Question about repainting.

[fungus12]

I'm currently using the Trend Reversals indicator but I have a question about repainting. I saw that BenTen had a post about repainting but my question didn't get answered there. So from what I understanding, on the Trend Reversals script specifically, signals can come and go or "repaint" because that's just how the code works out. My question is, is this still the case after the candlestick closes? I know that in real time as a candle is forming, signals can appear and disappear. But is this still the case after the closing of a candle? And if so, is there a certain amount of bars Trend Reversals checks after that close to determine whether or not to remove that signal? Because if there is, then we can know for certain if the signal is good if after x number of bars the signal remains.

Thanks in advance!

 

[rad14733]

@fungus12 Yes, some indicators do actually repaint up to several bars into the future... It all depends on the conditional logic used within the study and that is why some indicators repaint more than others... A little repainting can be livable, to an extent, but excessive repainting simply renders an indicator unreliable or worthless... Some work better on longer timeframes while others do not... The only way to know what may or may not work for you is to install an indicator, watch it's performance, tweak the settings in an effort to reduce repainting, and decide whether or not you can trust the indicator...

 

[fungus12]

@fungus12 Yes, some indicators do actually repaint up to several bars into the future... It all depends on the conditional logic used within the study and that is why some indicators repaint more than others... A little repainting can be livable, to an extent, but excessive repainting simply renders an indicator unreliable or worthless... Some work better on longer timeframes while others do not... The only way to know what may or may not work for you is to install an indicator, watch it's performance, tweak the settings in an effort to reduce repainting, and decide whether or not you can trust the indicator...

I wonder what the maximum number of bars it checks is. But yea I was doing some backtesting with onDemand just to get as close to real time trading as possible and honestly it didn't noticeably repaint. Maybe that's because I'm not purely relying on the buy signal for entries but more using them to orient myself and look out for another confirmation, regardless the only time I noticed a repaint was like 2 or 3 bars after which is fine by me.

 

[MerryDay]

@fungus12 Good question! We don't delve into what is causing the repainting enough so posters don't know what to be on the look-out for.
The basis for the Trend Reversal Indicator is a TOS study called "ZigZagHighLow". The study stores the last lowest low value and the last highest high value. It uses a fold operation to keep repainting the lowest low until the next highest high is hit. There is no limit on how long or far back, it will repaint.

The ZigZagHighLow study is designed by Sylvain Vervoort as part of his 7-part swing-trade "1-2-3 Wave Count" and "V-Trade" systems. It was never designed to work in isolation.

 

[fungus12]

@fungus12 Good question! We don't delve into what is causing the repainting enough so posters don't know what to be on the look-out for.
The basis for the Trend Reversal Indicator is a TOS study called "ZigZagHighLow". The study stores the last lowest low value and the last highest high value. It uses a fold operation to keep repainting the lowest low until the next highest high is hit. There is no limit on how long or far back, it will repaint.

The ZigZagHighLow study is designed by Sylvain Vervoort as part of his 7-part swing-trade "1-2-3 Wave Count" and "V-Trade" systems. It was never designed to work in isolation.

Ah interesting. Well thanks for the response, I'll see if I can get more info Sylvian's strategy to get some new ideas.

 

[MerryDay]

His studies were discussed in-depth for the past few years in the Technical Analysis of STOCKS & COMMODITIES magazine.
I am not sure what has been published on-line

 

[fungus12]

His studies were discussed in-depth for the past few years in the Technical Analysis of STOCKS & COMMODITIES magazine.
I am not sure what has been published on-line

Yea I saw that same page but you have to pay for those.

 

[MerryDay]

Stock & Commodities Mag is an amazing resource. They maintain a database of almost every indicator ever published which is why I had initially subscribed. As my strategies solidified, I don't feel the need to try out every indicator ever invented. Now, I have more time to dig deep into the monthly articles and get into the math, methodology, and intent of technical analysis. Most of my library came about from subjects discussed in articles or the books that were recommended.