Article Archive For
DEC2007
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Confirming Price Trend by Barbara Star, PhD
ARTICLE SYNOPSIS ...Confirming Price Trend by Barbara Star, PhD
Regression And R-Squared, Together Again
Confirming Price Trend
Here's a technique using linear regression slope and r-squared
to confirm the price trend.
Linear regression is a statistical method some
traders use to filter the static, or "noise," created
by day-to-day or bar-to-bar price movements.
Using the least-squares method, it minimizes
the amount of deviation among price values to determine a best-fit line. In an earlier STOCKS & COMMODITIES
article, I showed that applying a linear regression indicator
to price creates less lag and more tr...
AUTHOR: Barbara Star, Ph.D.DATE: DEC2007SUBJECT: Trading Systems
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Explore Your Options by Tom Gentile
ARTICLE SYNOPSIS ...Explore Your Options by Tom Gentile
CALENDAR SPREAD QUESTIONS
I have developed some indicators that
give a fairly accurate picture of when
a trend is over. In other words, when
signal comes, I'm about 70% sure that
the trend will either reverse or go flat.
A calendar spread seems like a good
tool for trading this kind of opportunity.
I know what to do if the market goes
against me and the trend resumes and
know what to do if the market goes more
or less flat. My question is about what to
do if the market reverses enthusiastically
and overruns the spread.
Let's say stock QRS has been declin...
AUTHOR: Tom GentileDATE: DEC2007SUBJECT: Explore Your Options
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Forecasting Futures Movement by In Gyu Koh and Sung Soon Lee
ARTICLE SYNOPSIS ...Forecasting Futures Movement by In Gyu Koh and Sung Soon Lee
A Daytrading Method Second To None
Forecasting Futures Movement
Is it possible to chase two rabbits at once? This intraday
technique combines direction of price movement and timing
of your entries and exits.
IN trading, two variables to consider are direction of price
movement and the timing of your entries and exits.
Most of the time you can't catch them both at the same
time -- it's usually one or the other. In this article we show you how you can. We will discuss when and in which
direction futures prices will move during an int...
AUTHOR: In Gyu Koh and Sung Soon LeeDATE: DEC2007SUBJECT: Daytrading
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Forex Focus: Let The Technicals Do The Talking by Jared Martinez
ARTICLE SYNOPSIS ...Forex Focus: Let The Technicals Do The Talking by Jared Martinez
Interpreting charts is an art as well as a science, which is why
you need to map out all the different scenarios that can take
place once you place a trade. Here's one chart interpretation
method that combines technical tools.
Understanding Fibonacci's discoveries changed not
only my trading career but my life. What the Italian mathematician discovered back in the 13th century explains
how nature works. His discoveries proved that we are created
in a numerical sequence, just like pine cones and pineapples.
His discoveries prove...
AUTHOR: Jared MartinezDATE: DEC2007SUBJECT: Forex Focus
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Futures For You by Dan O'Neil
ARTICLE SYNOPSIS ...Futures For You by Dan O'Neil
BE A MANAGER
I'm just getting started in the commodity
futures markets. In your opinion,
what is the most important thing
focus on as I begin trading?
Like holiday shoppers looking for
that perfect gift, most beginning investors
long for the one-size-fits-all answer
to this question. After all, from
searching for a good trading opportunity
to navigating the intricacies of technical
analysis to trying to find the right
broker, new futures traders have a lot on
their minds. It would certainly be helpful
to have one overriding aspect of the
process on which to focu...
AUTHOR: Dan O'NeilDATE: DEC2007SUBJECT: Futures For You
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Interview: Jim Dalton of DLC Profiles by Jayanthi Gopalakrishnan
ARTICLE SYNOPSIS ...Interview: Jim Dalton of DLC Profiles by Jayanthi Gopalakrishnan
Author and former hedge fund manager James Dalton is a Market Profile believer,
and he'd be the first to tell you that. A member of both the CBOT and the CBOE, he
served as executive vice president of the CBOE during its formative years. Between
writing Mind Over Markets and his latest book, Markets In Profile, he also served
as director of research for managed accounts at UBS Financial Services, where he
worked with an array of professional money managers. As a result of this
experience, Dalton has come to place added emphasis ...
AUTHOR: Jayanthi GopalakrishnanDATE: DEC2007SUBJECT: Interview
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Letters To S&C by Technical Analysis, Inc.
ARTICLE SYNOPSIS ...Letters To S&C by Technical Analysis, Inc.
TRIX: TRIPLE EXPONENTIAL SMOOTHING OSCILLATOR
Editor,
I am very interested in the indicator
called TRIX, which was first described
and presented by your publisher, Jack
Hutson, in his July/August 1983 article
in STOCKS & COMMODITIES, "Triple
Exponential Smoothing Oscillator:
Good TRIX." I have a question about its
calculation.
