AUG 1997 STOCKS & COMMODITIES Magazine

Article Archive For AUG1997

The Head-and-Shoulders Formation by Thomas Bulkowski

ARTICLE SYNOPSIS ...The Head-and-Shoulders Formation by Thomas Bulkowski I was doing research in the public library when a staffer asked me if I could help an elderly lady find a chart of TWA [TWA]. The investment materials are sparse at the library and the periodicals that were available didn't have what she needed. The library does have an Internet connection, how-ever, so we went surfing looking for a Web page to chart the stock. Within minutes, we had printed out what she was looking for. Before the ink was dry, she asked me if I knew anything about charts. I told her I did, a little, at which she pointed ...

AUTHOR: Thomas BulkowskiDATE: AUG1997

The Systematic Trader: Richard Saidenberg by Thom Hartle

ARTICLE SYNOPSIS ...The Systematic Trader - Richard Saidenberg How many times have you heard that developing your own rules and following them is the way to trade? By now, probably plenty. It's not just idle speculation, either; Richard Saidenberg, a Commodities Trading Advisor and independent futures trader, discovered that the steps to successful trading were based on developing a systematic approach to trading. STOCKS & COMMODITIES Editor Thom Hartle interviewed Saidenberg via phone on May 20, 1997, and talked to him about system design, the pitfalls to avoid while developing a system as well as other topics....

AUTHOR: Thom HartleDATE: AUG1997SUBJECT: Interview

The TD Range Expansion Index (TD REI): by Thomas DeMark

ARTICLE SYNOPSIS ...The TD Range Expansion Index (TD REI) by Thomas DeMark Here, the author of The New Science of Technical Analysis and the brand-new New Market Timing Techniques explains how to use the TD REI and the TD Price Oscillator Qualifier. Throughout my 26-year career in the investment business, I have studied and tested many widely followed market timing oscilla-tors. Overall, I have questioned their construction, ambiguous in-terpretation and discretionary application. Consequently, I have developed my own series of indicators, and to simplify their application, I have assigned to them an objectiv...

AUTHOR: Thomas DeMarkDATE: AUG1997SUBJECT: New Techniques

The Turbo A/D, NH Market System by Dennis Meyers, Ph.D.

ARTICLE SYNOPSIS ...The Turbo A/D, NH, NL Market System This Contributing Editor has looked into using the internal market statistics to generate stock market trading signals. Here, he upgrades one of his previously published market timing systems and discusses optimization strategies. In the January 1997 STOCKS & COMMODITIES, I presented a stock market timing system that uses the daily advancing-declining issues, the Dow Jones Industrial Average (DJIA) and the daily new highs and new lows on the New York Stock Exchange (NYSE) as its bases for generating signals. That model developed a relative strength indicat...

AUTHOR: Dennis Meyers, Ph.D.DATE: AUG1997SUBJECT: System Design

Traders' Tips

ARTICLE SYNOPSIS ...TRADESTATION The June 1997 issue of STOCKS & COMMODITIES discussed a tried-and-true technique known as TRIX in the article "Playing TRIX: The triple exponential smoothing oscillator." The TRIX indicator and system code below for TradeStation includes alerts and signals based on both the crossing of the zero line and the crossing of the linear regression average. The inputs, aside from the basic parameter adjustments, will also allow you to specify whether you want to generate alerts and signals on the crossing of the zero line, the linear regression average or both. ...continuded METASTOCK ...

AUTHOR: Technical Analysis, Inc.DATE: AUG1997

Trading the Wheat/Corn Spread by Scott W. Barrie

ARTICLE SYNOPSIS ...Trading The Wheat/Corn Spread: by Scott W. Barrie Here's a seasonally and statistically based intermarket spread trade. Within a short time, every futures trader learns strategies that go beyond the simple long or short position. In riding the learning curve, the novice trader will, sooner or later, add spread trading to his or her arsenal of strategies. Here's how one particular strategy works, as well as a his-torical review of it. But first, here are some basic definitions. A spread is simply the price relationship between two or more futures contracts. Futures traders use three basic sp...

AUTHOR: Scott W. BarrieDATE: AUG1997SUBJECT: Trading Techniques

Using Statistics with Trading Systems J.Katz, Ph.D.

ARTICLE SYNOPSIS ...Using Statistics With Trading Systems: by Jeffrey Owen Katz, Ph.D., and Donna L. McCormick In part 1, Katz and McCormick looked at the underpinnings of how statistics can help the trader determine the feasibility of a system. This month, in part 2, they explain the steps necessary to evaluate trading system behavior with the use of statistics. Last month, I laid the groundwork for how statistics can help the trader determine whether the per-formance of a system is due to chance, or if the trading model is valid. I explained how to use samples to make inferences about the populations from whi...

AUTHOR: Technical Analysis, Inc.DATE: AUG1997SUBJECT: Trading Techniques

V15:8: Letters to S&C

ARTICLE SYNOPSIS ...PATTERN RECOGNITION Editor, I have read some of the articles by Thomas Bulkowski, particularly, "On rising wedges" and "Ascending and descending triangles." I found them very interesting and accurate. I'd like to see more of his articles in the future. HOMER TSAI, via E-mail MLM INDEX As a subscriber, I am very appreciative of the surprising continual improvement in the quality of your magazine. The articles seem to be increasingly accessible and more pointedly relevant -- in other words, the articles are easier to read and understand, and their information and ideas are more readily us...

AUTHOR: Technical Analysis, Inc.DATE: AUG1997