Daily ETF 2013 – 03 – 26
/0 Comments/in Daily ETF, Signals /by lbernutBullish weakness: Longer-term daily bullish experienced a temporary weakness
Bearish strength: Longer-term daily bearish experienced a temporary rally
Daily Equity Indices 2013 – 03 – 26
/0 Comments/in Daily Equity Indices, Signals /by lbernutBullish weakness: Longer-term daily bullish experienced a temporary weakness
Bearish strength: Longer-term daily bearish experienced a temporary rally
Daily Equity Indices 2015 – 03 – 25
/0 Comments/in Daily Equity Indices, Signals /by lbernut- Bullish Weakness: general trend remains bullish. Temporary weakness is over, now the uptrend resumes. Low Volatility Channel is 1 ATR below the swing low.
- Bearish strength: general trend remains bearish. Temporary rally is over, now the downtrend resumes. High Volatility Channel is 1 ATR above swing high
Bear markets start in highly volatile sideways markets: bulls fight bears. They end in low volatile sideways markets: indifference
We do not advise anyone to buy or sell anything. It would be wise however to reduce concentration on the long side.
Dow Jones Transportation Index: bearish strength
Colombia COLCAP bearish strength
Daily ETF 2015 – 03 – 24
/0 Comments/in Daily ETF, Signals /by lbernut5 simple steps to build, understand and use charts
- Trend definition: A bullish trend is a succession of Higher Highs and Higher Lows. A bearish trend is a succession of Lower Lows and Lower Highs.
- Paint and annotate price bars: This is a simple intuitive visual aid. Olive for bullish, Tomato for bearish. Swing Highs are in green, swing lows are in red
- Draw Volatility Channels: Volatility channels are the dotted lines with annotations. They are only featured and colored in the direction of the dominant trend: Olive for bullish, Tomato for bearish. They are calculated as: Bullish Volatility Channel = Swing Low – 1 * Average True Range of 14 days (ATR[14])
- Annotate the Distance from Volatility Channel: This is the distance from the Volatility Channel to the Bar when swing is identified. Think of it as a simple position sizing algorithm: what size should be traded to risk 1% of the portfolio ?
- Bullish weakness and Bearish strength: are short term counter-trend signals. Weakness is over, bullish trend resumes. Strength is over, bearish trend resumes.
Weekly Equity Indices 2015 – 03 – 16 to 20
/0 Comments/in Signals, Weekly Equity Indices /by lbernut5 simple steps to build, understand and use charts
- Trend definition: A bullish trend is a succession of Higher Highs and Higher Lows. A bearish trend is a succession of Lower Lows and Lower Highs.
- Paint and annotate price bars: This is a simple intuitive visual aid. Olive for bullish, Tomato for bearish. Swing Highs are in green, swing lows are in red
- Draw Volatility Channels: Volatility channels are the dotted lines with annotations. They are only featured and colored in the direction of the dominant trend: Olive for bullish, Tomato for bearish. They are calculated as: Bullish Volatility Channel = Swing Low – 1 * Average True Range of 14 days (ATR[14])
- Annotate the Distance from Volatility Channel: This is the distance from the Volatility Channel to the Bar when swing is identified. Think of it as a simple position sizing algorithm: what size should be traded to riske 1% of the portfolio ?
- Bullish weakness and Bearish strength: are short term counter-trend signals. Weakness is over, bullish trend resumes. Strength is over, bearish trend resumes.
Shanghai Composite bullish weakness