Market Logic2026-01-26

Protocol: MIDAS (The General)

Moving averages are dumb. MIDAS is smart. Why we never disobey the Pink and Green Generals.
Protocol: MIDAS (The General)

Standard moving averages (like the 50 SMA) are lazy. They treat price on low volume the same as price on high volume. They treat a lunch-hour drift the same as an earnings shock.

In the VolMike system, we report to a higher authority: MIDAS (The General).

MIDAS isn't a line on a chart; it is the Breakeven Point of the biggest money on the board. It tells you exactly where the "Smart Money" will fight to defend their position or flee if they are wrong.

🎖️

THE GENERALS

The Ultimate Authority.
1. MIDAS Bear (Pink Dashed Line):

Anchored to the absolute high of the session. This represents the average entry of every short seller. As long as price is below this line, the Bears are in command.


2. MIDAS Bull (Green Dashed Line):

Anchored to the absolute low. This represents the average entry of every buyer. As long as price is above this line, the Bulls are safe.

The Hamburger Trap 🍔

The most dangerous place to trade is between the two Generals.

If price is stuck between the MIDAS Bear (Pink) and MIDAS Bull (Green), you are in the "Hamburger Trap." The Bears are pushing down, the Bulls are pushing up, and you are the meat getting grilled in the middle.

The Rule: We do not deploy heavy capital inside the Hamburger. We wait for one General to surrender.

MIDAS Dictates Entry 1

The MIDAS lines are the primary filter for our Entry 1 signal.

You might see a Standard Rook (TD Break), but if it happens on the wrong side of the General, it is suspect.

  • The Bullish Order: We look for Heaven (☁️) (TD Break) only after price has cleared the MIDAS Bull. If you buy calls below the MIDAS Bear, you are fighting the General.
  • The Bearish Order: We look for Drizzle (🌧️) (TD Break) only after price has lost the MIDAS Bear.

In the code, MIDAS is the first check. The arrow (🎯) only prints if the General allows it.

  • Target (🎯): The system sees a structural break (Rook) AND the atmospheric condition (Cloud/Drizzle) agrees with the General.

The 10-Second Decision Test

Before you take any trade, find the Generals:

  1. Locate the Lines:
    • Pink Dashed: The Bear General.
    • Green Dashed: The Bull General.
  2. Where is Mike?
    • Between them?STOP. You are in the Hamburger Trap.
    • Above Pink? → The Bear General has fallen. Longs are cleared.
    • Below Green? → The Bull General has fallen. Shorts are cleared.
  3. Is there Volume?
    • Trading against a General (e.g., Calls below Pink) is only permitted if you have massive Horse volume to blow through the wall. Otherwise, expect a rejection.

Based on MIDAS concepts by Paul Levine and VolMike implementation.