The unknown obvious: when to use log-scaleThere's a semi-wide-spread snake oil "wisdom" in near-quant circles that you need to use log-charts/log-scale/log-transform all the time.
No, you need to use it only when the range of the data been processed exceeds one order of magnitude (data maximum at least 10 times data minimum). Before dat, no-no! Please, don't stabilize the variance unless it'll asks you to.
Now bringing your attention to the important detail -> data 'being processed'. It means that you don't push the log button when your chart's arbitrary time range is 456-986755. You push dat button when the particular domain (part of the chart) you analyze does exceed one order of magnitude.
P.S.: disregard the studies applied, it's all R&D
Transform
DFT H4 - XTZ deriskedXTZ closed above an ascending MA128. Market is de-risked and a safu long can be open during every small retrace.
Next target is the node for H4 trend
Daily mapping of the price, we map, forecast not predict in Multi UT analysis ;)
Some rules to understand the form of the strategy: (Can answer to your question about the content of DFT strategy :) )
- shade of red trends = primary (the black one are secondary trends)
- Redish trends is primary as medium investors are arbitring short/long term investors decisions.
Div: Trend vs demand/supply
-Ascending trends with red cloud is most likely tested twice before break up.
-Descending trends with green cloud is most likely tested twice before break up.
Conv: Trend vs demand/supply
-Ascending trends with green cloud doesn't need retest to break up.
-Descending trends with red cloud doesn't need retest to break down.
-MA follows Geometrical expension 2^n (32 128 512) to match snowball market effect and have a linear scale btw sampling and TF.
red cloud = supply area (Ma max negative deviation) + Cloud cluster = sell wall (cluster of MTF deviation)
green cloud = demand area (MA max postive deviation) + cloud cluster = buy wall (cluster of MTF deviation)
node = lowest uncertainty point & supply=demand (no deviation)
FMI please visit: novablocks.online
BTCUSD Fisher Transform of OBVFor this chart I utilized the Fisher Transform of the On Balance Volume (OBV) to identify common patterns not particularly discoverable by looking at price alone.
Notice I do not portray a forecast using the same candle movement as when the fisher pattern indicates a repeating trend. This is because the price action will
most likely not follow the same historical price pattern.
What the Fisher Transform has identified for us is a common wind up characteristic only seen by a Gaussian normal distribution of the action. In this way, the indicator highlights
when prices have moved to an extreme, based on recent prices. In this case we are considering the On Balance Volume (OBV).
Note that this is simply an idea and should not be taken as a prediction with targets.
You can see the efficacy of this indicator by looking at the following charts which were intended with price prediction in mind.