Thomas DeMark Sequential System

[TopGearTrades]

The DeMark service is a third party product (US$500/month) that runs on the CQG, Thomson and Bloomberg quote/research platforms.

The DeMark chat room is on Bloomberg and provides guidance regarding the implementation of the dozens of indicators that Tom and his team have developed. However, they do not make any recommendations. Everything is FEPO (For Educational Purposes Only).

The 'Classroom' in TDRS on Bloomberg has generic examples describing the each of the indicators. They serve as an update, supplementing the material available in Tom's and Jason Perl's books.

 

[val2004]

I am interested by this part :
The DeMark chat room is on Bloomberg and provides guidance regarding the implementation of the dozens of indicators

it would be interesting to read on that.

 

[DanPickUp]

The DeMark service is a third party product (US$500/month) that runs on the CQG, Thomson and Bloomberg quote/research platforms.

The DeMark chat room is on Bloomberg and provides guidance regarding the implementation of the dozens of indicators that Tom and his team have developed. However, they do not make any recommendations. Everything is FEPO (For Educational Purposes Only).

The 'Classroom' in TDRS on Bloomberg has generic examples describing the each of the indicators. They serve as an update, supplementing the material available in Tom's and Jason Perl's books.

Thanks to mention that.

COG platform is a hell of a platform and most of any Indian retail traders have no change to afford it. It is a pro platform for future traders and I love it.

Even a professional subscription to any pro platform of Bloomberg will not be affordable for any normal retail trader in India.

Never forget that this forum is an Indian forum.

Thank you

DanPickUp

 

[Marjorie549]

Got nice colorful graph in Ami. How do we interpret the indicators.

 

[val2004]

TopGearTrades

Can you post please the examples for education only on how to use demark indicators provided by the tdrs team

tks a lot

 

[Smart_trade]

Yes...will certainly do that on the coming weekend.

Smart_trade

Sorry , could not post the Nifty chart this weekend as tied up in something. Will do it ASAP.

Smart_trade

 

[Smart_trade]

Posting Nifty Index chart showing the sequential countdown. The Combo also gave a 13th sell signal bar on the same bar as 13th of sequential.( I have considered 11,12 and 13th successive higher closing for sequential.)

The stoploss for this sell was at 5885.25+57.4 = 5942.6 on closing basis. The Nifty gave 4 closings above this level starting from 1-1-2013 which means that this trade is stopped out and the sequential is recycling.

The operative set up now is a set up which started from 23-11-2012. On this set up, there are 9 count downs which are complete. But once a recycle takes place we know that the market is strong and further recycle is possible.....and one has to trade from long side after 2-1-2013.

Let us see how the market unfolds in future....

Smart_trade

 

[TopGearTrades]

I noticed that you are starting the Countdown following the 9th bar of the setup. This is not what I have seen in Tom's or Jason's work. It starts WITH the 9th bar. If you review my posting you will see that the 13 count occurred around mid November and was followed by a six day decline.

The following is a cut and paste from Pearl's book. Note the word "inclusive".

"TD Setup vs. TD Sequential countdown
Once TD Setup is complete,TD Countdown can begin, from the close
of bar nine of TD Setup (inclusive), onward. The distinction between
the two strategies is this:
TD Setup compares the current close with the corresponding close
four bars earlier,
Whereas
TD Countdown compares the current close with the low two bars
earlier for a potential buy, and compares the current close with the
high two bars earlier for a prospective sell.This price relationship is
an important distinction from TD Setup, because the market must
be trending for TD Countdown to objectively identify the likely
exhaustion point for a trend reversal.
One can start looking for the first bar of a TD Buy Countdown
when a TD Buy Setup is in place."

A chart from the book is attached.

 

[Smart_trade]

I noticed that you are starting the Countdown following the 9th bar of the setup. This is not what I have seen in Tom's or Jason's work. It starts WITH the 9th bar. If you review my posting you will see that the 13 count occurred around mid November and was followed by a six day decline.

The following is a cut and paste from Pearl's book. Note the word "inclusive".

"TD Setup vs. TD Sequential countdown
Once TD Setup is complete,TD Countdown can begin, from the close
of bar nine of TD Setup (inclusive), onward. The distinction between
the two strategies is this:
• TD Setup compares the current close with the corresponding close
four bars earlier,
Whereas
• TD Countdown compares the current close with the low two bars
earlier for a potential buy, and compares the current close with the
high two bars earlier for a prospective sell.This price relationship is
an important distinction from TD Setup, because the market must
be trending for TD Countdown to objectively identify the likely
exhaustion point for a trend reversal.
One can start looking for the first bar of a TD Buy Countdown
when a TD Buy Setup is in place."

A chart from the book is attached.

I prefer to wait for intersection though for index the intersection is not compulsory. Countdown is started from 9th set up bar if the intersection is complete and other conditions are satisfied.

Smart_trade

 

[poortrader]

I prefer to wait for intersection though for index the intersection is not compulsory. Countdown is started from 9th set up bar if the intersection is complete and other conditions are satisfied.

Smart_trade

Hi ST,

In jason perl's book it goes like this (regarding TD SET up perfection)
"TD Buy Setup “Perfection”
The low of bars eight or nine of the TD Buy Setup or a subsequent low must be less than, or equal to, the lows of bars six and seven of the TD Buy Setup."


Now in our TD SET UP Failure we compare 6th bar with 9th bar, is the above contradicting our Set Up Failure, I am a bit confused, so please clarify

Secondly, the Jason Perl Book gives examples of set up completion before and after the TDST line as a trading opportunity. For example If 9th bar closes above TDST line then it is strong trend. Can this rule be traded profitably. Please give your views