|
| 1. Jesse Livermores Secret To Success
|
| 2. Home page investor image explanation
|
| 6. How to win in the stock market
|
| 7. Commandments to follow
|
| 8. 10 Rules for Investing
|
| 9. How to survive a stock market crash
|
| 10. William J ONeil, CANSLIM
|
| 11. Barry Ritholtz keep it simple stupid
|
| 12. Gerald Loeb how to win
|
| 18. Indicators Introduction
|
| 20. Richard Wyckoff method
|
| 21. Richard Wyckoff Waves of Price and Volume
|
| 22. Richard Wyckoff is a success story
|
| 23. Richard Wyckoff logic not working, this maybe why?
|
| 24. Richard Wyckoff studied Jesse Livermore
|
| 25. Bob Evans, renowned Wyckoff teacher
|
| 26. Tim Ord, Secret Science of Price and Volume
|
| 28. William Gann life story
|
| 29. William Gann Law of Vibration
|
| 31. Wyckoff method improved1
|
| 32. Wyckoff method improved2
|
| 33. Original Wyckoff and Wyckoff 2.0
|
| 34. Wyckoff 2.0 vs Others
|
| 35. Wyckoff 2.0 and Volume Spread Analysis
|
| 40. Cycles for short term speculation
|
| 46. RTT Wyckoff Short Term model
|
| 49. Proprietary Indicators (PI)
|
| 50. Multi Time Frame (PI)
|
| 53. PI: RTT TrendPower OBV
|
| 54. PI: RTT On Balance Volume
|
| 56. PI: RTT Rainbow Bands
|
| 59. PI: RTT Steps of Cause and Effect
|
| 60. PI: RTT Wyckoff Strength Weakness
|
| 61. PI: RTT Wyckoff Price Waves
|
| 62. PI: Proprietary Indicators Caution
|
|
Indicator Library
PI: RTT TrendStatus
|
|
|
This is a proprietary indicator, part of the RTT Indicator set.
Important Disclaimer: None of the proprietary indicators give specific signals of BUY and/or SELL prices or signals for investment decisions. They do however bring your attention to price action for further analysis only. Any BUY or SELL decision is purely your own responsibility. Please understand that we find favor with our proprietary tools, but they do not work all the time, nothing is 100% accurate. Please review our terms of use.
The RTT TrendStatus, RTT TrendTick and RTT TrendThrust indicators are based on the same formula, but with different presentations of price action.
RTT TrendStatus
The indicator looks at price by how far it has moved away from its trending mean.
The RTT Trendstatus acts like the standard statistical formula known as the 'Z-Score'. The 'Z Score' can be defined as .."is the number of standard deviations away from the mean a particular observation is".. In excel the formula would be Z Score for cell A1 = (A1-AVERAGE(A1:A100))/STDEV(A1:A100). Of course our RTT TrendStatus is not the same code as the Z Score, the concept maybe, we reduced the noise and added a few other tricks.
Different colors give measurements of the degree.
vExUp (Dark Blue): Very Extended upwards trend
ExUp (Blue): Extend upwards trend.
Up (Green): Up trend.
Test (Gray): Trend in test mode.
Dwn (Red): Down trend.
ExDwn (Purple): Extended downwards trend.
vExDwn (Dark Purple): Very extended downwards trend.
Changes in color give adequate warning to you when price action requires your close attention. The dotted blue lines highlight when price will begin to test the trend, or as we call it entering the 'trend testing zone'.
Interpretation Points:
1) If the immediate presentation of RTT TrendStatus shows NO RED then the trend is bullish. This is inclusive of the RTT TrendStatus pulling back as far to the lower dotted blue line.
2) If the immediate presentation of RTT TrendStatus shows NO GREEN then the trend is bearish. This is inclusive of the RTT TrendStatus pulling back as far to the upper dotted blue line.
3) Changes in color require your attention to price action.
4) The more infrequent the appearance of an extended color the more likely that the reading is significant.
5) The parameters cannot be changed, thus a truly universal security trend tool.
