ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (50-52): A Simple Range-Trading System by Xavier Maria Raj Creating a trading system is always a good idea, and keeping it simple is even better. Here's a look at one strategy that could make all the difference. It is always tempting to react to price movements, but doing so to each one may not be a good idea. If you react to each and every price move, your transaction costs could be comparatively more than your profits! To avoid this situation, you could use filters or identify specific patterns and build a trading strategy. With this in mind, I have presented...
BY: Xavier Maria RajSUBJECT: Trading Systems
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (98): At The Close by Jayanthi Gopalakrishnan Continuing from last month's look at crude oil contracts, we did experience some easing in crude oil prices. The 40-day moving average turned down, the upward sloping trendline broke, and up until now, prices have been below the 40-day moving average. But they have yet to reach the levels I mentioned in my column last month. If you look at the chart of crude oil contracts in Figure 1, you see there was a sharp decline in prices followed by a pullback. Will prices move back up to the moving average, or will they contin...
BY: Jayanthi GopalakrishnanSUBJECT: At The Close
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (94): Books For Traders by Technical Analysis, Inc. The Definitive Guide To Point And Figure (515 pages, $90 hardcover, 2005, ISBN 1-897-59763-0) by Jeremy du Plessis, published by Harriman House Publishing. This work seeks to demystify point & figure charts, one of the great secrets of the technical analysis world. After an explanation of the history and development of the technique, from invention to present day, the author explains how to use P&F charts to project targets and calculate risk-reward ratios, and covers many other aspects of point & figure chart...
BY: Technical Analysis, Inc.SUBJECT: Books For Traders
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (36-41): Breadth Of Fresh Air by Gregory L. Morris The significance of the levels of the McClellan summation index can help improve your trading results. I was writing my second book, The Complete Guide To Market Breadth Indicators, when I became aware of some significant facts. Here's one: If you had to I select one market breadth indicator that would tell you when to invest and when to be on the sidelines, which would it be? During my research, I discovered it would be the McClellan summation index. Why, you ask? I'll tell you -- but before I do, here's a quic...
BY: Gregory L. MorrisSUBJECT: Indicators
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (70-71): Charting The Market by David Penn CHANNELLING If one trendline is good, are two trendlines better? That's one way of summing up the attraction many people have with channeling and trend channels. A technician could even see trend channels as the difference between those who prefer to draw their uptrend lines from the lowest low to the highest low and those who prefer their uptrend lines to ride on top, projecting forward from the lowest high. Writing about trend channels, their relationship to trendlines, and how these channels can be profitably traded...
BY: David PennSUBJECT: Charting The Market
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (18-27): Combining A/D Indicators And Volume Patterns by V. Kalitowski and A. von Stuermer Here's a novel approach to market timing that can forecast mid-term runs on the S&P 500. There are certain critical advance and decline levels that serve as excellent high-reward/low-risk entry points to go long the Standard & Poor's 500 for a mid-term run. We have found critical levels associated with two A/D ratios applied to the S&P 500. You can, however, use the indicators to trade any of the S&P 500 constituent stocks. We chose the S&P 500 mainly because many analysts...
BY: V. Kalitowski and A. von StuermerSUBJECT: Charting Techniques
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (42): Explore Your Options by Tom Gentile Got a question about options? Tom Gentile is the chief options strategist at Optionetics (www.optionetics.com), an education and publishing firm dedicated to teaching investors how to minimize their risk while maximizing profits using options. To submit a question, post it to our website at http://Message-Boards.Traders.com. Answers will be posted there, and selected questions will appear in a future issue of S&C. OPTIONS AFTER BANKRUPTCY How does the bankruptcy of a company affect its options contract? Do all the optio...
BY: Tom GentileSUBJECT: Explore Your Options
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (14-17): Forex Focus by John Forman Access to foreign exchange trading has opened up exciting trading options for the retail trader. You can now trade alongside corporations and institutions in a highly liquid market that is global, traded around the clock, and highly leveraged. Before jumping into this market, however, we must understand the factors that affect the forex market. With that in mind, STOCKS & COMMODITIES has introduced Forex Focus to better prepare the retail trader to participate in the currency market. Basic Statistical Analysis: A Tool For All ...
BY: John FormanSUBJECT: Forex Focus
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (72-73): Futures For You by Dan O'Neil INSIDE THE FUTURES WORLD Want to learn how the futures markets really work? Dan O'Neil, a principal at online futures and forex broker XPRESSTRADE (www.xpresstrade.com), responds to your questions about today's futures markets. To submit a question, post your question to our website at http://Message-Boards.Traders.com. Answers will be posted there, and selected questions will appear in a future issue of S&C. YOU'RE ON MARGIN CALL The market's moving in the wrong direction, losses are accumulating, and the value of your a...
