Lee,
I would love to hear more about how you are using the RSI and ATR.
Also wondering if you have read Baeyens book on the RSI?
Preston
--- In
equismetastock@yahoogroups.com, Lee Lucas <leeontherun@
...>
wrote:
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> It may be much easier to understand and see on a chart if you can
ship the backtest formula.
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> I play alot with RSI and ATR
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> Lee.
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> To: equismetastock@...: andysmith_999@...: Tue, 24 Jun 2008
03:55:13 +0000Subject: [EquisMetaStock Group] Low Volatility Stocks
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> I've been experimenting with this methodology:Every weekend I use a
screen to get stocks with certain fundamentals(based on P/S, P/E,
etc). Then I rank the list by 13 and 26 weekrelative strength and
discard any stocks that are not near the top onboth lists. This
leaves me around 20 stocks per week. Then, I look at the 20 charts to
see which charts have nice, smooth,up trends. I each chart is
displayed:-- ATR(10), this is used to calculate position size-- ATR
(10)/Close, this is used to get a sense of volatility-- ATR(10)/ATR
(50), this is used to get a sense of "is the stock morevolatile than
usual"The ATR(10)/Close usually works out to be around 3.5% to 5.5%.
Here'sthe part I'm still grappling with: I ignore any stocks above
4.5% sothat I end up with the smoother, tighter up trends. Please
share anythoughts on this.PS. I owe much of this to Roy's newsletter
and Super's posts over thelast few years.
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