Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Technical Analysis - Beginners -- Ignore unavailable to you. Want to Upgrade?

To: Richard Estes who wrote (8501)	8/1/1998 10:56:00 PM
From: Dale Wingo	Respond to of 12039

Richard thanks, (Mov(C,5,E)-Mov(C,13,E))-(Mov((Mov(C,5,E)-Mov(C,13,E)),40,E)) what you have is a macd formula, plot it as a histogram watch o line trigger. if you called DMACD then fml("dmacd")>0 is buy fml("dmacd")<0 is sell That is what I initially thought. I was trying to prove it and had plotted both the moving average and the macd on a chart to verify it. I noticed that the "buy" signals are not exactly lined up. I guess it's due to rounding errors.. and the way MACD is defined as per page 274. I don't know what software you are using but a few hours with manual should work wonders understanding the above. MetaStock 6.5. Well, I had been doing as you suggest and was just trying to prove it. Dave might give you more of an answer, he is offline a lot. Yes, I noticed his attendance isn't what it was back then. Thanks again! Dale

To: Richard Estes who wrote (8501)	8/6/1998 3:32:00 PM
From: David R. Evans	Respond to of 12039

Hello Dale, To system test in MSWIN for the 5-13-40 xover try this: Enter Long: Mov(C,5,E) > Mov(C,13,E) AND Mov(C,13,E) > Mov(C,40,E) Close Long: Cross(Mov(C,13,E),Mov(C,5,E)) Now you can play with these combinations on both the enter long and close long side. Example Keep the same Enter Long but change the Close Long to Cross(Mov(C,40,E) ,Mov(C,5,E) ) This will keep you in longer. You may want to enter when the 5 crosses above the 13 and not wait for the 40 OR, you may just want to use the 5 cross above the 40 and forget about the 13. There are many combinations you can try. Put them up on the chart and try to get a feel for their lengths. Could you trade with them the way they appear on the charts??? Dave Evans