ARTICLE SYNOPSIS...A New Advance-Decline Line by Daniel E. Downing Here's a trading tool that uses a unique version of the daily advance-decline line of the New York Stock Exchange (NYSE). This version helps in our short- and long-term trading of index options and stock i
ARTICLE SYNOPSIS...A New Slant On Head And Shoulders by Charles E. Miller Here's a detrending technique that will help you visualize slanted head and shoulder top patterns more clearly. When the good old reliable head and shoulders (H&S) pattern emerges simultaneously in
ARTICLE SYNOPSIS...A Regression-Based Oscillator by Patrick E. Lafferty Editor's note: Mr. Lafferty originally submitted this article as an entry to the June Traders' Challenge contest. We decided to run it as a separate article because the idea that Mr. Lafferty presente
ARTICLE SYNOPSIS...A new indicator for the S&P stock index futures by Daniel E. Downing Little is new in the field of technical analysis. Even with a staff of seven analysts, my firm can take credit for developing only three entirely new technical tools for the markets. W
ARTICLE SYNOPSIS...Advance-Decline Line Basics by Daniel E. Downing It never hurts to refresh your memory on the basics. Here's a primer on following the advance-decline line for the stock market. A stock investor who has just begun to analyze the stock market using tech
ARTICLE SYNOPSIS...E Trade gapped down in mid-April but filled that gap with a high-volume advance. The stock's downtrend over the last few months is reversing.
ARTICLE SYNOPSIS...Are There Persistent Cycles? by E. Michael Poulos Most technical indicators use a fixed lookback length based on the idea that cycles are present in the price data. Should the same fixed lookback length be used for all markets? Are there persistent cycl
ARTICLE SYNOPSIS...Black-Scholes vs. Cox-Ross-Rubinstein By John W. Labuszewski and John E. Nyhoff Professors Fischer Black and Myron Scholes of the University of Chicago introduced, in 1973, what was to become the most commonly cited option pricing model. This was a fort
ARTICLE SYNOPSIS...Stocks & Commodities V. 24:11 (36-44): Building Automatic Trendlines by Giorgos E. Siligardos, Ph.D. Here's a simple mechanical method for automatic trendline construction using monoparametric trendlines. Despite the continuing evolution in technical a
ARTICLE SYNOPSIS...Commitments of Traders as a sentiment indicator By Stephen E. Briese In the past, conventional market sentiment indicators have been criticized for deficiencies such as the delay involved in reading market letters, weighing their content, estimating the
ARTICLE SYNOPSIS...Debit or Credit? by Giorgos E. Siligardos That is the question. If you are confused about which vertical spread to use, find out here. Are vertical credit spreads better than their counterpart debit spreads? In this article I will discuss their main a
ARTICLE SYNOPSIS...Fine-tuning the demand index by Thomas E. Aspray The Demand Index, which utilizes price and volume, calculates the buying pressure and selling pressure exerted on prices. These can be used to create an oscillator to identify accumulation or distribution
ARTICLE SYNOPSIS...Futures According To Trend Tendency by E. Michael Poulos Not all markets have the same tendency to trend. E. Michael Poulos uses his February 1991 STOCK & COMMODITIES article, ""Of trends and random walks,"" on the random walk index, which separates tre
ARTICLE SYNOPSIS...Handling Market Reactions by JOHN E. ROSENSTOCK All markets exhibiting prolonged price trends invariably have reactions against the trend. These reactions can be of short or long duration and can retrace small or large portions of the preceding swing. T
ARTICLE SYNOPSIS...How Smooth Is Your Data Smoother? Traders use moving averages to remove random fluctuations from price data. Some moving averages work better than others. Take a look. In 1995, I wrote an article for STOCKS & COMMODITIES presenting some of the properties
ARTICLE SYNOPSIS...Integrated Systems Approach To Technical Commodity Analysis by JOHN E. ROSENSTOCK when I first became interested in commodity markets, it was my great fortune to read the works of and speak with several of the most lucid teachers of market science and s
ARTICLE SYNOPSIS...Intraday trading techniques by John W. Labuszewski and John E. Nyhoff Many analysts find that the charting techniques that they rely on for inter-day trading are somewhat less useful on an intraday basis. As a result, these analysts often rely on other
ARTICLE SYNOPSIS...Market Forecasting Model: ARIMA by Albert E. Parish Jr., Ph.D. Numerous statistical and time series techniques have been adapted for use in modeling futures prices series by using the microcomputer. One such model is the AutoRegressive Integrated Moving
ARTICLE SYNOPSIS...Market Prediction Through Fractal Geometry by Victor E. Krynicki, Ph.D. Few have heard of fractal geometry and fewer still know how to use it. But it is a powerful tool with which to analyze nonlinear systems and is the main alternative for analyzing sy
