Leading and Lagging Indicators

P

PitBull

It would be nice with a conversation about what is leading and what is lagging when it comes to Futures/Stocks/Bonds/Options & Indicators in general...

It sounds like a lot of us daytraders use S&P Futures as a leading indicator. I use it's direction as a part of a setup? If I am going long on a position I want the SP at least to be heading in the same direction. and the opposite if going short. How do you use it?

VIX extremes I find useful sometimes for predicting turnarounds in the markets. Like now for example the VIX is low so ¨it is time to go¨. :p Meaning that a market decline is probably on the way...

The NYSE tick I found good for intraday swings. Extreme values can be valuable for predicting bottoms or tops during the day. Many times I'll find it leading the SP.

Is there someone using bonds for predicting the market? If so, how?

What about other stocks? Is there any leading stocks right now? IBM? GE? INTC? C? sector stocks?

Indicators?

ANY THOUGHTS???

I am very interested in what you have to say about this.

THX
 
I use the XBD idex in lieu of the S and P futures. The Brokerage stocks index seems to me to be a good indication of where the market is heading. I follow the four star General and that seems to be the Brokerage index.
 
INTC has been known to lead the techs, but you can not always hang your hat on it. It works best with stock that have a float of 500M or less. It will not work with something big like CSCO.
 
Yes, it does for floats <500M. This is not what I use but the other poster had it listed. I think it is important to use a leading indicator that you know and have watched for a long time. There is no silver bullet here. I use the E-Mini's for the S&P and Nas 100. But the S&P 500 Futures works and so does QQQ.
 
May you kindly explain what VIX extremes are (indices?) and how to use them, what's their symbols in esignal...

Thanks in advance
 
Originally posted by allesim
May you kindly explain what VIX extremes are (indices?) and how to use them, what's their symbols in esignal...

Thanks in advance
More...

I think you will find VIX in Esignal if you type in $VIX.

VIX is a weighted measure of the implied volatility for 8 OEX put and call options.

You will find a good explanation in stockcharts:
http://stockcharts.com/education/What/IndicatorAnalysis/indic_VIX.html

I hope you will find it useful

Good Trading
 
Originally posted by Jabez1947
Yes, it does for floats <500M. This is not what I use but the other poster had it listed. I think it is important to use a leading indicator that you know and have watched for a long time. There is no silver bullet here. I use the E-Mini's for the S&P and Nas 100. But the S&P 500 Futures works and so does QQQ.
More...

Does it lead for all tech <500M or just the same sector?

ZZ
 
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