By Ron Jaenisch

My friend Professor Alan Andrews is best known for what traders refer to as the Andrews Pitchfork.

It is simply three lines that are parallel, with the outer two lines being equidistant to the Median line in the center. Each of the three lines start at pivot points, as is seen in the above silver chart (chart #1).

Professor Andrews, who taught engineering at the University of Miami, contended that price will make it to the median line 80% of the time. If price does not make it to the Median line, then it will make up for it when it reverses and goes in the opposite direction.

This brings up the question……….Is there a way to predict when price will not make it to the Median Line and quickly go in the opposite direction, to profit from that?

As I think back, there were concepts that he taught in his 60 page manual for the public and many other concepts he taught privately at the kitchen table. A concept that was worth remembering is how to know when prices are likely to make it past the median line and then strongly past the far parallel.

An example is his sliding parallel concept. In some cases, after drawing the pitchfork, price will go outside of the pitchfork. As long as it does not go past the pivot point where the pitchfork was drawn from, a sliding parallel line (SH Line) is drawn from the extreme of that small move.

The NY Harbor heating Oil (chart #2), has two examples. One is upsloping and one is down sloping. Note that in each case price stayed within the SH line on a closing basis for a considerable length of time. In each case the trader had the opportunity to generate handsome profits from the move.

Chart #2 is the same as Chart #3, with a few minor exceptions. The first pitchforks were removed and the next pitchfork in each case was added. This helps the trader to know how far the move might go prior to making a reversal from which the SH line will be drawn. Note that in each case price did not make it to the red Median Line. This is the concept he taught privately.

What this means is, if the trader places a trade near where the point where he thinks he will draw a future SH Line, he can place a stop past the appropriate Median Line…and later past the SH line. Since the markets are fractal in nature, Andrews' concepts are then used on a smaller time frame to determine the most likely point where price will reverse, which would be before the Median Line.

For traders that use hourly charts, an example is Chart #4 and Chart #5, the profits are fast and furious and the risk is manageable. To see the actual real profits chart that was used. See Chart #1. After some thought, these insights will bring the trader to other questions: what patterns occur prior to this type of trade?, what is the target for the trade?, what are the results of computer studies that have been done on this strategy? what markets does it work best in? …..and of course what is the best way to implement this strategy? ………together all good questions for a webinar.

This month new advanced andrewscourse.com course members will see the in depth video that covers the technique and answers many questions.

]]>By Ron Jaenisch

My friend Professor Alan Andrews is best known for what traders refer to as the Andrews Pitchfork.

It is simply three lines that are parallel, with the outer two lines being equidistant to the Median line in the center. Each of the three lines start at pivot points, as is seen in the above silver chart (chart #1).

Professor Andrews, who taught engineering at the University of Miami, contended that price will make it to the median line 80% of the time. If price does not make it to the Median line, then it will make up for it when it reverses and goes in the opposite direction.

This brings up the question……….Is there a way to predict when price will not make it to the Median Line and quickly go in the opposite direction, to profit from that?

As I think back, there were concepts that he taught in his 60 page manual for the public and many other concepts he taught privately at the kitchen table. A concept that was worth remembering is how to know when prices are likely to make it past the median line and then strongly past the far parallel.

An example is his sliding parallel concept. In some cases, after drawing the pitchfork, price will go outside of the pitchfork. As long as it does not go past the pivot point where the pitchfork was drawn from, a sliding parallel line (SH Line) is drawn from the extreme of that small move.

The NY Harbor heating Oil (chart #2), has two examples. One is upsloping and one is down sloping. Note that in each case price stayed within the SH line on a closing basis for a considerable length of time. In each case the trader had the opportunity to generate handsome profits from the move.

Chart #2 is the same as Chart #3, with a few minor exceptions. The first pitchforks were removed and the next pitchfork in each case was added. This helps the trader to know how far the move might go prior to making a reversal from which the SH line will be drawn. Note that in each case price did not make it to the red Median Line. This is the concept he taught privately.

What this means is, if the trader places a trade near where the point where he thinks he will draw a future SH Line, he can place a stop past the appropriate Median Line…and later past the SH line. Since the markets are fractal in nature, Andrews' concepts are then used on a smaller time frame to determine the most likely point where price will reverse, which would be before the Median Line.

