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Technical Analysis
#1
I been using Amibroker for my Technical Analysis to check when to buy and sell for a  few yrs, but I have a tendency to bounce around from signal to signal looking for the Holy Grail (still looking). I been trying to do the KSS principle with under 5 signals any more seem to be over kill (redundancy) .

So far I been using the following Five
MACD - Signal line need to cross - If below zero watch if above 0 buy
Bottom Pearls  ( (http://www.wisestocktrader.com/indicator...tom-pearls)
Smoothed RSI ( http://www.wisestocktrader.com/indicator...mental-rsi)
ADX (mainly if the D+ is greater then D-)
Finite Volume Element Indicator (http://www.wisestocktrader.com/indicator...-indicator)

I Seems three signal is only is needed. Trending, Short term oscillator and volume idicator. Missing any other group?

What main signals do you use?
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#2
The signals I use come from my portfolio business plan. For the non-speculative portion of the portfolio:
  • Stocks must pay a dividend and should have been paid at a higher annual rate for more than 5 years. Use the CCC list as a primary source for investment ideas.
  • The P/E ratio for the trailing 4 quarters should not exceed 20. Additionally, it is preferable that the P/E ratio be less than or equal to the average P/E over the last 5 years. No more than 1 outlier may be excluded when calculating the average P/E. Be aware of non-cash charges to earnings when calculating the trailing 4 quarters earnings. These could be impairment charges or discontinued operations where little or no cash is involved with the expense. Add the non-cash charges back to reported GAAP earnings to get a better picture of profitability.
  • Dividend yield at time of investment > 2.5% or 125% of the S&P 500 yield (whichever is higher). This excludes the Special Situation portion mentioned in the Tactics section.
  • Dividend growth rate > 4% for the lesser of the 3, 5 or 10 year periods. Using the lowest rate of the three time frames should be a conservative estimate of future dividend growth.
  • Payout ratio < 70% of free cash flow (EPS + depreciation – capital expenditures) for public corporations. For some investments, such as REITs and MLPs, a higher payout ratio may be allowed provided other financial factors are deemed adequate.
  • Current ratio should be > 1.0 and the higher the better. Some companies have operated for years with a current ratio less than 1.0. This should be taken into account when analyzing a company's finances. Investigate cash flow, free cash flow and interest coverage to ensure the company can pay its bills and the dividend.
  • Earnings Per Share (EPS), or Funds From Operations (FFO) in a REIT, increasing at a Compound Annual Growth Rate (CAGR) > 3% over the last 5 years.
  • Debt/Total Capitalization < 50%. Utilities, REITs and MLPs may exceed this due to the nature of the business. In this case, Debt/Total Capitalization can be up to 100% but do investigate debt maturity dates to ensure they're spread out over the long term.
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How do they get the deer to cross at that yellow road sign?

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#3
(11-06-2016, 08:16 PM)Dividend Watcher Wrote: The signals I use come from my portfolio business plan. For the non-speculative portion of the portfolio:
  • Stocks must pay a dividend and should have been paid at a higher annual rate for more than 5 years. Use the CCC list as a primary source for investment ideas.
  • The P/E ratio for the trailing 4 quarters should not exceed 20. Additionally, it is preferable that the P/E ratio be less than or equal to the average P/E over the last 5 years. No more than 1 outlier may be excluded when calculating the average P/E. Be aware of non-cash charges to earnings when calculating the trailing 4 quarters earnings. These could be impairment charges or discontinued operations where little or no cash is involved with the expense. Add the non-cash charges back to reported GAAP earnings to get a better picture of profitability.
  • Dividend yield at time of investment > 2.5% or 125% of the S&P 500 yield (whichever is higher). This excludes the Special Situation portion mentioned in the Tactics section.
  • Dividend growth rate > 4% for the lesser of the 3, 5 or 10 year periods. Using the lowest rate of the three time frames should be a conservative estimate of future dividend growth.
  • Payout ratio < 70% of free cash flow (EPS + depreciation – capital expenditures) for public corporations. For some investments, such as REITs and MLPs, a higher payout ratio may be allowed provided other financial factors are deemed adequate.
  • Current ratio should be > 1.0 and the higher the better. Some companies have operated for years with a current ratio less than 1.0. This should be taken into account when analyzing a company's finances. Investigate cash flow, free cash flow and interest coverage to ensure the company can pay its bills and the dividend.
  • Earnings Per Share (EPS), or Funds From Operations (FFO) in a REIT, increasing at a Compound Annual Growth Rate (CAGR) > 3% over the last 5 years.
  • Debt/Total Capitalization < 50%. Utilities, REITs and MLPs may exceed this due to the nature of the business. In this case, Debt/Total Capitalization can be up to 100% but do investigate debt maturity dates to ensure they're spread out over the long term.

The above info is great, but my question is once you have a buy list what Technical Analysis (TA) signals do you use to make the purchase? Or do you just buy no mater what the charts looks like?
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#4
When I have the cash available, I usually put in a limit order just a little below where it's been trading at and wait. I don't have any interest in technical analysis as I don't intend to trade around a position.
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How do they get the deer to cross at that yellow road sign?

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#5
(11-07-2016, 10:34 AM)KTMarty Wrote: The above info is great, but my question is once you have a buy list what Technical Analysis (TA) signals do you use to make the purchase? Or do you just buy no mater what the charts looks like?

From my buy list, I buy ones that are trading lower than their average.  For example, today CVS is opening at $70/share, but it's 52-week low is $83.  That's my technical analysis.  Getting the fundamental analysis (buy list) right is more important to me, though, since I want to hold my companies forever and not rely on selling them.
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#6
TA is all voodoo to me. Are you associated with wisestocktrader, Marty?
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#7
I don't believe TA is at all accurate.
Fundamentals are the only sound reasons to buy a stock/
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#8
(11-08-2016, 09:50 AM)Kerim Wrote: TA is all voodoo to me. Are you associated with wisestocktrader, Marty?

No at all. I been using Amibroker for a long time and wisetocktrader is just good place to find signals for the program.
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