I have been looking at how we implement this in CAT: (taken from Tips and Tricks)
Study the MAX Value & MIN Value of markets during 24/48/72 hours. The number of times that market hits MAX-Y and MIN+Y (A window of value where you know that many times/day you will reach that value).
Place a Buy when Market is near MIN+Y, place a Sell when Markets is Near MAX-Y
Set a % difference near % Diff Between MIN and MAX
- You don't need to have a lot of Ping-Pong cycles completed to make money with C.A.T. You can have 1 Ping-Pong/Day but with enormous Gain. Some markets move +/- 30% in a 24 hour period.
I assume we count the number of times the market reaches a certain point during intraday movement and then use that as Y (as a percentage)
Can we find Y within CAT or can you suggest best way to approach this ? Are we crunching intraday numbers or is there a website that can help with this?
Once we find Y, how do we create rules to do this in CAT?
Is that what the market price limits (high 24 - Y% and low 24 +Y%) are used for?
PING NEVER BUY OVER MIN + Y % (so will only buy between MIN + Y and MIN)
PONG NEVER SELL UNDER MAX - Y % (so will only sell between MAX - Y and MAX)
Please assist is this is the right approach or should we be using static price limits to always buy and sell at Y
Did you have a use case for using the Prince limits for Last, High 24, Low 24 Average last 24?
much appreciated..