Steve.......a lot of questions, but this is what we used to do here and on former threads, ie....answer questions. I must warn you that not all of the real pros at this totally agree with what I'm going to say, but here goes anyway.
A) re: universal indicators..... I believe that each stock has a "pulse" that often needs its own set of indicators. Why else would so many software programs have "optimization" capabilities? An indicator that is tailored for one stock may or may not work for another. I've tried to come up with indicators that have some consistency over most stocks, and those are the ones I've posted. As you can tell, I have a longer term time horizon than most, so there will be much more consistency over a longer period.
B) re: separate entry & exit indicators.....see (A) above
C) low vs high price stocks.....the volatility of the stock is what matters when evaluating the validity of indicators, not the price level.
D) leading vs lagging indicators......most indicators, if they are any good, are lagging to some degree, but TSV comes the closest to being somewhat predictive. There are other indicators which are much more complicated and don't exist in TC2000 (such as Bollinger Band narrowing, William's A/D, etc....) that are somewhat predictive.
My advice to a person just starting out is advice I was given by Richard Estes, and didn't heed until just recently. Stop worrying about finding the tops and bottoms, or looking for predictive signs. Catch a move that is established and run with it. You miss a little on the entry and perhaps leave a lot or a little on the table, but if you make money (your PERCENTAGE gain objective), smile all the way to the bank and look for another established trend.
Hope this helps....
BW Chan |
