|
PureBytes Links
Trading Reference Links
|
There is an article in Bloomberg Personal mag. on this. They quote Manley
& Warantz as using the 52 week SMA of weekly 30 year bond yields and
correlating this with the S&P performance for the following year. The more
the current yield is below it's 52 week average, the greater the
performance of the S&P in the following year ('69-'96).
Currently around -8% ?
At 11:40 PM 2/3/98 -0700, you wrote:
>I have been reading J. Murphy's "Intermarket Tecnical Analysis" and have
>been thinking about how to use MS 6.5 to determine if divergence is
>occuring between two market indicators (ex. Dow Industrials and Treasury
>Bonds). In Chapter 2 of Murphy's book he discusses how the bond collapse
>in April 87 (divergence from the Dow Industrials) warned that it was time
>to be cautious in the stock market.
>
>Could someone give me some ideas on how to design an indicator to determine
>if a significant divergence is occurring? I was wondering if utilizing the
>Liner Regression Slope formula in a composite security would be
>appropriate, however, I'm at a loss to figure it out.
>
>I'm also curious if MS 6.5 can build an Expert system that incorporates
>info/indicators from several different charts. For example, if you wanted
>to show a bullish ribbon/trend for a stock when interest rates were
>dropping, the CRB index was dropping and the Dow is above its 200 day
>moving average and the individual stock is above its 150 day MA....could it
>be done?
>
>Any comments or help is appreciated! Thanks .....
>
>
>
>
>
>
>
>
RXR
|