Thursday, January 27, 2011

Combining indicators continued

I am an X computer geek and I like rules.  You cannot write a computer program without rules.  Some stock systems allow you to implement trading rules....  If you have access to such a system then maybe you can use a rules based system real time.

I promised to show you the stock I used in last night's discussion of CCI/MFI combination.  Here it is:

If you examine the chart I think you will see this system would have captured a lot of the upsides (green horizontal lines) and avoided most of the dips (red horizontal lines).  I tried to test this on several stocks or ETFs.  How would it have worked on a bear ETF the past few months.  See for yourself:

Any help you can offer in testing this is much appreciated.  Also, if you have "rules" based systems you feel work please share.

GL traders.


  1. I will use these and report on how I do. Haven't found any yet that meet the criteria...I'll keep looking. I have a couple that I keep watch waiting to buy and I'll see how these techs work.

  2. Take a look at AZO...might have missed the best timing...but still at a nice spot.

  3. Shadow7 -

    Thanks. An idea in progress, may need fine tuning or we may discover it is not good for all environments. You guys can help decide if it is a worth while effort or not.

    I'll take a look at AZO.


  4. Shadow7 -

    AZO chart for your consideration:


  5. Thanks!!! I also found 3 more that could potentially make the buy signal criteria: ENTR (Earnings next Tuesday), PNRA (food prices?), URBN (cotton?)

  6. Shadow7 - charts for ENTR, PNRA and URBN: