|
PureBytes Links
Trading Reference Links
|
Preston,
Thanks. I just got done reading Larry Connors latest book "Short
Term Trading Strategies That Work".
He has a plan which he calls the VIX Stretch whereas he trades the
SPY based on the following rules:
SPY>200 MA
VIX> 5% or more above the 10 day moving average for 3 or more days.
Buy on close.
Exit when SPY 2 day RSI > 65
He offers up different scenarios that can be run including different
VIX % above the 10 MA plus the amount of days it is above the moving
average.
All through the book, Mr. Connors preaches the value of the 2 day
RSI. Not sure if that is to lead folks to the TradingMarkets website
and his real cash cow of the subsciption to their stock rating
system, but I suspect a little bit so for the unitiated.
But overall, he does have 5-6 laid out strategies that could start a
beginner in the right direction, I think. One thing he does well is
back up the history of trades with the numbers. One thing he doesn't
do well is show how much money is lost on the 20-25% of trades that
don't go well. And he is somewhat against stop losses, which scares
me a bit from a risk and capital preservation standpoint.
Disclosure, Big is not on the Connors payroll. :)
Thanks for the help.
--- In equismetastock@xxxxxxxxxxxxxxx, pumrysh <no_reply@xxx> wrote:
>
> Big,
>
> See if this helps.
>
> Preston
>
>
> Buy:= C <=LLV(C,7);
> {close is less than or equal to lowest low value of close over 7
days}
>
> Sell:= C >= HHV(C,7);
> {close is greater than or equal to highest high value of close
over 7
> days}
>
>
>
> A RSI(2) is of little value and I would suggest using the 3 day
> lookback period for it.
> You can sum for 2 days like this:
>
> Sum(RSI(3),2)
>
> Using Cum() would add the values going all the way back to the
> beginning of the chart.
>
>
>
> For the VIX, I have:
> VIX: The average implied volatility of 8 OEX options with a 30 day
> expiration reported as an index.
>
> Volatility Spike: As defined by techies it is when the VIX rises
> 35% .
>
> Saitta surmized that the volatility spike was useless in
markets
> that did not rise above 35%, therefore he standardized the measure
by
> using a 15% rise of the 20 day moving average. His definition is:
>
> Saitta's Volatility Spike: The VIX minus 115% of its 20 day moving
> average. In metastock terms the formula would be:
>
> {Saitta Volatility Spike}
> A:= P; {This must be dropped on VIX price plot}
> B:= (mov(A,20,s) * 1.15)
> X:= A ? B;
> X;
>
> You would need to open two charts. One with a price plot of the
S&P
> 500 and another with the VIX. Click onto the VIX plot and move it
> onto the same chart as the S&P. Call the Saitta Volatility Spike
> (SVS) indicator from the indicator list and drop into its own
window
> when the VIX plot is highlighted. Use a horizontal line at 0.
>
>
> Finally,
> ref(C,-1)>Open
> is correct.
>
>
> --- In equismetastock@xxxxxxxxxxxxxxx, "Big Papa"
> <denver69692002@> wrote:
> >
> > Group,
> >
> > I need some quick checks on some coding.
> >
> > Buy: Close @ 7 day low, code - C<=(LLV(C,7))
> >
> > Sell: Close @ 7 day high, code - C>=(HHV(C,7))
> >
> > Correct?
> >
> > Next, I am looking for a cumulative value of RSI over a period
of 3
> > days.
> >
> > Cum(Sum(RSI(2),3)
> >
> > Correct?
> >
> > Next, I really need help on this one. Looking for a code if VIX
>
> 5%
> > or more above the 10 MA for 3 or more days.
> >
> > Lastly, today open > yesterday's close
> >
> > ref(C,-1)>Open
> >
> > Thank you and Happy Holidays.
> >
>
------------------------------------
Yahoo! Groups Links
<*> To visit your group on the web, go to:
http://groups.yahoo.com/group/equismetastock/
<*> Your email settings:
Individual Email | Traditional
<*> To change settings online go to:
http://groups.yahoo.com/group/equismetastock/join
(Yahoo! ID required)
<*> To change settings via email:
mailto:equismetastock-digest@xxxxxxxxxxxxxxx
mailto:equismetastock-fullfeatured@xxxxxxxxxxxxxxx
<*> To unsubscribe from this group, send an email to:
equismetastock-unsubscribe@xxxxxxxxxxxxxxx
<*> Your use of Yahoo! Groups is subject to:
http://docs.yahoo.com/info/terms/
|