As I have shown in previous posts for other assets, these are the expected price levels explained as midpoints adhering to Benford's Law, also known as the Law of Anomalous Numbers. Even though these gridlines shown are not always the price level of a reversal, we see that oftentimes these midpoints do in fact act as support or resistance, and the midpoints not...
Gold is another asset that I follow and am not surprised to see it adhere to the principle of midpoints as explained by Benford's Law, also known as the Law of Anomalous Numbers. These gridlines I've drawn are midpoints and viewed on a logarithmic chart in order to more easily compare rates of change across magnitudes of price over a long period time. I have...
Continuing the series as we consider the validity of this approach, here are the midpoints across magnitudes for Bitcoin. For more information regarding the origin of this analysis please refer to previous posts linked below. Benford's Law, also known as the Law of Anomalous Numbers, describes the tendency of the leading digit of an unrestricted collection of...
I decided to also include my Benford's Law analysis to the XNO/BTC pair. The base or format for displaying price should not alter the significance of the midpoints. Refer to my previous posts for more information related to this.
I have already introduced the Law of Anomalous Numbers, also known as Benford's Law. While using a Logarithmic price scale helps give perspective to the change in price over time, I have added additional lines equally spaced at each magnitude to further clarify price action. I first split each magnitude in half by taking the square root of 10, which equals 3.16....
Closing in on the completion of the series on moving averages, I have overlaid the EMAs using Lucas Numbers to determine the number of periods to measure for daily, weekly, and monthly closes. 2 black 1 orange 3 red 4 pink 7 purple 11 dark blue 18 light blue 29 light green 47 black 76 orange 123 red 199 pink 322 purple 521 dark blue 843 light blue 1364 light...
Continuing the series, Lucas Numbers are ultimately derived from phi, the golden ratio. I consider them Fibonacci Multiples because I discovered them by taking the ratio of nonsequential numbers along the Fibonacci Sequence. Using daily, weekly, and monthly closes, I have overlaid the SMAs using Lucas Numbers to determine the number of periods to measure. 2...
We know what to expect, but we might as well show the chart with Exponential Moving Averages. I begin to wonder if the deviations between close moving averages have any significance. Using daily, weekly, and monthly closes, I have overlaid the EMAs using the Fibonacci Sequence to determine the number of periods to measure. Starting with the 5th number of the...
We have taken a look at Daily, Weekly, & Monthly Moving Averages for commonly used numbers given our base 10 system, and discussed the reason for the discrepancies across time frames. Now we take a look at how moving averages change using the Fibonacci Sequence across multiple time frames. Using daily, weekly, and monthly closes, I have overlaid the SMAs using...
For curiosity's sake, here are the Exponential Moving Averages (EMAs) for sets commonly considered sets across periods. I have overlaid the EMAs for the following sets of periods using Daily, Weekly, and Monthly closes. 10 black 20 orange 50 red 100 pink 200 purple 500 dark blue 1000 light blue 1500 light green 2000 black 2500 orange 3000 red 3500 pink 4000...
This is a comparison of Simple Moving Averages (SMAs) for commonly viewed periods using closing data for difference periods. I have overlaid the SMAs for the following sets of periods using Daily, Weekly, and Monthly closes. 10 black 20 orange 50 red 100 pink 200 purple 500 dark blue 1000 light blue 1500 light green 2000 black 2500 orange 3000 red 3500 pink 4000...
Finally, we take a look at sets using Lucas Numbers to determine the measured periods. Using monthly closes, I have overlaid the SMAs and EMAs. The same color represents the same set of periods while the brighter color is the EMA and the duller color is the SMA. 2 black 1 orange 3 red 4 pink 7 purple 11 dark blue 18 light blue 29 light green 47 black 76...
Once more here are the moving averages using the Fibonacci Sequence to determine the set of periods to measure. Using monthly closes, I have overlaid the SMAs and EMAs. The same color represents the same set of periods while the brighter color is the EMA and the duller color is the SMA. Starting with the 5th number of the Fibonacci Sequence: 5 black 8 orange 13...
Continuing this series on moving averages, here they are using the Fibonacci Sequence. We have already done this for daily closes and other periods. Using weekly closes, I have overlaid the SMAs and EMAs of commonly used sets. The same color represents the same set of periods while the brighter color is the EMA and the duller color is the SMA. Starting with the...
Wrapping up the basics, here are the moving averages for commonly used sets of periods. Using monthly closes, I have overlaid the SMAs and EMAs of commonly used sets. The same color represents the same set of periods while the brighter color is the EMA and the duller color is the SMA. 10 black 20 orange 50 red 100 pink ...
Moving right along, here are the averages using Lucas Numbers. Refer to past posts for a look at daily closes and other sequences. Using weekly closes, I have overlaid the SMAs and EMAs of commonly used sets. The same color represents the same set of periods while the brighter color is the EMA and the duller color is the SMA. 2 black 1 orange 3 red 4 pink 7...
In a previous post, I introduced moving averages and common periods measured using daily closes. Now we look at the same number of periods measured but each period is one week instead of one day. Using weekly closes, I have overlaid the SMAs and EMAs of commonly used sets. The same color represents the same set of periods while the brighter color is the EMA and...
In a previous post we discussed the significance of price levels. Prior highs and lows are often revisited, sometimes more than once and act as resistance and support. Like a magnet these major and minor highs and lows appear to attract and repel price over time. With this information we drew trendlines creating channels in order to anticipate future price...