[dpaterso]

Hey Boca,

You ALSO have everything 1000% correct!!!

You are quite right i.e. MOST of the Volatility System's 'instructions' detail the method of calculating the TR and the ATR and YES most packages have it 'built in' (although I have learned to NOT trust what the broker gives me i.e. I now ALWAYS do a few manual calculations to ENSURE that the ATR I'm being given is correct)!!! So yes: to answer your question the ARC REALLY is just the ATR x the constant (whatever you choose to use).

Also: YES you are not using stops with this system and THAT is why I keep 'banging on' about the fact that this system (I think) is NOT for the 'feinthearted' or 'undercapitalized' of us i.e. the SAR moves AWAY from the price based on volatility and there is always the chance that the price could keep moving against you BUT IN SMALL INCREMENTS i.e. not enough to signal a stop and reverse and if this happens who knows where the bottom is??? I have NO DOUBT that with enough capital and patience this IS probably the 'top' system in the book BUT we all have to build our accounts up to a point where it is SAFE to use it I think. And with NONE of his systems does it help to add stops 'to the mix' i.e. you will almost always get stopped out for no good reason. I think the only system that uses a 'physical stop' is the TBP System. ALL the others are based on a stop and reverse for a 'stop' (the SI System does mention the fact that your initial stop is the last HSP or LSP BUT if you look closely THESE stops are usually so far away from the price that they're 'outta sight' AND the Trailing Index SAR WILL ALWAYS get 'hit' first anyway and, this is of course, a stop and reverse signal anyway).