SEP 1998 STOCKS & COMMODITIES Magazine

Article Archive For SEP1998

Henry Pruden of Golden State University by Thom Hartle

ARTICLE SYNOPSIS ...Henry Pruden, who heads up Golden Gate University's Institute of Technical Market Analysis, mixes the classic technical methods with the new and promising ones. S&C spoke with him to find out what he has to say about technical analysis making inroads on respectability in academia. How did you first become interested in technical analysis? In 1974, while I was teaching at the University of Texas at Austin, I invested in the stock market. Unfortunately, I lost more money in my portfolio that year than I was earning. So I looked into the study of securities and realized something: My colleague...

AUTHOR: Thom HartleDATE: SEP1998SUBJECT: Interview

Moving Averages with Resistance and Support by Dennis L. Tilley

ARTICLE SYNOPSIS ...Moving averages are a popular way to signal trends. Combine moving averages and the classic chart analysis of support and resistance for trading mutual funds. Most simple moving average systems require one or two additional confirmation signals to avoid excessive whipsaw trades. Such confirmation signals can be based on features of moving averages such as the crossover of multiple moving averages or the reversal of the moving average slope. Momentum, volatility, volume and other nontrend indicators can also serve to confirm moving average buy and sell signals. In an effort to develop simple ...

AUTHOR: Dennis L. TilleyDATE: SEP1998SUBJECT: Trading Techniques

The Bond Futures Noise Channel-2 Breakout System by Dennis Meyers, Ph.D.

ARTICLE SYNOPSIS ...The Bond Futures Noise Channel-2 Breakout System by Dennis Meyers, Ph.D. Here's how to develop a system using a filter to remove the random price movement and identify the trend of the Treasury bond market....

AUTHOR: Dennis Meyers, Ph.D.DATE: SEP1998SUBJECT: System Design

The Path Less Traded by Scott Brown

ARTICLE SYNOPSIS ...Good trading is as much a state of mind as it is a set of procedures. Novice traders will find it hard to survive, let alone flourish, unless they learn to think and act in an appropriate manner. This means developing mental models and behavioral rules in a careful and deliberate fashion before entering the market. And it is this careful, deliberate planning and reflection that makes the difference between long-term profit and loss. It would be wise to develop an appreciation for trading fields that are less known to the public but far more profitable than the beaten path....

AUTHOR: Scott Brown, Ph.D.DATE: SEP1998SUBJECT: Trading Psychology

AUTHOR: Technical Analysis, Inc.DATE: SEP1998SUBJECT: Traders' Tips

Trading the Trend by Andrew Abraham

ARTICLE SYNOPSIS ...Here's a volatility indicator, presented with simple trend rules for trading various markets. New traders quickly become familar with two adages: "The trend is your friend," and "Let your profits run and cut your losses." Many of us, however, have learned the hard way that these things are easier said than done. Why is that? One reason is lack of recognition, since the trend itself is rarely clarified and defined, let alone where it starts and ends. So we need a clear explication of what a trend is as well as where its beginning and its end are....

AUTHOR: Andrew AbrahamDATE: SEP1998SUBJECT: Novice Traders' Notebook

Using Percentage-Based Back-Adjusted Data by Enrico Donner, Ph.D.

ARTICLE SYNOPSIS ...A continuous data series for remodeling a futures trading system can be created in a number of ways. Here's a new method that uses a percentage-based back-adjusted technique to ensure that profits and losses from a trading system are equivalent over time on a percentage basis. As a rule, the results of any trading system are evaluated in terms of dollar returns. This means that a $10,000 loss on the Standard & Poor's 500 futures contract is considered simply to be a $10,000 loss, without taking into account the period in which the loss has occurred. As an example, in August 1982, the S&P was...

AUTHOR: Enrico Donner, Ph.D.DATE: SEP1998SUBJECT: Statistics

V16:9: Letters

ARTICLE SYNOPSIS ...IN THE TOP THREE Editor, Thanks for the great article on channel analysis by Editor Thom Hartle in your July 1998 issue. It's one of three of my favorite articles in seven years. Keep up the good work. I also like the artwork in your magazine. ROGER GARABEDIAN, Fresno, CA TRADING SYSTEMS Editor, Would you do a big favor for the trading community and bring some truth to the surface about the best trading systems out there? Please publish some serious scientific work. ARTHUR C. G. JOHANNPETER, via E-mail Opinions abound on the usefulness of one trading system over another. Trading syste...

AUTHOR: Technical Analysis, Inc.DATE: SEP1998SUBJECT: Letters To S&C