{"id":8326,"date":"2025-04-10T13:00:21","date_gmt":"2025-04-10T17:00:21","guid":{"rendered":"https:\/\/www.qatsystems.com\/analytics\/?p=8326"},"modified":"2025-04-12T14:44:19","modified_gmt":"2025-04-12T18:44:19","slug":"study-1-vs-study-2","status":"publish","type":"post","link":"https:\/\/www.qatsystems.com\/analytics\/2025\/04\/10\/study-1-vs-study-2\/","title":{"rendered":"Study 1 vs. Study 2"},"content":{"rendered":"\n

What this comparison may bring about in your mind is which is more important, the Entry or the Exit.  The reason this is a valid question is because we are using the exact same prices and entering in opposite directions when there is a divergence in the signals. <\/p>\n\n\n\n

The ML1 and MS1 are designed to determine intra-day direction these are the IDMM Levels (Intra-Day Momentum Method Levels).<\/p>\n\n\n\n

The ‘Trend’ column or ‘DDI – Daily Directional Indicator’ attempts to determine the most recent short-term trend.<\/p>\n\n\n\n

This is the most basic example of the research. The ML1 and MS1 levels are show in their respective columns. The Daily Directional Indicator is show in the ‘Trend’ column. <\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Study 1: In the above example, all three ETFs would assume a Long position at the ML1 level.<\/p>\n\n\n\n

Study 2: In the above example, the SPY and DIA would take a Short position at the ML1 level. The QQQ would assume a Long position at ML1.<\/p>\n\n\n\n

Study 1<\/h2>\n\n\n\n

In the first study (Chapter 14), I use the IDMM Levels, ML1\/MS1 as entry.  The entry is in the direction of the Level.  Only one position is assumed each day.  Therefore, the first level reached is always taken in this study. <\/p>\n\n\n\n

ML1 = Long Position<\/p>\n\n\n\n

MS1 = Short Position<\/p>\n\n\n\n

Exit = Close of the day.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Data for the study:<\/p>\n\n\n\n

https:\/\/qatsystems.com\/bookdata\/Study-IDMM.php<\/a><\/p>\n\n\n\n

Study 2<\/h2>\n\n\n\n

In the second study (Chapter 15), I use the exact same levels (ML1\/MS1) but assume a trade in the direction of the Short-Term Trade as indicated by the \u2018Trend\u2019 column.  No matter which level is reached, the Direction of the trade is determined by the short-term trend indicator.<\/p>\n\n\n\n

If Trend = Long<\/p>\n\n\n\n

               ML1 = Long Position<\/p>\n\n\n\n

               MS1 = Long Position<\/p>\n\n\n\n

If Trend = Short<\/p>\n\n\n\n

               ML1 = Short Position<\/p>\n\n\n\n

               MS1 = Short Position<\/p>\n\n\n\n

Exit = Close of the day.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Data for the study:<\/p>\n\n\n\n

https:\/\/qatsystems.com\/bookdata\/Study-DDI.php<\/a><\/p>\n\n\n\n

As you can see, the 2nd Study had a lower success rate, but a better W\/L Ratio. It also had a better total points gained. <\/p>\n","protected":false},"excerpt":{"rendered":"

What this comparison may bring about in your mind is which is more important, the Entry or the Exit.  The reason this is a valid question is because we are using the…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[],"class_list":["post-8326","post","type-post","status-publish","format-standard","hentry","category-qat-analytics"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/posts\/8326","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/comments?post=8326"}],"version-history":[{"count":4,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/posts\/8326\/revisions"}],"predecessor-version":[{"id":8340,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/posts\/8326\/revisions\/8340"}],"wp:attachment":[{"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/media?parent=8326"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/categories?post=8326"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.qatsystems.com\/analytics\/wp-json\/wp\/v2\/tags?post=8326"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}