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Bill,
Good deal! Glad to hear we have a similar approach. I am looking forward to getting the S&P Futures indicator which I am applying for from MBT. On Tick and Trin, I am not an expert as to their definitions, but Tick indicates the trend of buying or selling on the DJIA. If you see the Tick is -245, for example, you are likely to see the $INDU print red more than green as selling is being indicated. If the Tick prints green and goes down to say -195, a lessening in selling pressure is indicated. If the Tick prints green repeatedly and you see it drop to near zero, a rally is indicated, and when the Tick starts going +100, +150 etc, a rally is definitely indicated and you will see $INDU printing green more than red. When the Tick is very high, say +1000, you are looking at high buying pressure and a top may be near. If you see Tick -1200 as we have seen in recent weeks a few times, you are probably looking at the Dow -150 and heading south. So the Tick is a real valuable indicator as it gives you a hint what the trend is in the Dow. If I see Tick, $INDU and $COMPX all green, I then look at the MM action on the stocks I am watching to see if a bottom is indicated and if selling has stopped. If selling has stopped and my indices are still all green, I am cuing up a buy order and ready to spring as soon as I see any buying and sometimes beforehand. Often the MMs will be asleep at the stick and you will see the indices all green for up to ten seconds before buying comes in. This gives you a very nice window in which to place your buy and you can be pretty sure buying will occur, not selling. This system is not flawless as stocks can fight the tape. If they do, it is up to you to figure how the "exception" operating. Usually a news story.
I am not a Trin expert yet so maybe someone else can comment on that.
Rick |
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