Spydertrader's Jack Hershey Equities Journal II

qed · Sep 19, 2006

Actually, I little higher than that today based on Price and Indicators settings (See Attached Chart). However, I did not trade GROW today, so these observations occur in hindsight.

I'm not sure if I have the right inputs in my charting program because my %K slow and fast are higher than yours at 64 and 75. The graphs of the my stoichastic indicator looks more jagged also. I am using Tradestation and these are the input choices that I am given. Am I doing something wrong? Any advice would be appreciated.

Stoichastic Slow Stoichastic Fast

PriceH High High
PriceL Low Low
PriceC Close Close
Stoichastic Length 14 5
SmoothingLength 1 2
SmoothingLength 3 3
SmoothingType 1 1
Oversold 20 20
Overbought 80 80

Spydertrader · Sep 20, 2006

Quote from qed:

Any advice would be appreciated.

I don't use Tradestation, but you might try altering the smoothing length to see if doing so alters your indicators.

- Spydertrader

Goinglite · Sep 20, 2006

Quote from qed:

Actually, I little higher than that today based on Price and Indicators settings (See Attached Chart). However, I did not trade GROW today, so these observations occur in hindsight.

I'm not sure if I have the right inputs in my charting program because my %K slow and fast are higher than yours at 64 and 75. The graphs of the my stoichastic indicator looks more jagged also. I am using Tradestation and these are the input choices that I am given. Am I doing something wrong? Any advice would be appreciated.

Stoichastic Slow Stoichastic Fast

PriceH High High
PriceL Low Low
PriceC Close Close
Stoichastic Length 14 5
SmoothingLength 1 2
SmoothingLength 3 3
SmoothingType 1 1
Oversold 20 20
Overbought 80 80

Shouldn't the data point on the Stoch be set at "close" instead of "HLC"?

Goinglite

russ43 · Sep 20, 2006

Hey Spyder

How did DTLK make your list?, I am learning the Hershey method with stocktables.com, sorting by vol % chg, eps, rs, $10-$50 and DTLK was to far down the list to be one of the group of ten 7's and to far up to be one of the group of ten 0's. Do you scan all the stocks that stocktables generate or are you adjusting eps and rs for a smaller list?

ulmer · Sep 20, 2006

Spyder,

I have 2 questions:

A. Shouldn't "ALY" be included into FU? I use Yahoo data source.
B. Have you considered to use 75% quartile to calculate DU. I don't know the theory behind your DU calculation, but I do a lot of statistic in my daily job. When data have large spread and the spread is asymetric, using median-25% quartile-75%quartile work better in most cases.

I am still doing my homework on charts.

stevegee58 · Sep 20, 2006

Quote from ulmer:

A. Shouldn't "ALY" be included into FU? I use Yahoo data source.

Strictly speaking, ALY should be in the FU based on its standings in the stocktables rankings and its wealth-lab ranking. But ALY trades on AMEX, which spydertrader doesn't like.

Spydertrader, could you comment on this? You've referred to AMEX as "crooks" etc but specificially, what bad things could happen if I traded there?

Spydertrader · Sep 20, 2006

Quote from russ43:

Hey Spyder

How did DTLK make your list?

As you continue to read through the posts in Journal One, you'll arrive at the point in time where I altered (ever so slightly) the methods with respect to creating three lists. At that time, you'll understand perfectly how DTLK made the list.

Quote from ulmer:

A. Shouldn't "ALY" be included into FU? I use Yahoo data source.

Yes, technically, ALY should make it in. However, as Steveegee pointed out, I no longer trade AMEX stocks. As ALY trades on the AMEX exchange, and I no longer add AMEX stocks to the Final Universe, ALY (and SIM as well) didn't make it into my list of stocks to trade.

Quote from ulmer:

B. Have you considered to use 75% quartile to calculate DU. I don't know the theory behind your DU calculation, but I do a lot of statistic in my daily job. When data have large spread and the spread is asymetric, using median-25% quartile-75%quartile work better in most cases.

I stopped trying to 'tweak' DU Calculations long ago. Intermediate and Advanced level Traders enter into positions at various points along an equity's natural cycle. Since Dry Up only accounts for a small portion of the Natural Cycle, it simply makes better sense (from a return on time invested standpoint) to focus on the entire methodology, rather than, a single component.

Quote from stevegee58:

Spydertrader, could you comment on this? You've referred to AMEX as "crooks" etc but specifically, what bad things could happen if I traded there?

In my experience, The AMEX has had a history of manipulating the Bid / Ask Spread irrespective of volume levels or trading environment. In short, this behavior appeared time and time again when I traded AMEX listed equities. Not wanting to deal with the hassle of dealing with these crooks, I simply voted with my feet, and trade elsewhere. Of course, Your Mileage may vary.

- Spydertrader

Spydertrader · Sep 20, 2006

Just a friendly reminder about the FOMC today at 2:15 PM Eastern Time.

- Spydertrader

stevegee58 · Sep 20, 2006

Spyder, you're not leaving us for another woman whose initials are "ES" are you?

Spydertrader · Sep 20, 2006

Quote from stevegee58:

Spyder, you're not leaving us for another woman whose initials are "ES" are you?

No. LOL. I normally don't trade any equities on FOMC days. On the other hand, ES performs spectacularly on FOMC days. Tomorrow, I look forward to returning to the world of Equities once again.

- Spydertrader