MAR 1998 STOCKS & COMMODITIES Magazine

Article Archive For MAR1998

Alternative Investments For Volatile Times by Gary Spitz

ARTICLE SYNOPSIS ...Alternative Investments For Volatile Times by Gary Spitz The stock market isn't the only asset class available to qualified investors; for example, there are managed futures and hedge funds. Here's an overview of the hedge fund industry, as well as recent performance tables. Is the stock market due for a more substantial correction? Will volatility increase? Is this volatility setting the market up for a substantial move, down or up? Regardless of the outcome, wise investors should be looking to diversify their portfolios into noncorrelated investments, because portfolios of noncorrelated as...

AUTHOR: Gary SpitzDATE: MAR1998SUBJECT: Money Management

Creating Prosperity by Adrienne Laris Toghraie

ARTICLE SYNOPSIS ...Creating Prosperity by Adrienne Laris Toghraie Can you create prosperity by sharing resources? What is the key to creating prosperity? Prosperity consciousness is the answer. This state of mind comes from a sense of abundance, which comes in turn from feeling that you have something to share with others. The more generous you can be, the more you will maintain prosperity consciousness. However, you can only be generous to the extent of the resources you have. Think of all the resources a person can accumulate, such as knowledge, wisdom, energy, love, friendship, and material things. Generos...

AUTHOR: Adrienne Laris ToghraieDATE: MAR1998SUBJECT: Trading Psychology

How Has The Stock Market Priced Itself? by Gordon W. Neal

ARTICLE SYNOPSIS ...How Has The Stock Market Priced Itself? by Gordon W. Neal Here's a statistical view of the stock market using the Standard & Poor's 500 as the basis for analysis, and a collection of fundamental influences. Assessing whether the overall market is priced right is a goal of most investors. To do so, we can look at ways that the market has valued itself in the past, and there is plenty of data available. The Standard & Poor's 500 stock index is a good base, since it is a gauge of general market performance going back several decades. There are, besides earnings and dividends, other recognized ...

AUTHOR: Gordon W. NealDATE: MAR1998SUBJECT: Statistics

How Has The Stock Market Priced Itself? by Gordon W. Neal

ARTICLE SYNOPSIS ...How Has The Stock Market Priced Itself? by Gordon W. Neal Sometimes, the most puzzling of trading questions can be answered with the simplest of technical methods. Here, two such methods are combined for trading: Tushar Chande's variable indexed dynamic average (VIDYA), a moving average that automatically adjusts to the current market's volatility and is used as a trend indicator, and a classic rule of thumb from early-day trader W.D. Gann known as the 50% rule is added. Off-floor, intraday traders are faced with decisions throughout the trading day. Two of the simpler yet most perplexing q...

AUTHOR: Gordon W. NealDATE: MAR1998SUBJECT: Indicators

Improving The Win-Loss Ratio With The Relative Strength Index by Thomas Bulkowski

ARTICLE SYNOPSIS ...Improving The Win-Loss Ratio With The Relative Strength Index by Thomas Bulkowski Here's a refresher on the relative strength index, and how to improve your win-loss ratio. Technical analysts can be divided into two basic camps -- those who rely on charts and those who use indicators. Of course, you can use both methods; you might even want to combine them using statistics. If you know your indicator well enough, you should be able to examine any chart and tell when the indicator is going to signal. That may be part of the secret of being a successful investor: Knowing when your tools work a...

AUTHOR: Thomas BulkowskiDATE: MAR1998SUBJECT: Novice Traders' Notebook

Testing Exit Strategies by Jeffrey Owen Katz, Ph.D., and Donna L. McCormick

ARTICLE SYNOPSIS ...Testing Exit Strategies 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? Last time, Katz and McCormick looked at different techniques for making a graceful -- and profitable -- exit. This time, they're testing various exit strategies, both separately and in combination, to determine how well they can improve a trading system. Last time, we discussed the problem of exit strategies. We determined that a good exit strategy is important because failing to exit at the proper time can cost a trader dearly, and...

AUTHOR: Jeffrey Owen Katz, Ph.D., and Donna L. McCormickDATE: MAR1998SUBJECT: Money Management

Traders' Tips

ARTICLE SYNOPSIS ...Traders' Tips For Perry Kaufman's article in the 1998 Bonus Issue, here is the adaptive moving average code in TradeStation/SuperCharts, MetaStock, TechniFilter Plus, Wave Wi$e, and SMARTrader....

AUTHOR: Technical Analysis, Inc.DATE: MAR1998SUBJECT: Traders' Tips

Trading And Control: Walter Bressert by Thom Hartle

ARTICLE SYNOPSIS ...Trading And Control: Walter Bressert by Thom Hartle For commodity and futures traders, the technique of using cycles as a trading strategy will undoubtedly bring to mind trader and analyst Walter Bressert. Bressert, who has been in the trading industry for nearly 30 years, was the publisher and editor of the well-regarded newsletter HAL Commodity Cycles for 12 years. In addition, he wrote The Power Of Oscillator/Cycle Combinations and is today the president of The Bressert Group. His work and techniques are now available in the Cycle Trader software. Stocks & Commodities Editor Thom Hartle sp...

AUTHOR: Thom HartleDATE: MAR1998SUBJECT: Interview

Using Relative P/E Ratios And Technical Analysis by Peter Desnoyers

ARTICLE SYNOPSIS ...Using Relative P/E Ratios And Technical Analysis by Peter Desnoyers Here's why you should track both fundamentals and technicals for trading stocks. The financial storm arrived in New York on October 19, 1987, following a volatile week in the markets. Weekend news of the Federal Reserve's desire for a weaker dollar set the stage for investor skittishness. The selling began in Japan and gained strength in London, giving early warning of unprecedented weakness in New York. By 10 a.m. on October 19, only a few of the Dow Jones Industrial Average (DJIA) components had opened, and it became clear...

AUTHOR: Peter DesnoyersDATE: MAR1998SUBJECT: Novice Traders' Notebook

V.16:3:Letters

ARTICLE SYNOPSIS ...Letters To S&C This month's letters discuss Tim Tillson's smoothing technique and the previous issue's interview with Andrew Lo....

AUTHOR: Technical Analysis, Inc.DATE: MAR1998SUBJECT: Letters To S&C