UP | HOME

Heuristics

heuristic noun

hyʊˈrɪstɪk

Measurable

The basic statistics (form means to variances) could describe observed outcomes of evens precisely and help to objectively compare two (or more) events in a row.

Any kind of so called statistical inference is just abstract bullshit and modern alchemy.

Volume

The number of trades per unit of time is the most obvious heuristic.

Eagerness (pressure)

The buying or selling pressure is willingness of buying above or selling below the market. This indirectly measures the current sentiment and dominant emotion (greed, fear or FOMO).

Momentum

An absolute difference between two consecutive time intervals with respect to certain measured quantity (or a metric). It can be volume (in trades or an asset units), price movement (in bps), etc.

Patterns

Recurrent patterns emerge from “chaos” or “random noise” as consequences of other people’s emotional actions.

These distinct patterns on a chart have its own names and associated folklore, or a common knowledge.

Maximum Damage

Since the crypto markets are unregulated and being easily manipulated (in favor of marker makers), the price usually goes in the direction of maximum damage to retail (and maximum profits of exchanges).

Look no further than BitFinex or FTX. Binance also stop-hunts and liquidates degens.

2/3 retrace

A sudden breakout falls back about 2/3

Author: <schiptsov@gmail.com>

Email: lngnmn2@yahoo.com

Created: 2023-08-08 Tue 18:41

Emacs 29.1.50 (Org mode 9.7-pre)