I understand this and i kinda agree but, can you make an example? Say the actual bull: never buy above X and not sell under Y, define x and y (atm bitstamp is at 474.23 with last 24h low at 458.28 and last 24 hours high at 482.19)
Looking at the last 24 hours I see a double bottom at about 470 and a top at 482, so I would put "Not Buy Above" 472 and "Not Sell Below" 480. But it's not hard science: it's quite what you would do trading manually.
Notice that if the current price is out of your limits CAT won't adjust the Pings or won't create Pongs until the price returns within your limits.