it looks nice, but I didn't udnerstood a damn thing. can you eleborate on it a bit more? how "trend" line is calculated (is it just average of all prices? but it's percentages?)
Re: trend line, watch this:
https://www.youtube.com/watch?v=LI0QYkv7--4 Given rpietilas current trend line you can calculate the trend price at x where x is the number of days since 2009-01-03.
You can calculate x from a given date, e.g. x from Feb 22 in Python:
>>> from datetime import date
>>> x = (date(2014, 2, 22) - date(2009, 1, 3)).days
>>> x
1876
Using rpietilas formula the trend price P for x = 1876 is
P = 10 ^ (0.003073 * 1876 - 2.909514) = 716.8594
On Bitstamp Feb 22 high H = 619.88. That is H / P = 87.09% of Feb 22 trend price.
What abs. value when L=0,3809 will be crossed?
What is these gray areas?
The absolute value of L = 0.3809 depends on x:
absv(L, x) = L * 10 ^ (0.003073 * x - 2.909514)
E.g. for Feb 22: 0.3809 * 10 ^ (0.003073 * 1876 - 2.909514) = 273.0518
The grey area is between highs and lows on a 3-day chart, the typical price is defined as (H + L + C) / 3. BitcoinWisdom.com 3d chart with "Settings" -> "Lines" yields a similar graph.
For me it's just an opportunity to draw funny graphs in R, don't read too much into it.
