Article Archive For
MAR1994
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Advance-Decline Line Basics by Daniel E. Downing
ARTICLE SYNOPSIS ...Advance-Decline Line Basics by Daniel E. Downing
It never hurts to refresh your memory on the basics. Here's a primer on following the advance-decline line for the stock market.
A stock investor who has just begun to analyze the stock market using technical analysis will
invariably look at the advance-decline line. There are solid reasons for doing so, for the advance-decline
line is a useful indicator not only for the stock market, but also for numerous other markets. The
advance-decline line analysis package is multidimensional in that aspect. The daily advance-decline line
is the most com...
AUTHOR: Daniel E. DowningDATE: MAR1994
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Gerald Appel, With Systems and Forecasts by Thom Hartle
ARTICLE SYNOPSIS ...Gerald Appel, With Systems and Forecasts by Thom Hartle
Gerald Appel, a well-known name in the annals of technical analysis, not only publishes the Systems and Forecasts newsletter, he is also a money manager with $200 million under management. But he may be best known for something he considers relatively secondary in his accomplishments, for he is also the originator of the popular and enduring moving average convergence/divergence (MACD) indicator. Ironically, however, he doesn't understand what all the fuss is about with the MACD. So what does he feel is worth the fuss? Stocks & Commoditi...
AUTHOR: Thom HartleDATE: MAR1994
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Optimal Window Length For Forecasting by A. Denis Ridley, Ph.D.
ARTICLE SYNOPSIS ...Optimal Window Length For Forecasting by A. Denis Ridley, Ph.D.
As a rule, the financial markets are complex and difficult to analyze, due to multiple cyclical elements
present in the related data. The moving window spectral (Mws) method of analysis and forecasting
decomposes the data into a spectrum of cyclical components; this is important because each cyclical
component can be evolving over time, in its own unique way. Both the magnitude and phase of each
cycle may change independently. To determine how each component is changing, a window with a fixed
length of time is moved along the dat...
AUTHOR: A. Denis Ridley, Ph.D.DATE: MAR1994
AUTHOR: Technical Analysis, Inc.DATE: MAR1994
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SIDEBAR: THE ELLIOTT WAVE by Technical Analysis, Inc.
ARTICLE SYNOPSIS ...THE ELLIOTT WAVE by Technical Analysis, Inc.
The Elliott wave principle is a method for classifying and forecasting market movement. The basic tenet
is that markets move in a five-wave pattern in the direction of the trend. Once the five waves have been
completed, the market will move counter to the trend in a three-wave pattern. For example, in Figure 1
the trend is up and there are five waves labeled waves 1, 2, 3, 4 and 5. Waves 1, 3 and 5 are called
impulse waves. Waves 2 and 4 are corrective waves, moving counter to the preceding waves. Once a
five-wave movement is complete, the market w...
AUTHOR: Technical Analysis, Inc.DATE: MAR1994
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Simulating Trading Portfolios by Ajay Jani
ARTICLE SYNOPSIS ...Simulating Trading Portfolios by Ajay Jani
Trading commodities? Here are the steps to testing a trading system used for a portfolio of commodities. This article also discusses portfolio-level simulations, variable shift testing and money management.
A great deal of attention has been focused in recent years on the importance of having a thoroughly
back-tested trading system, and for good reason. Only with thorough and conscientious testing can a
trader be assured of trading with a system that is profitable over time. Many software companies have
recently introduced programs that allow the us...
AUTHOR: Ajay JaniDATE: MAR1994
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Strategies For Overcoming Fear by Adrienne Laris Toghraie,
ARTICLE SYNOPSIS ...Strategies For Overcoming Fear by Adrienne Laris Toghraie
How many times has fear blocked your way, whether in trading or otherwise? Worse still, did you know it? Neuro-linguistic programmer Adrienne Toghraie explains how you may be sabotaging your own trading and how you can disarm and conquer that internal saboteur.
Like most beginning traders, Joe had gone through the typical learning curve. At first, beginners' luck
led him to believe that he was a market genius who had discovered a gold mine. Then, when his luck
inevitably turned, Joe was humbled as the markets took back everything he ...
AUTHOR: Adrienne Laris ToghraieDATE: MAR1994
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Traders' Tips by Technical Analysis, Inc.
ARTICLE SYNOPSIS ...Traders' Tips by Technical Analysis, Inc.
METASTOCK
The January 1994 STOCKS & COMMODITIES featured an article by Hans Hannula on polarized fractal
efficiency. Here is the custom formula for creating the five-period smoothed 10-day PFE (Figure 1) using
Metastock:
Polarized Fractal Efficiency......
AUTHOR: Technical Analysis, Inc.DATE: MAR1994
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Trading The Yen by Linda Satterfield
ARTICLE SYNOPSIS ...Do you feel frustrated sometimes in your trading and wish you could get a blow-by-blow of what someone else is doing? Well, here's Linda Satterfield to take Stocks & Commodities readers through a series of trades she executed in the September 1994 yen futures market and how it turned out. By Linda Satterfield...
AUTHOR: Linda SatterfieldDATE: MAR1994
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Using Candlesticks And Oscillators by Gary S. Wagner and Bradley L. Matheny
ARTICLE SYNOPSIS ...Using Candlesticks And Oscillators by Gary S. Wagner and Bradley L. Matheny
Blending East with West, candlesticks with Western trading techniques and using the computer to boot: Combine candlesticks with oscillators.
Candlestick charting has come a long way since Steve Nison introduced the Japanese technique to the
Western hemisphere in the early 1990s. While its early popularity in the US had all the earmarks of a fad,
it is no longer considered simply to be a fashionable way in which to view data; it has instead become a
viable and important tool for the trader who previously only used tr...
AUTHOR: Gary S. Wagner and Bradley L. MathenyDATE: MAR1994
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Using Stops To Your Advantage by William I. Greenspan
ARTICLE SYNOPSIS ...Using Stops To Your Advantage by William I. Greenspan
Ever feel as though the locals on the floor of the exchange that you trade seem to know where you place your stop-loss orders? Professional traders know where stop-loss orders are, not because someone told them, but because the stops are always in the same place. Learn how a floor trader views the market, the price levels where stop orders will accumulate and how you can avoid being caught.
Is this scenario familiar? You're long Standard & Poor's 500 contracts with a realistic profit objective
and your stop-loss order is in place near th...
AUTHOR: William I. GreenspanDATE: MAR1994