Blog Pollby Danny on May 15th, 2008 at 3:53:47 pm |
I am trying to figure out what I can do to help you all more. I have a lot of resources at my disposal, some of which are pretty basic and I pay for, like generic briefing.com news, while others I developed over many months and countless hours of study. I use Blocks 3.0 to do some pretty complicated and awesome shit.
I know some of you are interested in the iBC machine, a proprietary breadth and momentum monitor, approved by Fly, Shed, and Rage. I have gone back to the 1980s and the iBC is amazingly accurate at foretelling (as in, before the fact, not after the huge drop) changes in market sentiment. It does this by measuring a variety of count-based indicators, which are comparably over time, unlike MACD and RSI. This can be used to time trading on a day to day basis, month to month, or for longer term investors, quarter to quarter.
I find it indispensable in my trading and in my timing. After all, timing is everything. Just ask the plane girl. Or the sellings of BSC on March 12th.
Aside from using the machine for general market timing purposes, I use 20% of my capital to trade its signals, at the extreme. I haven’t executed any trades in that account since I’ve been back, but the 1 month return prior to my trip was 8% net of all fees. The only instrument I bought or sold was the SSO. So, I’ve put my money where my mouth is, and I believe strongly in the machine.
I want to make the machine an indispensable part of your trading day, much in the same way it is critical to mine. I plan on doing a daily column, but thought I may as well ask about some other ideas I have to improve your trading life. The iBC machine update before the close will help you buy or sell before the fact. Sometimes, if you wait until the next day, the market has already gapped. Or, I could do both. An end of the day “here’s where we stand,” along with more detailed analysis nightly about the relationships or changes taking place.
Please vote and let me know how I can best focus my efforts to add to the quality of the blog. You can vote for more than one thing.
Danny - just wanted to thank you (and all the tabbed bloggers and Fly) for all the work you do and everything you share with the readers. Y’all work hard and I appreciate it.
All right, don’t be thinking I’m gonna be sappy every day. That is all.
May 15th, 2008 at 7:41:12 pmI second that, thanks for making my day much less boring.
May 15th, 2008 at 7:47:44 pmMany thanks for you willingness to share, maybe this will help the Fly too. I look forward to your commentary and advice. Ok, that’s enough small talk, speaking about da plane, when are you gonna post some photos from the Mile Hi club?
May 15th, 2008 at 8:05:46 pmthanks for the comments. Egregiously, my digital camera was out of batteries on the plane. But when she comes down, I will take a picture of her.
May 15th, 2008 at 8:28:42 pmdanks!
May 15th, 2008 at 9:31:10 pmI voted for “up big” and “strong.” I’m also a big fan of high % volume movers that are also close to the highs… not sure if your machine can do that.
-DT
May 15th, 2008 at 10:36:28 pmyes it can. the machine is programmable, I simply have to code it in. anything more specific?
like 2x volume minimum, up x% minimum, within 10% of all time high (or 52 week high).
I could create a custom DT scan.
May 15th, 2008 at 10:52:32 pmYeah, within 10% of all time high would be great. I don’t care so much about absolute volume… more that it’s increasing from its recent average.
I think you need to name the “machine,” BTW. Kind of like HAL from that Kubrick flick…
Thanks.
-DT
May 16th, 2008 at 4:58:05 pmDT, check out the research at ibdindex.blogspot.com
His tests show that volume alone can be an important entry trigger.
May 16th, 2008 at 5:04:47 pm