For traders that use hourly charts, an example is Chart #4 and Chart #5, the profits are fast and furious and the risk is manageable. To see the actual real profits chart that was used. See Chart #1. After some thought, these insights will bring the trader to other questions: what patterns occur prior to this type of trade?, what is the target for the trade?, what are the results of computer studies that have been done on this strategy? what markets does it work best in? …..and of course what is the best way to implement this strategy? ………together all good questions for a webinar.

This month new advanced andrewscourse.com course members will see the in depth video that covers the technique and answers many questions.

]]>Since then, tests at a world class hospital has shown that the device is very useful for eliminating HCV from the blood. Gilead at the present time has the top product in this field, but the cost of $1,000 a pill is too high for many.

Today there is a world wide alert for Ebola. Since most who contract the disease die, isn't it time to do the humanitarian thing and try out the Aetholon Medical blood cleansing system with these people?

**Disclosure: **The author is long AEMD.

Since then, tests at a world class hospital has shown that the device is very useful for eliminating HCV from the blood. Gilead at the present time has the top product in this field, but the cost of $1,000 a pill is too high for many.

Today there is a world wide alert for Ebola. Since most who contract the disease die, isn't it time to do the humanitarian thing and try out the Aetholon Medical blood cleansing system with these people?

**Disclosure: **The author is long AEMD.

Smaller time frames tell a different story.

**Disclosure: **I am short SPY.

Smaller time frames tell a different story.

**Disclosure: **I am short SPY.

If all works out anyone buying SQQQ today will have long term capital gain a year from today.

**Disclosure: **I am long SQQQ.

If all works out anyone buying SQQQ today will have long term capital gain a year from today.

**Disclosure: **I am long SQQQ.

Using The New Andrews Pitchfork Indicator

By Ron Jaenisch

Alan Andrews is well known for the use of the median parallel lines in trading. These are used by many traders to determine the trend and about how far prices are likely to go. What is now known as the pitchfork, utilizes three pivot points with the general concept that prices are likely to reach the median line. In Figure 1 the pivots are labeled as A B C. The midpoint between B and C is found and a median line is drawn from pivot A. Parallel lines are then drawn, this gives the appearance of a pitchfork.

Roger Babson, at the Gravity Research Foundation meetings, taught Professor Andrews how determine the approximate location of pivots as prices travel in a trend. Babson's technique utilized Newton's third law of motion to make this determination. The specifics concerning the technique are covered in the Ebook "Roger Babson's Action Reaction Techniques" and in a previous article in the archives of the Gravity Research Foundation, by this author.

Professor Alan Andrews was well known for advising his clients through his weekly course letters, which would arrive on Monday morning. In each newsletter there was an orders indicated section which the client was to read verbatim to their broker. The objective was to turn a $5,000 account into over $50,000 in less than a year. Records, which are now part of the 800 page Expanded Andrews Course, show that in the 1960's and early 1970's he was able to accomplish this regularly.

Along with the weekly course newsletter came charts and explanations of various concepts related to trading. Some covered how estimate to how far prices will go in the future. This was using Newton's first law of motion. This concept was very different than the median line concept.

With the median line there are various choices that the user gets to make in terms of which pivots to use to draw the line from. In some cases, when prices go past the MLH a question comes into play as to if a stop needs to be triggered or if drawing an SH (Sliding Parallel) is applied. After prices reach the median line there are other considerations like whether to exit the trade or wait for prices to get to the far parallel. All of this adds to the complexity of trading.

In the writings of Professor Andrews was a concept that has been historically tested and turned into an easy to use indicator. In his honor it is referred to as the new Andrews Pitchfork Indicator. The benefit of this indicator is that it is not optimized and not optimizable. It is well known that optimizing indicators for use with historical data is much like a lumber yard because you can build anything you want with it.

Not optimizing, and a lack of being able to vary the indicator in different situations has its drawbacks. As a result some moves cannot be forecasted.

The new Andrews Pitchfork Indicator has a considerable value when it comes to knowing when to enter a swing point and about what percentage the swing will be and how far the move will go in respect to the most recent median line.

When a pivot is labeled a five, the result is prices go past the green far parallel line.

Figure #2 shows examples of moves that were labeled a five and that prices went beyond the far parallel. Note that the moves were over five percent measuring peak to low.

When the indicator only reaches three, a move of three percent or more is anticipated.

