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Strategies & Market Trends : Trading the SPOOs with Patrick Slevin! -- Ignore unavailable to you. Want to Upgrade?

To: SE who wrote (6306)	9/14/2000 1:57:03 PM
From: Stoctrash	Read Replies (1) \| Respond to of 7434

Scoooot....you're alive!!! I know TASC has done this math thing. I'll look around tonight.

To: SE who wrote (6306)	9/14/2000 2:28:09 PM
From: OX	Read Replies (1) \| Respond to of 7434

look at Elder again... that is where i picked up the formula sometime ago. there is some confusion due to terminology of what is %K/%D on fast vs slow stochastics. work thru it on paper and I guarantee you'll pick it up. use the example on pg 157 as a model.

To: SE who wrote (6306)	9/14/2000 2:34:01 PM
From: Lee Lichterman III	Respond to of 7434

There are two formulas that I am aware of. The simplest is the following. %K = 100 * (close - Lowest low of Y periods) / (highest high of Y periods - Lowest low of Y periods) %D = 100 * (X period sum of the (close - lowest low of Y periods) / the X period sum of (the highest high of the same period used in the above formula - lowest low of the same period used in the above formula) Basically %D is a smoothing of the %K and the periods X and Y don't have to be and usually are not the same. For example many popular sites use 14 and 6 as the parameters of the equation. Hope this helps. Good Luck, Lee

To: SE who wrote (6306)	9/14/2000 6:21:30 PM
From: IndexTrader	Respond to of 7434

Scott, This site has some good info. tradingtactics.com

To: SE who wrote (6306)	9/15/2000 9:57:46 AM
From: Patrick Slevin	Read Replies (1) \| Respond to of 7434

I see you have lots of responses so I'll tell you what I do rather than post links....most of which are buried somewhere in my bookmarks and lost forever anyway. I mess with them, adjusting them every few months and backtesting for applicability. Then I use them as signal filters looking for divergence. Same with RSI. The longer periods on RSI appear to work better on longer time frames and vice versa. For instance, you might use a period (length) of 9 Daily but a period of 14 Weekly and so forth. I do not care overmuch about the math, what I'm looking for with RSI and Stochastics is divergence between Price and the slopes of the indicators. It's hardly elegant but because oscillators are only signals for entry for me, in sideways markets, all I really wish to have is a fast confirming signal. Just another point of view.....I imagine if you went to anything written by George Lane you have have more than enough information. Ditto Welles Wilder re: RSI. -------- What is it with Fridays? Monday I glanced at the markets around 9 Eastern and everything looked fine.....then about 9:30 I realized that my cable feed had shut down just after 9 on the previous Friday, a day that I was out all day. Now, after typing the above both my cable modems went out. The above was transferrred onto disk and posted using Earthlink on a separate machine. No quotes, no Browser, no cable feed at all out here. God, I knew there was a reason I hated to trade on Friday.Well, see you later; much later it appears.