Calculation of the R & SU zones

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Trader Question
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Joined: Thu Oct 09, 2008 7:31 am

Calculation of the R & SU zones

Post by Trader Question »

Enjoying the course, however I have a question.
The formula for 1-1 R zone is given as the difference between the last two 1-1 highs. The difference between two numbers results in single value whereas the zone requires a high and low value? Plotting the zone as bounded by the last two 1-1 values dosent look quite right to me. Could you confirm how the high and low of the R & SU zones are calculated?

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Re: Calculation of the R & SU zones

Post by pldot »

The 1-1 resistance zone is distance between the last (yesterday's) 1-1 high and the most recent (today's) 1-1 hi and is charted on the current (today's) bar. Yesterday's 1-1 high is created by the day before yesterday, today's 1-1 high created by yesterday's bar, etc. The 1-1 r zone for tomorrow is created by tomorrow's 1-1 high and today's 1-1 high, charted on tomorrow's bar, etc.
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