FEB 1998 STOCKS & COMMODITIES Magazine

Article Archive For FEB1998

Anchored Momentum by Rudy Stefenel

ARTICLE SYNOPSIS ...Anchored Momentum by Rudy Stefenel A centered simple moving average can be used as a reference point when creating technical analysis indicators. Even though a centered simple moving average produces a plot much smoother than its related price plot, the centered moving average technique is generally ignored because it stops short by half of its period. However, some unique and effective momentum indicators can be anchored to a point on a centered simple moving average. Here are the benefits of anchored momentum. Two points on a security price plot can be used to calculate ordinary momentum....

AUTHOR: Rudy StefenelDATE: FEB1998SUBJECT: Indicators

Charles White Of Tucson Asset Management by Thom Hartle

ARTICLE SYNOPSIS ...Charles White Of Tucson Asset Management by Thom Hartle Charles White's career has ranged broadly from fixed-income portfolio manager to Commodity Trading Advisor. Today, as one of the three principals of Tucson Asset Management, White is doing it all as he advises institutional fixed-income managers as well as maintaining three managed-futures programs, with approximately $50 million under management. Stocks & Commodities Editor Thom Hartle interviewed White via telephone on November 18, 1997, asking him about issues that are key to developing trading systems as well as what investors should...

AUTHOR: Thom HartleDATE: FEB1998SUBJECT: Interview

Double Bottoms by Thomas Bulkowski

ARTICLE SYNOPSIS ...Double Bottoms by Thomas Bulkowski The mirror image of a double top, the double bottom is a more profitable longer-term play. Find out why. At first, I thought double bottoms were just double tops flipped upside down, but I was wrong. It's not the formation that's the puzzle; it's the price trend leading to a double bottom. With double tops and many reversal patterns appearing near the top of a price series, the approach leading to the pattern is usually steep. Prices rise rapidly, execute a reversal pattern, then drop just as quickly. With bottom formations, you can still have that type of...

AUTHOR: Thomas BulkowskiDATE: FEB1998SUBJECT: Novice Traders' Notebook

Exits, Stops And Strategy by Jeffrey Owen Katz, Ph.D., and Donna L. McCormick

ARTICLE SYNOPSIS ...Exits, Stops And Strategy by Jeffrey Owen Katz, Ph.D., and Donna L. McCormick Everyone's looking for entry trading signals, but what about after you're in the trade? Here are different techniques for making a graceful -- and profitable -- exit. Previously, we focused for the most part on the timing of trading entries. We examined how useful various factors and methodologies were in helping us de-cide when and where to enter a trade. We tested everything from cycles to sunspot activity, from simple rule-based approaches to advanced genetic algorithms and neural networks. We kept our exit strat...

AUTHOR: Jeffrey Owen Katz, Ph.D., and Donna L. McCormickDATE: FEB1998SUBJECT: Money Management

Metaphors For Trading by Ruth Barrons Roosevelt

ARTICLE SYNOPSIS ...Metaphors For Trading by Ruth Barrons Roosevelt The metaphors we use in our lives can be powerful emotional symbols, and how we view the market is reflected in those metaphors. Change those metaphors and develop a more successful attitude. Here's how. The creation of metaphors that empower is one more tool you can use to enhance your trading. The metaphors you use regarding your trading have a direct impact on your approach to trading and consequently on your profitability. Usually, we don't choose metaphors consciously, and yet they're in the back of our minds guiding our interpretation o...

AUTHOR: Ruth Barrons RooseveltDATE: FEB1998SUBJECT: Trading Psychology

The New Gann Swing Chartist by Robert Krausz, MH, BCHE

ARTICLE SYNOPSIS ...The New Gann Swing Chartist by Robert Krausz, MH, BCHE This is more than an article that teaches technical analysis. It's also a story about how one professional trader, a New Market Wizard, came into possession of a rare technical method, and the steps he took to turn it into a valid trading plan. Here, then, is Robert Krausz's Basic trading plan, one of four published in his book, A W.D. Gann Treasure Discovered. To many market participants, technical analysis is the foundation of any technical trading plan, when in fact, market analysis and trading are two different modalities. Market an...

AUTHOR: Robert Krausz, MH, BCHEDATE: FEB1998SUBJECT: Classic Techniques

Traders' Tips

ARTICLE SYNOPSIS ...Traders' Tips Code for this month's Traders' Tips include the four indicators presented in Rudy Stefenel's article "Anchored momentum," recreated in MetaStock; Tim Tillson's article "Smoothing techniques for more accurate signals" in TradeStation, SuperCharts and Windows On WallStreet; Gerald Marisch's ""Breaking out of price channels,"" in Technifilter Plus, WAVE WI$E, and SMARTrader....

AUTHOR: Technical Analysis, Inc.DATE: FEB1998SUBJECT: Traders' Tips

Using Multiple Moving Averages by Daryl Guppy

ARTICLE SYNOPSIS ...Using Multiple Moving Averages by Daryl Guppy Moving averages, familiar to every technical trader, are used by most technicians to identify important trends. Here's a unique twist on using multiple moving averages as an early warning of trend reversals. Technical analysis is an adaptive process, pressing at the edges of possibility and developing new approaches from ideas glimpsed in passing. The multiple moving average (MMA) is an indicator developed from one such encounter. It uses core information generated from multiple time frames to capture and understand a concept of market dynamics ...

AUTHOR: Daryl GuppyDATE: FEB1998SUBJECT: Trading Techniques

V.16:2: Letters

ARTICLE SYNOPSIS ...Letters To S&C This month's letters discuss the CMT and CTA designations, the definition of the fair value index, hedge funds, and has a beginner's reading list on stocks and another on commodities....

AUTHOR: Technical Analysis, Inc.DATE: FEB1998SUBJECT: Letters To S&C