So the charting capabilities out there are very limited. This is mostly due to the fact that this market is much more emotional and fundementally driven. But when I started trading west coast products I made a concious decision that I would try to blend in some new school with the old school. Since I am so mathmatically and technically driven it was only natural for me to come up with a way to not only chart west coast products in a form that I am use to and prefer. But to also develop a way for determine if it is overbought or oversold. So the first thing I had to do was collect the data, which I have done for LA CARBOB (gasoline). The first thing I wanted to see was a candle stick chart for flat price (see below):
Although the majority of trading on the west coast is done by way of EFP...there is some trading that happens on a fixed price basis. But on this same note...because the market is almost all traded in EFP's I wanted a chart that would allow me to determine if the diffs were overbought or oversold and below is what I came up with:
So far the model that I fit to the data seems to work well. I still have plenty of work to do...but I just thought I would share what I have been working on.
Although the majority of trading on the west coast is done by way of EFP...there is some trading that happens on a fixed price basis. But on this same note...because the market is almost all traded in EFP's I wanted a chart that would allow me to determine if the diffs were overbought or oversold and below is what I came up with:
So far the model that I fit to the data seems to work well. I still have plenty of work to do...but I just thought I would share what I have been working on.


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