New edge proposed: larry_williams_80_percent_rule — E8 Intelligence Research
Year: 2026
Type: preprint
Abstract: { "name": "larry_williams_80_percent_rule", "source": "Larry Williams - 'Long-Term Secrets to Short-Term Trading'", "type": "filter_flag", "rule": "For any given bar, if the close is in the top 20% of the bar's range (for longs) or bottom 20% (for shorts) and the bar's range is larger than the prior bar's range, then only allow entries in that direction if the bar also closes above (or below) the previous bar's close.", "pseudocode": "range = high - low\nclose_position = (close - low) / range\nif close_position >= 0.8 and range > prev_range and close > prev_close:\n long_filter = True\nif close_position <= 0.2 and range > prev_range and close < prev_close:\n short_filter = True", "why_it_works": "Measures internal momentum and conviction within the bar, filtering out weak closes that lack directional follow-through, reducing false entries during indecision." } Author: Andrew Stewart Caldin, Independent Researcher, UK. Part of the E8 Intelligence Research series. Platform: e8intelligence.com
Author: Caldin, Andrew Stewart
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W7203859129
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