MIDAS Technical Analysis: A VWAP Approach to Trading and Investing in Today's Markets

Summary

• The main pretension of the MIDAS approach is that it is an independent all-encompassing system of market forecasting. However, due to the end of a trend not always presaging the start of another (a key assumption in Paul Levine's philosophy), its biggest weakness has always been the inability of MIDAS curves to forecast support and resistance in sideways markets. Here the MDC can replace a standard MIDAS S/R curve to create a new and effective means of identifying subsequent areas of support and resistance in congested markets.
• The MIDAS system's lesser derivative problem is that it cannot forecast rising market tops in uptrends and declining market bottoms in downtrends. The MDC eliminates these problems insofar as the upper curve in ...