Recent research reveals that an ATR-based ranking indicator works better than Volatility-Adjusted ROC. This indicator is called “Normalized ROC” and is part of the TIP Indicator Edge Plugin for StockCharts ACP. Today’s article will introduce the indicator
We are making progress. After a big hiccup on Thursday, I reworked the strategy and will cover the basics in this article. Here are some of the changes. First, the strategy trades stocks in the Russell 1000 to capture more beta. Second, I tightened the volatility filter by requiring the standard deviation to be below 50%. Third, I added price,
Today’s report will dive into the market filter, which is used to define bull and bear markets. Market filters are an important part of trend-following and momentum strategies that trade stocks and stock-based ETFs. The Composite Breadth Model has not worked well over the last 15 months, but this is a relatively short timeframe in the grand scheme
This report updates the strategy that trades the 50 All-Weather ETFs using the Trend Composite for trend status and StochClose for price rank. I am updating this strategy because the Composite Breadth Model turned
Today’s report will update the strategy that trades stock-based ETFs using the Trend Composite for trend status, Volatility-Adjusted ROC200 for momentum ranking and three different exits. I am updating this strategy because the Composite Breadth Model
The weight of the evidence is bearish for stocks. The Composite Breadth Model turned negative on Monday, yield spreads widened significantly over the past week and SPY broke wedge support. Risk for stocks and stock-based ETFs is above average right
Recent events in the banking world jolted stocks. This jolt was enough to push the Composite Breadth Model into negative territory and widen yield spreads. The Regional Bank
This article will provide an update to the Mean-Reversion Strategy for ETFs. The choice for ETF universe influences results so today I would like to test this strategy with the 275 ETFs in the Master
Stocks fell sharply on Tuesday as the market reacted to testimony from Fed Chairman Powell. The Dollar surged and gold fell, but the 20+ Yr Treasury Bond ETF actually advanced on the day. Based on
The S&P 500 SPDR (SPY) fell back to its 200-day SMA in February and then surged with a sharp advance the last few days. This advance triggered breakouts in several ETFs that were featured in last week’s report and video. Today’s report will update these charts and set the
This report is an update for the Trend Composite and StochClose Rank Strategy that trades ETFs in the All-Weather List during bull and bear markets. Examining recent performance and signals can
Stocks corrected throughout February and many ETFs are setting up with pullback patterns taking shape. The S&P 500 SPDR (SPY) is testing its 200-day SMA after a pullback the last four weeks. QQQ broke
February has been a tough month for stocks and the vast majority of ETFs. The S&P 500 peaked on February 2nd and is down around 4.6% the last 16 days. All sector SPDRs are down over this period with
Broad market timing is important because the state of the stock market is the single biggest influence on stocks and stock-based ETFs. The odds are in our favor during bull markets and stacked against us during bear markets.
The weight of the evidence is technically bullish for the stock market, but the bears fired a shot across the bow as SPY and other key ETFs broke short-term support levels. Many ETFs were consolidating with falling flags, falling wedges or
Stocks surged in January and then moved into pullback mode here in February. As such, many ETFs formed falling flags, falling wedges or other short-term corrective patterns over the last three weeks. This includes the big three: SPY, QQQ and IWM. The market is in corrective mode as long as
This article introduces a table to identify oversold setups in ETFs that meet the requirements of the mean-reversion strategy. The current setups are shown at the top for quick and easy access
The weight of the evidence remains bullish for stocks, but rates are rising again and stock market volatility is above average. Rising rates are putting a bid in the Dollar and weighing on gold. Tech, housing and retail related
The weight of the evidence is bullish for stocks. The CBM is positive, SPY broke out of a big falling wedge and QQQ broke double bottom resistance. Short-term, stocks surged in 2023 with the
The stock market moved from a defensive and risk-off bias in 2022 to an offensive and risk-on bias in 2023. Tech, high-beta and consumer discretionary ETFs are leading in 2023 with some of the biggest moves year-to-date. Many became overbought in early
Stocks advanced from late December to early February with the S&P 500 SPDR (SPY) gaining over 10% from low to high. SPY then pulled back last week with a 2.5% decline from the