davesaint86
725 posts
msg #90407
- Ignore davesaint86 |
3/26/2010 11:26:29 AM
I'm need help with a filter that can do the following:
http://www.swing-trading-club.com/pivot-high-calc-tutorial_pms.htm
I'm looking for a filter to:
Get 20-Day Average Range of Stock (High - Low)
A Pivot High Day is preceded by 4 lower highs and followed by at least 1 lower high. These price bar patterns typically signal a price reversal to the downside and are usually the TOP of the short term swing cycle.
The Pivot-High-Calculator will find the latest Pivot High on the daily chart (within the last 10 days) and then calculate 2 buy-and-hold entry points for an dollar-cost-averaging accumulation plan for your favorite stock.
As the Pivot High days tend to mark the Swing High days in the short term cycle, the pivot high calculator is also useful in locating potential shorting candidates over a short term (3-5 day) time horizon if the Pivot High Day just occured.
Get 20-Day Average Range of Stock (High - Low)
Find the Price + Date of the Last Pivot High Day
Subtract (20-Day Average Range X 2.5) from Pivot High
Subtract (20-Day Average Range X 4.0) from Pivot High
The 2 Accumulation Buy Points are computed based on a formula which uses each stocks individual Average Range over the previous 20-Day Period. The Pivot High Calculator automatically gets a stocks data off the internet and computes this 20-Day average for you correctly saving you LOTS of time. The program then finds the last Pivot High Price and then uses a formula subtracting 2.5 times the 20-Day Average range and 4 times the 20-Day Average range from the recent PIVOT HIGH price. The great thing about this formula is that it is dynamic to each individual stock and also factors in that stocks recent price ranges.
The pivot high calcultor locates the pivot high day and then computes your accumulation entries lower in the cycle. This takes the quesswork out of the investment process and where you should add to your positions. This keeps you from buying in to high in the cycles and helps you build a better average cost price for your long term position.
Before you begin any Dollar-Cost-Averaging Accumulation Plan on a stock you think will will RECOVER in the future, you should wait for two very important Macro Technical Signals off the WEEKLY CHART. This will help you prevent initiating the investment process prematurely. Make sure that your stock is trading ABOVE its own 30-Week simple moving average and that it has cleared the MAJOR DOWNWARD OVERHEAD RESISTANCE LINE before you switch to the daily timeframe to start using the Pivot High Calculator.
Dollar-Cost-Averaging Accumulation Plan Purchasing Stocks - Rules
he Investment Stock Recovery Process can be summerized in the following 4 statements.
1.) Know when to start using the Weekly Macro Techincal Confirmation.
2.) Use a go slow Dollar Cost Average process to feed money into your stock vs. lump summing your position all at once. The Pivot-High Calculator helps you compute the best entry prices.
3.) Know when a recovery stock is not performing and when you should consider pulling the plug on the position.
4.) Diversify your stock porfolio across several stocks (3-5 is ideal) in order to increase your odds of being in stocks that perform as well as to reduce the risk that any individual stock has on your entire portfolio should there be a adverse price move against you.
Only continue your Dollar Cost Averaging Investiment Strategy as long as the stock is above the sloping 30-Week Moving Average.
Cut your Position in Half by Placing a 3.0% Stop Loss Below the 30-Week SMA. (On a 7% drop below the 30-Week you should consider closing out the remainder fo your positions)
Thanks,
Dave
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davesaint86
725 posts
msg #90435
- Ignore davesaint86
modified |
3/26/2010 4:20:57 PM
This filter needs some work. It's suppose find the latest Pivot High on the daily chart (within the last 10 days) and then calculate 2 buy-and-hold entry points for an dollar-cost-averaging accumulation plan for your favorite stock. There was a pivot high of 4.79 within the last 10 days and then the pivot low was 4.30 within the last 10 days since then there has been a new pivot high of 4.61 on 3/25/10. I do not know how to calculate the discrepency to look at the high 10 day high and low 10 day low and then to see if there has been a new confirmed high since the last 10 day confirmed low.
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chetron
2,817 posts
msg #90436
- Ignore chetron |
3/26/2010 5:14:42 PM
10 day high...
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