Wednesday, May 29, 2013

New Page: 4 Week TSI/200 ema Study Begins

I've added a new Page to my website today. You'll find it in the column just to the left of this post. The page is named 4 Week TSI/200 ema Study. I will update this page daily following the close of trade for a period of 4 weeks. Feel free to visit this Page as often as you wish.

Following the link (above and/or to your immediate left) will initially provide you with a more detailed explanation of what I am up to, then further down that page are links that will take you to each day's trading activity, charts, brief commentary, as well as a link to the trading record generated.

For the most part, this is a challenge I have assigned myself to discover how well I can use my True Strength Index (TSI) skills in 'real-time'. It is one thing to draw these trend lines on indicators retrospectively and make trading look real easy, but I wonder how I will do when decisions are made after the close each day and then I have to live with them. (Maybe you wonder too :-)

Each ticker symbol in the study uses the TSI (7,4) and simultaneously employs the code I wrote to plot the percentage that price closes above or below its 200 day ema. So actually there are two indicators put into play. My assigned task will be to make the best use of both indicators to skin some (pretend) money off the table over the next few weeks.

And if you are interested, there's no reason why you cannot keep your own scorecard of the decisions you would have made in 'real-time' and compare notes with me sometime down the road.

Rather than limit myself to gold mining related issues I wanted to broaden my scope for this study to also include a little of this and that - financials, manufacturers, interest rates, technology, retailers, energy and currencies. 

The list of 10 issues includes: Boeing, Crude Oil, US Dollar Index, E-mini S&P 500, Gold, Gold Miners, Goldman Sachs, Home Depot, Microsoft and the 10-Year US Treasury Note.

Sounds like fun? Well heck, the market just closed so I gotta go make some charts now and figure out what to do with the trades for kicking off the next session.

I see I caught a fish (GDX) and wonder if there are more...... 

I'll publish today's update with charts and thoughts in a couple hours.

Be good,


1 comment:

  1. John,

    Maybe it's just my computer but "no comments" on this analysis? Hard to believe. This is an engaging study. TSI and 200 ema and explanations for each trade. Good stuff.

    My question is with obvious flash trading, pumping and manipulation by gov't federal reserves, their treasury departments and other agencies, cooperative mega banks, etc; can this type of analysis really "see thru the smoke"? I guess time will tell but I'd appreciate your thoughts.

    Thanks for your efforts.