At the website StockCharts.com,
there is a graph of a TRIX calculation
plotted around what I call a zero baseline
with values above zero of 10%, 20%,
30%, and 40%, and values below zero
of 10%, 20%, and 30%:
http://stockch...
AUTHOR: Technical Analysis, Inc.DATE: DEC2007SUBJECT: Letters To S&C
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Liquidity Of The Biofuels Market by Rick Kment
ARTICLE SYNOPSIS ...Liquidity Of The Biofuels Market by Rick Kment
The ethanol futures contract is relatively young, but the
market has tremendous growth potential. Here's why.
Since the early 1970s, the ethanol and biofuels
industry has witnessed rapid and unprecedented
growth. In the last couple of years
in particular, the attention surrounding ethanol and biofuels has exploded on a national and global
level. From celebrities and politicians, to activists and
environmentalists, to the local farmers and table-talk
pundits, everyone is weighing in on the topic. The
biofuels industry has evolved from a sleepy, f...
AUTHOR: Rick KmentDATE: DEC2007SUBJECT: Futures
Opening Position by Jayanthi Gopalakrishnan
AUTHOR: Jayanthi GopalakrishnanDATE: DEC2007SUBJECT: Opening Position
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Q&A by Don Bright
ARTICLE SYNOPSIS ...Q&A by Don Bright
BLOGGING ABOUT DIVIDENDS
Basic question about dividends. How do
they work? I have $2,000 to invest and I
was wondering how the dividend yield
relates to how much I am going to get. Do
I get the dividend each month or quarter?
Thanks--Anonymous
If a stock has a declared dividend, it
will have an "ex-dividend" date, which
means that if you own the stock the night
before this declared date, you will be
paid the dividend amount multiplied by
the number of shares you own. The payment
will come in a couple weeks after
the ex-date....
AUTHOR: Don BrightDATE: DEC2007SUBJECT: Q&A
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Short-Term Trading With SVAPO by Sylvain Vervoort
ARTICLE SYNOPSIS ...Short-Term Trading With SVAPO by Sylavain Vervoort
The trading rules I will
discuss here are based
on an eight-bar shortterm
volume and price
oscillator (SVAPO) period with a 1/1,000 minimum price
change and with an upper standard
deviation channel at 1.5 and 1.3 at
the lower side over a 100-day period,
as discussed in my previous
article. The rules are:
Rule 1: The start of a short-term up
move is signaled when SVAPO turns
up from below the lower standard
deviation boundary as in the weekly
chart of Hewlett-Packard (HP) in
Figure 1. The same is valid for a
short-term down move when SVAPO
tu...
AUTHOR: Sylvain VervoortDATE: DEC2007SUBJECT: Indicators
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The Trading Plan by John Jay Norris
ARTICLE SYNOPSIS ...The Trading Plan by John "Jay" Norris
We all know that creating a trading plan is the first
step in trading. Find out how one futures trader
creates a plan and follows it.
Combining analytics and execution is
not new for individuals or professional
entities, and most companies
separate the two. Many individuals
lean toward one or the other, but traders must do both. Traders must be patient and
disciplined and accept that they will not have a
choice regarding when a trade scenario will unfold.
Traders just need to be in the habit of being at their
stations every trading day rested and relaxed...
AUTHOR: John Jay NorrisDATE: DEC2007SUBJECT: Real World
Traders' Resource: Data Services by Technical Analysis, Inc.
AUTHOR: Technical Analysis, Inc.DATE: DEC2007SUBJECT: Traders' Resource
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Traders' Tips by Technical Analysis, Inc.
ARTICLE SYNOPSIS ...Traders' Tips by Technical Analysis, Inc.
Editor's note: This month's Traders' Tips are
based on Barbara Star's article in this issue,
"Confirming Price Trend." Code written in
eSignal language is already provided in the
article's sidebars. Code for other programs as
well as additional eSignal code are presented
here.
Readers will find our Traders' Tips section in its entirety at the STOCKS & COMMODITIES website at
www.Traders.com in the Traders' Tips area, from where
the code can be copied and pasted into the appropriate
program. In addition, the code for each program is usually
available a...
AUTHOR: Technical Analysis, Inc.DATE: DEC2007SUBJECT: Traders' Tips
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Websites For Traders DailyFX.com by David Penn
ARTICLE SYNOPSIS ...Websites For Traders DailyFX.com by David Penn
DAILYFX.COM
In writing about the rise of foreign exchange
trading among everyday retail
traders, a frequent lament has been the
lack of quality news, analysis, and information
resources. Although the currency
pages of publications like The
Financial Times and, to a lesser degree,
The Wall Street Journal have provided
a great deal of what currency traders
need in order to be up to date on the
vagaries of forex trading, the fact is that
there remain precious few online resources
for forex traders compared to
those trading other financial instrument...
AUTHOR: David PennDATE: DEC2007SUBJECT: Websites For Traders
Working Money: Property Sector Yin And Yang by Matt Blackman
AUTHOR: Matt BlackmanDATE: DEC2007SUBJECT: Focus On