In this case prices either make it past the median line (as seen in Figure #3) of get very close to it before making a swing in the opposite direction. In the original video to this indicator on youtube it showed the days where the value is one or two. These still exist, however they are not being published in the charts any longer. The higher numbers give an average of 13 signals per year which result in swings which are nearly always between three and fourteen percent. The exact formula for determining the New Andrews Pitchfork Indicator has not yet been patented and as a result is not divulged to the public.

The indicator value is available, when the market opens. This is free to the public. It should be noted that this value may change between market open and market close. On the published charts at andrewspitchfork..com the value at the end of the day is posted. If the charts contain the words early or noon they have a last day value that may change when the market closes.

]]>Using The New Andrews Pitchfork Indicator

By Ron Jaenisch

Alan Andrews is well known for the use of the median parallel lines in trading. These are used by many traders to determine the trend and about how far prices are likely to go. What is now known as the pitchfork, utilizes three pivot points with the general concept that prices are likely to reach the median line. In Figure 1 the pivots are labeled as A B C. The midpoint between B and C is found and a median line is drawn from pivot A. Parallel lines are then drawn, this gives the appearance of a pitchfork.

Roger Babson, at the Gravity Research Foundation meetings, taught Professor Andrews how determine the approximate location of pivots as prices travel in a trend. Babson's technique utilized Newton's third law of motion to make this determination. The specifics concerning the technique are covered in the Ebook "Roger Babson's Action Reaction Techniques" and in a previous article in the archives of the Gravity Research Foundation, by this author.

Professor Alan Andrews was well known for advising his clients through his weekly course letters, which would arrive on Monday morning. In each newsletter there was an orders indicated section which the client was to read verbatim to their broker. The objective was to turn a $5,000 account into over $50,000 in less than a year. Records, which are now part of the 800 page Expanded Andrews Course, show that in the 1960's and early 1970's he was able to accomplish this regularly.

Along with the weekly course newsletter came charts and explanations of various concepts related to trading. Some covered how estimate to how far prices will go in the future. This was using Newton's first law of motion. This concept was very different than the median line concept.

With the median line there are various choices that the user gets to make in terms of which pivots to use to draw the line from. In some cases, when prices go past the MLH a question comes into play as to if a stop needs to be triggered or if drawing an SH (Sliding Parallel) is applied. After prices reach the median line there are other considerations like whether to exit the trade or wait for prices to get to the far parallel. All of this adds to the complexity of trading.

In the writings of Professor Andrews was a concept that has been historically tested and turned into an easy to use indicator. In his honor it is referred to as the new Andrews Pitchfork Indicator. The benefit of this indicator is that it is not optimized and not optimizable. It is well known that optimizing indicators for use with historical data is much like a lumber yard because you can build anything you want with it.

Not optimizing, and a lack of being able to vary the indicator in different situations has its drawbacks. As a result some moves cannot be forecasted.

The new Andrews Pitchfork Indicator has a considerable value when it comes to knowing when to enter a swing point and about what percentage the swing will be and how far the move will go in respect to the most recent median line.

When a pivot is labeled a five, the result is prices go past the green far parallel line.

Figure #2 shows examples of moves that were labeled a five and that prices went beyond the far parallel. Note that the moves were over five percent measuring peak to low.

When the indicator only reaches three, a move of three percent or more is anticipated.

In this case prices either make it past the median line (as seen in Figure #3) of get very close to it before making a swing in the opposite direction. In the original video to this indicator on youtube it showed the days where the value is one or two. These still exist, however they are not being published in the charts any longer. The higher numbers give an average of 13 signals per year which result in swings which are nearly always between three and fourteen percent. The exact formula for determining the New Andrews Pitchfork Indicator has not yet been patented and as a result is not divulged to the public.

The indicator value is available, when the market opens. This is free to the public. It should be noted that this value may change between market open and market close. On the published charts at andrewspitchfork..com the value at the end of the day is posted. If the charts contain the words early or noon they have a last day value that may change when the market closes.

]]>For several weeks the indicator has been live and the results have been awesome. Now the next step..........what about Intraday Trading? The answer is .......so far it looks very very promising when used in conjunction with a trend line. But best of all there is now a power move (subset) version of the new Andrews Pitchfork indicator.

Time will tell

**Disclosure: **I am long TVIX.

For several weeks the indicator has been live and the results have been awesome. Now the next step..........what about Intraday Trading? The answer is .......so far it looks very very promising when used in conjunction with a trend line. But best of all there is now a power move (subset) version of the new Andrews Pitchfork indicator.

Time will tell

**Disclosure: **I am long TVIX.