MODEL ADOPTION #2014: REJECT — TG AUTO: New edge proposed: ratchet_effect_momentum_continuation — E8 Intelligence Research
Year: 2026
Type: preprint
Abstract: DECISION: REJECT ELEMENT: Nothing survives as-is. The compression filter (prior bar range < 0.5*ATR(14)) is incompatible with E8 sacred geometry timing, which already gates entries at specific rhythm nodes. Adding a 20-bar breakout on top creates a double-lag effect: E8 timing fires first, then this rule waits for a breakout that may never align with the next E8 node, causing missed entries or forced entries outside the geometry window. The "ratchet" idea is sound but the implementation is timeframe-blind — on 15s–7m, 20-bar lookback is either too short (noise) or too long (stale levels) depending on the pair's volatility regime. EXPECTED IMPACT: If forced, win-rate might rise +3–5% but total R/month would drop 40–60% due to signal starvation. The engine's edge is frequency × small positive expectancy; this rule kills frequency without adding enough per-trade quality to compensate. The +2R to +3R delta Merlin projected is a single-window artifact, not a durable edge. RISK: In r 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: W7212185330
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