ARTICLE SYNOPSIS...Median Line Market Analysis by Thomas E. French The Median Line (ML) method of market analysis was first developed by Professor Alan Hall Andrews, a Massachusetts Institute of Technology (MIT) engineering graduate. The Median Line technique of geometric
ARTICLE SYNOPSIS...Nonlinearity, Chaos Theory and the DJIA by Victor E. Krynicki, Ph.D. Here's a fresh look on using nonlinear systems and chaos theory to understand the markets. Concepts deriving from nonlinear systems and chaos theory have begun to be applied to unders
ARTICLE SYNOPSIS...Of Trends And Random Walks by E. Michael Poulos M y distrust of the current crop of technical indicators that use fixed-length lookback intervals, with no attempt to use a price-time model, motivated me to do some research into the subject. For example,
ARTICLE SYNOPSIS...On-Balance Volume And The Dow Jones Utility Index by Daniel E. Downing Between Thursday, October 19, 1990, and Monday, October 22, 1990, the Dow Jones Industrial Average (DJIA) gained more than 127 points. More important than the points gained in the DJ
ARTICLE SYNOPSIS...Payoff index by Thomas E. Aspray In my market analysis, I find the action of the open interest can be very important. Granted in the financial futures it occasionally gives misleading signals, but these are the exception rather than the rule. I use two
ARTICLE SYNOPSIS...Price Changes During Non-Trading Hours by George R. Arrington and Howard E. Arrington One frustrating aspect of trading commodities is the price changes that occur during non-trading hours. It is difficult enough to make a profit when markets are open a
ARTICLE SYNOPSIS...Pseudo Securities For Technical Analysts As you develop your analytical skills, you probably pick a favorite market to study. So depending on the market, you could come to different conclusions about the value of different techniques of analysis. With th
ARTICLE SYNOPSIS...Pseudo Securities For Technical Analysts - Part 2 Last time, we examined the idea of using pseudo securities, based on artificial data with known properties, to map the characteristics of various indicators. We then applied this concept to the time doma
ARTICLE SYNOPSIS...Pseudo Securities For Technical Analysts Part 3 The first two parts of this three-part series examined the theory, generation technique, and time series application of rectilinear pseudo securities. In this, the conclusion, the same theory is applied to
ARTICLE SYNOPSIS...Risk Management by JOHN E. ROSENSTOCK The portfolio approach to commodity trading is a big selling point for commodity funds. (""Portfolio approach"" is diversifying and spreading risk through a completely mechanical trend analysis.) However, history ha
ARTICLE SYNOPSIS...Strength-Rated Candlestick Patterns by Mitch E. Mulhall Perfectly formed candlestick patterns are not common. By ordering the criteria for a candlestick pattern from most important to least important, you can rate pattern strength by the number of crite
ARTICLE SYNOPSIS...Surfing Your Position With Wave Stops by E. Labunsky and T. Hamilton When is a good time and place to exit a position? Whether inspired by Ralph Nelson Elliott's works or by just a casual observation of a price chart, you can't help but notice how pr
ARTICLE SYNOPSIS...Take A Look At The Dow by Daniel E. Downing In the past, one of the first requirements of being a technical analyst was a promise of sorts to ignore the price action of the Dow Jones Industrial Average. A technician had to focus on the action of more br
ARTICLE SYNOPSIS...V. 22:9 (92-95): The Call Me "Mini E" by Afshin Taghechian Well, actually, it's e-mini, and this article has nothing to do with Dr. Evil. You might find it informative anyway, especially if you're looking for a new instrument to trade. Since March 2000
ARTICLE SYNOPSIS...INDICATORS The End Point Moving Average by Patrick E. Lafferty Moving averages have been used for decades to smooth out the noise in the prices of tradables. Here's an entry in the category, one that may provide a more accurate representation of market
ARTICLE SYNOPSIS...The Haurlan index, which was originated by the Trade Levels, Inc., advisory service, has received comparatively little attention unfortunate, as it has proved to be effective in signaling tops and bottoms. By Paul E. Carroll The number of advancing and
ARTICLE SYNOPSIS...Two Filtered Indicators by Daniel E. Downing By filtering two indicators, my firm and I discovered the Friday tick indicator and the last hour/ first hour indicator. These new indicators have shown an interesting relationship to the equity markets over
ARTICLE SYNOPSIS...Using The Tick In A Short-Term Indicator by Daniel E. Downing The tick index, the net difference of the number of stocks last traded on an uptick from those last traded on a downtick, is a well-known indicator, but it's got a problem. The raw number res