|
PureBytes Links
Trading Reference Links
|
Thanks for your thoughts.
The timeframe I was thinking of was of the order of a few weeks but
testing should determine that.
I have EOD 7.21 and the dev kit (have written my own system tester).
I'm going to be backtesting all these ideas first.
Volume on some of these sector ETF's could be a problem.
An alternative I had considered was to take the strongest performing
stock (or 2) from the strongest performing industry (out of say the
S&P500).
You're suggesting an MA of the sector itself and the current price
moving above this MA with the strongest momentum. That's certainly
easier to calculate that using relative measurements (relative to say
SPY). Did you have a momentum strength indicator in mind?
Thanks,
Sean
--- In Metastockusers@xxxxxxxxxxxxxxx, Arsk0jn@xxxx wrote:
> Hi Sean,
> I been trading for over 48 years. Here are my thoughts:
> Not knowing the trading time period you are looking for; i.e. days,
week,
> months etc., here is sonething I would look at:
> I would use something like a 50-day moving average (MA) and trade
the sector
> that moves above the 50-day MA with the strongest momentum.
Likewise for the
> shorts; select the sector that moves below the 50-day MA with the
strongest
> downside momentum. A stop at the 50-day MA after it has moved at
least 8%
> away from it looks about right to me. Particularily on the down
side, you
> want to trade a sector with good volume; (so you don't have any
problems
> getting your trades executed.)
> Don't trade this approach just on my word. Take a look at it and
try it on
> paper for a while to see what you think.
> Good trading,
> Joe Nemecek
To unsubscribe from this group, send an email to:
Metastockusers-unsubscribe@xxxxxxxxxxx
Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
|