For many traders, a market with high volatility means more room for profit. There are many tools for tracking the volatility in the market, and the mass index is one of them. What is this mass index trading strategy? The mass index trading strategy is a popular volatility indicator that measures the range between high…
Cutler’s RSI including backtest The RSI is a very popular trading indicator among different security traders. But there are other variations of the RSI indicator. One of them is Cutler‘s RSI. You may be wondering what it is, and in this article, we provide you with a description and how it performs in backtests. Cutler’s…
Hindenburg Omen Indicator Trading Strategy: how do you use it and what is it? Stock market crashes can wipe out traders’ and investors’ profits or even put them at a huge loss in no time. If you have been in the market long enough, you will know that stock market downturns always happen faster than…
If you are a fan of channel trading techniques, then you will definitely want to know about this old forgotten trading technique that projects potential support and resistance lines known as Andrews Pitchfork. You may be wondering what that is: The Andrews Pitchfork trading strategy is a channel-based analysis technique developed by Dr. Alan Andrews….
There are many technical indicators out there that are not frequently used in everyday trading but can be useful for analyzing previous price actions to easily spot useful patterns and trends. One of such tools is the Zig Zag indicator. The Zig Zag indicator is a basic tool that analysts use to analyze the price…
There are many tools investors use to measure investors’ sentiment in the stock market, but the advance/decline indicator is one of the simplest ones. But what does the advance-decline indicator mean? Often referred to as the advance/decline index or advance/decline (AD) line, the advance-decline indicator is a market breadth indicator that plots the cumulative difference…
The Chaikin Oscillator Indicator was developed by Marc Chaikin in the 1980s. It’s not widely used nor well-known, perhaps for good reasons: we didn’t manage to find any significant profitable Chaikin Oscillator Trading Strategy in any of the quantified tests we did. In this article, we briefly explain what the indicator is, how it’s calculated, and…
The stochastic indicator is a standard indicator in any trading platform, but we rarely see it published or used in any Stochastic trading strategies. Compared to the RSI, stochastics seems much less popular. Is that because it’s less useful, or is this a hidden gem? The stochastic indicator does work in a stochastic trading strategy….
WilliamsVixFix indicator was invented back in 2007 when the well-known trader and “indicator innovator” Larry Williams wrote an article in Active Trader about VIX and how you can create your synthetic VIX for any security you like. The aim of Williams was to create a “synthetic” VIX reading for other instruments than the S&P 500,…
In a series of articles, we want to test different indicators and trading techniques. Almost all indicators are “proved” by anecdotal evidence, and rarely quantified. That’s perhaps not a coincidence: Most of them are useless and do not have any predictive value. We backtest some Elder Ray strategies and Our aim is to figure out…
