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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Matthew L. Jones who wrote (3969)	9/14/1999 6:36:00 PM
From: TraderAlan	Read Replies (1) \| Respond to of 18137

Matt, Someone else can explain the mechanics but you're much better off using trendlines and channels on it rather than any MA. Since it's really just an oscillator, the MA will be way too slow to be of use. Try a 3 day, 5-min chart and just use the NYSE TICK and ignore the other exchanges, even when planning NASDAQ trades. NYSE TICK is the most underappreciated day trading tool in existence. Alan

To: Matthew L. Jones who wrote (3969)	9/14/1999 6:52:00 PM
From: Eric P	Respond to of 18137

Matt: The $TICK indicator is a measure of the direction of the overall market. The TICK measures the number of stocks on the NYSE upticking versus those trading on a downtick at the moment. So, a TICK reading of say -550 would indicate that the number of stocks trading lower than their prior price (for example, 2050 stocks) is outnumbering the stocks trading higher than their prior prices (for example, 1500 stocks). => -2050 + 1500 = -550. Despite each transaction being a buy and a sell, we generally equate downticking with selling and upticking with buying. The change in the TICK is irrelevant, as it compares the current TICK value with the closing TICK from the prior day. It is irrelevant since the current strength of today's market is independent from the prior days closing TICK. For the above example (TICK = -550), if the prior days closing TICK were +1000 you would have a TICK change of -1550. However, if the prior days closing TICK were -1000 then the TICK change would be +500. Now that I hope that's clear, let me re-emphasize that this change is irrelevant! -Eric Note: There is another symbol for the Nasdaq TICK indicator. => I.e. same indicator, but calculated for all Nasdaq stocks. Most people use the NYSE TICK, however.