Hi Richard and all,
I wonder if someone might offer an opinion on how to interpret the TRIX indicator?
Metastock suggests that the TRIX turns bullish when it changes direction from down to up…, which seems simple enough. However, I wonder if there is any validity to waiting until it crosses the zero line? I realize that in some cases one will pay more by waiting, but, it seems that once that line is crossed the upward momentum is established, and tends to continue.
I am currently using it to confirm other (MACD, SAR and RSI) indicators for short term (1 - 2 months) trading. I don't see the TRIX as a particularly useful sell indicator, but buying when it crosses “0” seems to work for me. Examples are EAII in December, HLYW, ANN, INTL all in October, and OCLR right now (although this one's looking a bit lame in recent days).
I'd appreciate any comments from people using this indicator.
Thanks,
David Raine
Vancouver
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