RTT TrendTick
The indicator looks at the bar by bar change levels of the RTT TrendStatus. Bullish above zero and bearish below zero. We normally wait for at least two bars to change color before we consider a change in price momentum, plus we consider the level of the reading where the change occurs. This tool does show the short term changes in price momentum, however anything short term is volatile and prone to a higher ratio of false readings. Readtheticker.com favors price action first, short term price momentum indicators second. All indicators, including ours have a lagging effect, price action leads in all cases.
RTT TrendThrust
The indicator measures price change (i.e thrust) in percentage terms while the RTT TrendStatus is trending either up or down. The percentage move of price is an important measure of demand or supply (reference Wyckoff logic). When thrust weakens the market is reluctant to go into new ground, hence other forces are at work. This tool helps with Wyckoff law of 'Effort vs Results.
RTT TrendPower
The above indicators are not volume weighted, use the above with RTT TrendPower to determine how well volume supports price action. They are a very good marriage.
Some Examples of RTT TrendStatus and RTT TrendTick..
Example1: ETF SPY - SP500 Index
Click for popup. Clear your browser cache if image is not showing.
Example2: ETF SPY - SP500 Index
Click for popup. Clear your browser cache if image is not showing.
Example3: ETF UUP - USD Dollar Index
Click for popup. Clear your browser cache if image is not showing.
Example4: ETF TLT - USA 20 yr Long Bond
Click for popup. Clear your browser cache if image is not showing.
Example5: ETF XLF - SP500 Financial's
Click for popup. Clear your browser cache if image is not showing.
Example6: Here is an example of RTT TrendThrust.
Click for popup. Clear your browser cache if image is not showing.
RTTTrendThrust has two options (1) measure percentage price move, or (2) measure cumulative volume. Both are done while the indicator is in either a up or down trend. The up or down trend can also be viewed by the the tick status or the '++++' or '----' shown in the indicator header.
A video with more on RTTTrendThrust
Example7: Also you can compare DAILY and WEEKLY RTTTrendStatus indicators for trend analysis.
Click for popup. Clear your browser cache if image is not showing.
Example8: Here is a closer look on how to understand technical signals with the multi time frame RTTTrendStatus.
Click for popup. Clear your browser cache if image is not showing.
... an example below. Of course you can apply similar logic to any multi time frame indicator, it just so happens RTTTrendStatus is excellent for trend confirmation.
Click for popup. Clear your browser cache if image is not showing.
Of course you can use a wide variety of multi time indicators, here is a quick example.
Click for popup. Clear your browser cache if image is not showing.
Via a RTT combination chart you can mix the RTT Trend Status indicator with CFTC COT data (both types of COT data Legacy and modern).
Click for popup. Clear your browser cache if image is not showing.
NOTE: readtheticker.com does allow users to load objects and text on charts, however some annotations are by a free third party image tool named Paint.net
Investing Quote...
..."I was brutal in self-analysis. He told his sons his conclusions: “Successful trading is always an emotional battle for the speculator, not an intelligent battle.”…He knew that his biggest enemy was his own emotions."...
Jesse Livermore
.."No amount of evidence will ever persuade an idiot"..
Mark Twain
.."The key to making money in stocks is not to get scared out of them"
Peter Lynch
.."It is better to keep your mouth closed and let people think you are a fool than to open it and remove all doubt."..
Mark Twain
Novice Traders trade 5 to 10 times too big. They are taking 5 to 10% risks on a trade they should be taking 1 to 2 percent risks.
Bruce Kovner
Created on: 5/17/2010 8:19:25 PM Last Update: 1/7/2020 5:58:18 PM Posted by: RTT
|
|
We at readtheticker.com hold the view that a mix of stock chart technical analysis, Richard Wyckoff, William Gann and Jim Hurst methods plus market fundamentals allows the investor to formulate a very sound market opinion. These attributes are mutually inclusive and must be weighted equally before investing or trading in any Stock, ETF, Currency, Bond, Commodity, CFD or Mutual Fund
|
|