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Strategies & Market Trends : Tom Demark Indicators

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To: Dave Triplett who wrote (21)4/20/1997 11:52:00 PM
From: Ronin   of 110
 
HI Dave, If WOW supports a Reference Function(one that lets you reference a specific day in the past or the future), you can identify a 9 setup rather simply. In Metastockese it would read:

C < REF(C,-4) AND
REF(C,-1) < REF(C,-5) AND
REF(C,-2) < REF(C,-6) AND
REF(C,-3) < REF(C,-7) AND
REF(C,-4) < REF(C,-8) AND
REF(C,-5) < REF(C,-9) AND
REF(C,-6) < REF(C,-10) AND
REF(C,-7) < REF(C,-11) AND
REF(C,-8) < REF(C,-12) AND
REF(C,-9) > REF(C,-13)

This is for a buy setup. C= close. You would reverse the < sign for a sell setup. This is for the setup only. In MS this will give you a spike when it is true. From there you can lay an additional indicator to confirm the intersection:

HIGH >= REF(LOW,-3) OR
H >= REF(L,-4) OR
H >= REF(L,-5) OR
H >= REF(L,-6) OR
H >= REF(L,-7)

When the BUY setup & intersection are confirmed, you can start the countdown:

C < REF(LOW,-2)

This will spike whenever the BUY countdown criteria is met.(reverse < for a sell) You can then count the spikes after the setup for a possible 13. This is a "poor mans" way to chart the sequential as there is no way to incorporate this into a search function with MS, and it's not very pretty. But if you like to play and experiment, it is quite interesting. You have the book and there are other less common conditions to be met in certain situations, but these are the basics.
I hope it helps,
Kagi
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