ARTICLE SYNOPSIS ...Beta-Adjusting Trailing Stops by Thomas Bulkowski Have you ever wondered how to improve the performance of your favorite indicator or trading system? By using your indicator to signal a buy and a beta-adjusted trailing stop to get you out, you could improve your investing results. If you're like many traders new to technical analysis, you spend scores of hours adjusting parameters on indicators trying to improve your trading system's performance. You may have tried to combine several indicators to help gauge buy and sell decisions. You may have tried to add your own special twist to popular...
BY: Thomas BulkowskiSUBJECT: Money Management
ARTICLE SYNOPSIS ...Developing Systems With a Rule-Based Approach by Jeffrey Owen Katz This month, Katz discusses a trading system he developed using a rule-based approach. Previously, I explored the development of simple rule-based trading systems. Specifically, I looked at a rule-based system that revolved around a theory, the thrust-retracement hypothesis, about how the market functions. This time, I'll also explore rule-based trading systems, but rather than constructing a set of rules to reflect a hypothesis of market behavior, I will engage in "data mining" -- that is, empirically determining tradable rul...
BY: Jeffrey Owen Katz, Ph.D.SUBJECT: Real World
ARTICLE SYNOPSIS ...Interview: Mark Douglas And The Disciplined Trader by Thom Hartle The best teacher is experience, and from his experiences as a trader and a broker, Mark Douglas, consultant with his own firm, Trading Behavior Dynamics, and author of The Disciplined Trader: Developing Winning Attitudes, has experienced the gamut of trading emotions. From observing his and other people's emotional states, Douglas has developed strategies to help traders do what most professionals will tell you is the hardest part of trading - using your head. Stocks & Commodities Editor Thom Hartle spoke with Douglas via telep...
BY: Thom HartleSUBJECT: Interview
ARTICLE SYNOPSIS ...Straddles, Strangles And Spreads by Richard M. Koff Here's a primer for the new trader who wants to move beyond simple buy-and-hold strategies. Options provide such a bewildering variety of risky and complicated investment choices that most small investors avoid them. You can trade options on stocks, commodities and several indices, such as the Standard & Poor's 500 or the Standard & Poor's 100. Index options, in particular, offer several important advantages. Unlike commodity options, you never have to worry about accepting delivery of the underlying commodity or even closing out a positio...
BY: Richard M. KoffSUBJECT: Options
ARTICLE SYNOPSIS ...Traders' Tips Code for the ADRrs-NH-NL system as described by Dennis Meyers in "A daily A-D new high-new low market system," as well as the indicators that plot the ADRrs, Nhstrand NL Nlstr lines, are provided for TradeStation, WaveWi$e, TechniFilter Plus and SMARTrader....
BY: Technical Analysis, Inc.
ARTICLE SYNOPSIS ...A Daily A-D New High-New Low Market System by Dennis Meyers Here's a new system using daily statistics to issue buy and sell signals for the stock market. In the February 1996 STOCKS & COMMODITIES, I presented a stock market timing system called the ADL-NH-NL system, which uses as its base for generating signals the weekly advancing-declining issues (ADL) and the weekly new highs (NH) and new lows (NL) on the New York Stock Exchange (NYSE). I rigorously investigated this set of market indicators because of the anecdotal discussion that has abounded concerning the use of these market statist...
BY: Dennis Meyers, Ph.D.SUBJECT: System Design
ARTICLE SYNOPSIS ...Letters To S&C Several readers wrote to S&C in response to Dennis Meyers's article, "The siren call of optimized trading systems," in the October 1996 STOCKS & COMMODITIES, and Meyers himself wrote a lengthy respose to the various questions....
BY: Technical Analysis, Inc.