indicators, particularly on panel 2, that we can access?

very good thread and commentary

Hello,
I am new to the forum and going thru all the things that you have. So far its great. I need some help. Hopefully someone can help me. I downloaded D3spotter into my Ninja Trader platform and the indicator works great. I use Ninja Trader only for execution of my traders but I use MarketDelta for charting. I would like to import that into MarketDelta but I cant. I need help in writing the script for MarketDelta. Or maybe someone to explain to me the basis of the indicator. If someone can help I would appreciate it. Thanks Diane

These charts are generated using amibroker.

The indicator used is a simple stochastic available on all platforms wt default settings.