BY: Dan O'NeilSUBJECT: Futures For You
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (56-61): Interview: Barbara Rockefeller by Jayanthi Gopalakrishnan Barbara Rockefeller of Rockefeller Treasury Services is an international economist, author, newsletter publisher, and trader specializing in foreign exchange, with more than 20 years of institutional experience. Her "Daily Currency Briefing" newsletter is a synopsis of events and forecasts in spot foreign exchange, published for central banks, fund managers, and multinational corporations, while the "Daily Futures Report" is a technical analysis?based report on currency futures. Prior to starting ...
BY: Jayanthi GopalakrishnanSUBJECT: Interview
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (10-13): Letters To S&C by Technical Analysis, Inc. The editors of S&C invite readers to submit their opinions and information on subjects relating to technical analysis and this magazine. This column is our means of communication with our readers. Is there something you would like to know more (or less) about? Tell us about it. Without a source of new ideas and subjects coming from our readers, this magazine would not exist. TREND-FOLLOWING TECHNIQUES FOR LONG-TERM INVESTING Editor, Most articles I have read in your magazine deal with short-term trading. Do y...
BY: Technical Analysis, Inc.SUBJECT: Letters To S&C
BY: Jayanthi GopalakrishnanSUBJECT: Opening Position
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (62-65): Overhauling Market Breadth by Jacobus R. van den Brink A transformation of the Arms index and its components saves screen space and provides additional insight into market breadth. Most index traders are familiar with the Arms index (TRIN), which measures the average volume per declining issue relative to the average volume per advancing issue, where comparison is made to yesterday's close: TRIN = (DNVOL / DECL) / (UPVOL /ADVN) where: DNVOL = Total volume of declining issues ("down volume") DECL = Total number of declining issues ("decliners") UPVO...
BY: Jacobus R. van den BrinkSUBJECT: Indicators
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (34): Q&A by Don Bright SINCE YOU ASKED Confused about some aspect of trading? Professional trader Don Bright of Bright Trading (www.stocktrading.com), an equity trading corporation, answers a few of your questions. To submit a question, post your question to our website at http://Message-Boards.Traders.com. Answers will be posted there, and selected questions will appear in a future issue of S&C. TAPE READING Q: Here's a scenario for you: ABC stock is presented at 100.00 (56k) X 100.05 (100) All other factors being equal, for the sake of discussion, do you:...
BY: Don BrightSUBJECT: Q&A
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (50-52): Sidebar: RAJ rules with TradeStation by Xavier Maria Raj D1 = Current Day D2 = Next Day H1 = High of Current Day. . ....
BY: Xavier Maria RajSUBJECT: Sidebar
BY: Technical Analysis, Inc.SUBJECT: Traders' Resource
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (78-84): Traders' Tips by Technical Analysis, Inc. Here is this month's selection of Traders' Tips, contributed by various developers of technical analysis software, all to help readers more easily implement some of the strategies presented in this issue. Jacobus van den Brink's article in this issue, "Overhauling Market Breadth," presents a modified version of the Arms index. Code for this system is provided for TradeStation, MetaStock, Wealth-Lab, AmiBroker, eSignal, NeuroShell Trader, NeoTicker, Trading Solutions, AIQ, and Financial Data Calculator....
BY: Technical Analysis, Inc.SUBJECT: Traders' Tips
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (75-77): Websites For Traders: TradingMarkets.com by David Penn TRADINGMARKETS.COM Very early in his book How Markets Really Work, author, trader, and TradingMarkets.com founder Larry Connors pays tribute to the writing of Michael Lewis. Lewis, author of ""Liar's Poker"" and ""Moneyball,"" is famous for having shown how the insiders of the investment banking world of Wall Street plied their trade in the booming 1980s, and how a crafty baseball owner reinvented the way talent was evaluated in Major League Baseball in the late 1990s. What ties the worlds of ""Lia...
BY: David PennSUBJECT: Websites For Traders
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:12 (68-69): Websites For Traders: www.advfn.com by Jayanthi Gopalakrishnan WWW.ADVFN.COM When I brought up the home page of Advanced Financial Network (www.advfn.com), it was evident that several features had been added to it since my last review in June 2003. I'll have to confess that it was very easy to get distracted by the large number of advertisements on the site, but once you get past that, you'll find the site does contain a vast amount of information. The navigation bar along the top of the page is one indication of the various features available. I also ...
BY: Jayanthi GopalakrishnanSUBJECT: Websites For Traders
BY: John DevcicSUBJECT: Working Money
BY: Sharon YamanakaSUBJECT: Working Money