ARTICLE SYNOPSIS...A simple variation of the moving average by Peter Aan General description: The Moving Average Direction System is trend-following; always in the market. Originator: Peter Aan Advantages: Profits from most significant trends; entry technique eliminates
ARTICLE SYNOPSIS...Channel breakout by Peter Aan Rules and Formulas: Channel systems use the highest and lowest prices in a series. Many possible trading variations can be employed and the one I tested involves finding the highest high and lowest low for the most recent n
ARTICLE SYNOPSIS...Delayed Channel Breakout System by Peter Aan Originator: Unknown; this is a variation of the simple channel breakout method. Rules and formula: The simple channel breakout is a tried-and-true trading system that has been used for years. The delayed cha
ARTICLE SYNOPSIS...Key reversal days by Peter Aan Note the differences in this bearish pattern, however. Pattern A requires only a lower close than the previous day and does not require that the previous day's low be penetrated. Pattern B does require such a penetration,
ARTICLE SYNOPSIS...Parabolic stop/reversal by Peter Aan There are two primary variables for the system: the acceleration factor (AF) increment and the maximum acceleration value. In a long trade, for instance, the daily computation involves subtracting the current reversa
ARTICLE SYNOPSIS...Relative Strength Index by Peter Aan Rules and Formulas: The formula for computing the Relative Strength Index (RSI) is well-known and computerized by dozens of commercial software packages. Briefly, to compute a 14-day RSI, you must first collect 14 d
ARTICLE SYNOPSIS...Simple moving average crossover by Peter Aan Editor's note:In this issue, Peter Aan reports on the first of his tests of different trading systems. He begins with probably the most widely known trading system. General Description: Trend following, alw
ARTICLE SYNOPSIS...Volatility system by Peter Aan Rules: The volatility system uses a close-only reversing stop that is activated only on the close and trails behind the most favorable close attained in the trade. Volatility determines how closely the stop will trail the
ARTICLE SYNOPSIS...Weekly high/low moving average by Peter Aan Most moving averages of price are based on the closing price (see ""Simple moving average crossover,"" Stocks & Commodities, June 1989), but the weekly variation computes moving averages of the weekly highs an