Originally posted by Michael Hodges.
Why the Time Series Indicator Sucks
At first I found this indicator hard to read and giving off vague signals. After a bit of research I determined that the settings were off. My charting package had the indicator set to a period of 5 with bars+ of 7. This created a wildly swinging line that the most savants of technical analysts would have a hard time deciphering. After changing my period to 9 bars (I left bars+ at the standard 7) the line was much smoother and much easier to read. Imagine Mr. Magoo without his glasses and then with them, that is how much difference this simple setting made. After that I was surprised at just how many good signals were jumping off the charts at me.
My Last Words on The Time Series Indicator
The Time Series Forecast is a good tool. It has a lot of use for binary options traders providing buy/sell signals as well as indications of market reversals. This tool is going in my toolbox. I will learn more about it and apply it to my trading. Looking at this chart of the EUR/JPY that the TSF has given 9 excellent trend following signals for this trade since the market bottom of August/September 2013. There are at least that many short term bear signals in that time also. When I narrow it down to a 15 day chart of hourly closings the number of excellent signals grows geometrically. The TSF is the best binary options trading tool I have seen.