Thanks. I will definitely review that. One area that I am looking at now is the 
parameter optimization. I noticed that:

addParam(FAST_ERROR, 0, 20, 1, 0);

has 0 as the last parameter. I understand the significance of the first four 
parameters for a search algorithm. I am not sure what the last parameter, 
value, 
signifies within the optimization algorithm context. What is it, Eugene?

The other area where the problem may lie is in the optimization step. I would 
expect the measurement_noise values to be somewhere between 0 and 1. For 
fast_error it may be 0.01 and for slow_error perhaps ten times that, 0.1. 
However, if the minimum step is 1, then those values can not be found by 
optimization. It would be very interesting to see the graph of slow kalman, 
fast 
kalman and the actual price to make sure that the optimization did not come up 
with some unrealistic parameters.

________________________________
From: Eugene Kononov <[email protected]>
To: JBookTrader <[email protected]>
Sent: Mon, November 29, 2010 6:52:42 PM
Subject: Re: [JBookTrader] Re: Status of Kalman filter?

Ok, here it is attached, the indicator and the strategy. It takes much longer 
to 
optimize (because of those matrix manipulations), so I don't have the complete 
results yet, but it does not look good so far compared with the filters based 
on 
the exponential moving averages. Perhaps I didn't set it up quite right with 
respect to the error matrix. Astor, it's all yours now for review.


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