Using Oz Scans
- Thread starter jem
- Start date
Thanks. In your book "How to take money from Wall St" you also mention that the stocks in your bottom fisher scans must meet additional screening criteria like average daily volume and trading range. Whats the average daily volume and trading range that stocks must meet for bottom fisher scan ? And do these same criteria (avge daily volume and trading range) apply
to your other scans as well ? Thanks for a great book. I like the
way you keep thoings simple and don't go into 500 arcane technical indicators.
to your other scans as well ? Thanks for a great book. I like the
way you keep thoings simple and don't go into 500 arcane technical indicators.
The average volume constatntly changes to reflect current market conditions. The same is true for all the scans. The Oz Scanner compares every minute to every minute. RealTick has in its database the volume for every minute of the day. We then apply if volume is greater than x.x% of average volume for this time of day then please alert. Then we add filters to filter out noise and we weigh certain multiplier for every minute of the day. Scans can be used any time of the day. Open and close are very active. Anyhow, the key element is to figure out the formula for "on pace" to trade X number of shares or more today. I hope this helps.
Glad you found the book valuable.
Trade Smart!
Tony
Glad you found the book valuable.
Trade Smart!
Tony
I'm sure that the scans have a positive bias, or why would one use them "rather than a blind date". Backtesting would show what this bias is.
JJ
JJ
long XLNX 9:52 AM
Entry 39.90
Stop 40.64
Target 40.64 (High on 4/23)
When I took this trade I was not aware that the r/r was less that 3:1. Sometimes I have to guesstimate the r/r because things are busy. I'm not sure, but I may have moved my stop up too quickly and not have given it enough wiggle room. I got stopped out at 39.88 at 10:16 AM.
Long AMGN 10:50 AM
Entry 50.69
Target 51.82 (Just below the 20 day MA)
Stop 50.55
I really liked this puppy because it was trending up at a nice slope. I wish that I had gotten my entry a little earlier. It reached its 51.48 high and then traded between 51.20 and 51.40. I bailed when it broke below 51.20 at 51.15. I should have had an automated stop set. Every nickel counts. Other than that, I think I traded well on this one!
Mike
Entry 39.90
Stop 40.64
Target 40.64 (High on 4/23)
When I took this trade I was not aware that the r/r was less that 3:1. Sometimes I have to guesstimate the r/r because things are busy. I'm not sure, but I may have moved my stop up too quickly and not have given it enough wiggle room. I got stopped out at 39.88 at 10:16 AM.
Long AMGN 10:50 AM
Entry 50.69
Target 51.82 (Just below the 20 day MA)
Stop 50.55
I really liked this puppy because it was trending up at a nice slope. I wish that I had gotten my entry a little earlier. It reached its 51.48 high and then traded between 51.20 and 51.40. I bailed when it broke below 51.20 at 51.15. I should have had an automated stop set. Every nickel counts. Other than that, I think I traded well on this one!
Mike
The original version was developed in the late 80's. It was not a real-time scan like it is today, but me looking at stocks which traded down three days in a row or more and look for them to have a first up day. No computer was used. I did it all by hand. It is amazing how easy computers and software have made things.
The same is true for my other scans where I would have a list of 25-100 stocks and have a number of shares breakdown for them and then I calculated the "on pace" to trade higher than average volume every five minutes to confirm technical moves. Again it was all done by hand.
In the early 90's my soul-mate (who later became my wife) sat with me every night and we "scanned" the newspaper with our own eyes to find new candidates for the master population list. This process will take as long as four hours every night as we sat with a ruler and studied the stock tables in detail. This was the way we collected data which I wrote into tables (drawn with pencil on graph paper). Then, I will look at the trading activity in real-time to determine if an alert will trigger.
Can you say labor intensive. I will never take computers for granted again
Tony
The same is true for my other scans where I would have a list of 25-100 stocks and have a number of shares breakdown for them and then I calculated the "on pace" to trade higher than average volume every five minutes to confirm technical moves. Again it was all done by hand.
In the early 90's my soul-mate (who later became my wife) sat with me every night and we "scanned" the newspaper with our own eyes to find new candidates for the master population list. This process will take as long as four hours every night as we sat with a ruler and studied the stock tables in detail. This was the way we collected data which I wrote into tables (drawn with pencil on graph paper). Then, I will look at the trading activity in real-time to determine if an alert will trigger.
Can you say labor intensive. I will never take computers for granted again
Tony