Investors and the financial media have been excited of late about the S&P 500 crossing above its 200-day moving average:
Harris Private Bank and Morgan Asset Management say the advance may indicate the bear market in U.S. equities that began in October 2007 is over, heralding more gains after a three- month, 39 percent increase. Analysts who base forecasts on price charts consider crossing above a moving average bullish because it shows stocks are rising faster than the long-term trend.…
In two recent posts, ThinkScripter (a great new blog that features studies and strategies coded for the thinkScript language used on the thinkorswim platform) discusses a crossover strategy that Sylvain Vervoort originally published last year in Stocks & Commodities magazine.
The primary components are two “zero-lag” triple exponential moving averages, using as price data: 1) the standard (high+low+close)/3 and 2) the Heikin-Ashi close (Heikin-Ashi is a method used for an alternate type of candlestick chart). Using a period length…
Back during those halcyon days of early and mid-2008, when all anyone wanted to talk about was VIX spikes, the indispensible counter-argument from some of us in the financial blogosphere was that arbitrary absolute VIX numbers are basically meaningless, and that relative context is the thing when it comes to analyzing volatility.
Now that the low-volume summer blahs are (probably) over, maybe we’ll see some genuine premium hitting the options boards for the rest of the year, rather…
Thursday, June 4, 2009
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