{"product_id":"stcov261fofo7","title":"Stocks \u0026 Commodities V. 26:11 (14-17): Forex Focus: The Trend Determining Method by Aleksey Yudin","description":"The Trend Determining Method by Aleksey Yudin\u003cbr\u003e\u003cbr\u003eThis model is based on the theory of determined chaos, which\nposits that accurate market forecasts can be generated when\ntrading the currency markets.\u003cbr\u003e\u003cbr\u003eDetermined chaos theory has attracted many followers in recent years in various fields of knowledge. Unfortunately,\nalong with its many advantages, such nonlinear methods of analysis have their own deficiencies namely, the very short time horizon for forecasts. This problem could be solved by applying additional methods with a longer time\nhorizon for forecasting, but that would create a complex and\ntime-consuming system. Nevertheless, it is possible to balance sensitivity and short memory of a method and produce trades with a high winning percentage. This can be done by applying simple models based on the theory of determined chaos.\u003cbr\u003e\u003cbr\u003eDETERMINED CHAOS\nAmong system creators there is endless debate on what\nnumber or type of parameters is best used to describe the\nmarket. Most trading systems are built around one parameter\n price. Using price alone, or any indicator based solely on\nprice, cannot explain or predict market movements with any\nregularity.\u003cbr\u003e\u003cbr\u003eThe system described here is based on the concept that\nmarkets are driven solely by supply and demand. Market\norder flow can in fact be accurately tracked by analyzing\nvolume and open interest in conjunction with market price.\nWhile price is an important aspect of our system, it is more a product of how supply and demand interacts rather than the determining factor when it comes to market forecasts.\u003cbr\u003e\u003cbr\u003eBecause forex is traded over the counter and not through a\ncentral exchange, open interest is not available. Because\nfutures are the derivatives of the cash market, there is a strong correlation between the two so you can use open interest from the futures contract as a proxy.\u003cbr\u003e\u003cbr\u003eA deeper discussion of volume and open interest in different\nmarkets is beyond the scope of this article. What is important to understand is that there is a connection between open interest, volume, and price, and by exploiting this relationship, you can generate consistent profits.","brand":"store-traders-com","offers":[{"title":"Default Title","offer_id":52133966610801,"sku":"\\V26\\C11\\209YUDI.pdf","price":2.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0900\/3843\/6209\/files\/unnamed_19723d08-512e-418f-bf44-bf2d7d40d8b4.jpg?v=1739659242","url":"https:\/\/shop.traders.com\/products\/stcov261fofo7","provider":"Stocks \u0026 Commodities","version":"1.0","type":"link"}