Crude oil price as this morning on March 10, 2022, around 9:00 A.M. EST.

 Beware of AI or the so called artificial intelligence trading software solutions. While such claims are based in certain amount of criteria, not so well trained investors can fail to win or can fall on a big trap.

In the example below, MULN is a stock that Yesterday showed some move but failed to reach the $2.00 mark, then went down today, back to less than a $1.00. Lets see what happens on out chart above. We can notice on out indicators, that since the stock was around $11.33, it was a short. So, a big, huge and large run to the down side.

Why the AI or artificial intelligence solutions gave this instrument on its scans? It was because the move. Now, a lot of investors were looking at fancy bells and whistles and at lower time frames, but while looking at the daily chart, we could see the real move. Also, it was happening for a long time, not the move of a day or two.

It was also necessary the implementation of good custom made technical indicators, an even with that, you can see a lower custom made indicator with certain criteria, to make  sure the most important stuff was taken into account. The white arrows shows the ticker symbol and the two days the so called AI software gave regarding the instrument.

There is a big difference when it comes to spend money in expensive and useless software, while some brokers have good solutions, easy to code and adapt to any market conditions, such in the case of the platform ThinkOrSwim.

This blog is not affiliated with any company or vendor or receives any benefits of any of them. Our content is for educational purposes only and not intended as a financial advice of any kind.

 

 

Due to the latest challenges, such as the pandemic, increase in housing costs, lumber, crude oil, war issues, and other not know results, the market has been very active.

So, when it comes to profit from such of a move, it is very important to design a system of technical indicators, that can be very well adapted to fundamentals and the reaction to news and overnight action. Therefore, we have created even our own dedicated time frame in out chart.

Then a carefully design of technical indicator types and settings, specially custom created features, have been deployed, to create a tool or a system of tools that can allow us to grab a big chunk of the profits, regardless of the direction of the market.

Now, you can notice where we have pointed the arrows on the charts, to see the signals, the moves, the difference in price, and the longer moving averages that confirm our trades. A nice historical trace of actions and what is expected in the future, specially when the new signal is born, to take the ride.

We will be watching such of a system on the live futures and stock market, and will even test with Forex too. Very expensive back testing tools and charting platforms are a great toy to play with, but in real time market conditions, those become useless.

Lets see how it goes. For educational purposes only and not intended as a financial advice of any kind.
Thanks for reading and supporting.

 

 

As a bonus post for the readers of this blog, the chart above shows on the prior post or topic, that with a little more of creativity, technical indicators can be used for a better visualization.

As shown, our Charles Schwab intelligent portfolio is plotted as explained on prior post. Then we convert the study as a candles, few other technical indicators to track the trend, and even buy and sell signals. As this is a long term portfolio, we just then use a longer moving average of choice and the signals are used to track how it is performing.

You can follow us at Twitter on @syracusepro.

For educational purposes only and not intended as a financial advice of any kind.


 

 

Analyzing charts for the latest moves on the market or even the unknown, seems to be a very complicated task for some. A good set of technical indicators can lead to at least, a better way to visualize the past, the present and a possible future.

On the daily chart above, we use for a example the fund XLY. We plot a chart of the fund itself, also plot the sum of each of the components of such of a fund, and the relative strengths. To all three of them, we plot a moving average of type and length of choice, that makes a lot of sense.

There is a main idea and a side plate on this. We are making a custom fund, that you can make with the collection of your portfolio holdings, being stock, etf's or the collection of both. So, we will also post the formula or thinkscript code, as we are using the ThinkOrSwim platform for this purpose and vizualization.

There is a lot more on the chart, but the main idea is to show you how you can plot a chart of fund, made of different stock, so you can build your own index or system of choice for your dedicated trading plan.

The formula is as follows, and you can declare it as a lower indicator if you want, but our preference:

plot fund = close("AMZN") + close("TSLA") + close("MCD") + close("NKE") + close("HD") + close("LOW") + close("SBUX") + close("TGT") + close("BKNG") + close("TJX");

Use any stock of choice or as explained above.
For educational purposes only, and not intended as a financial advice of any kind.

 

We are watching the market on the E-Mini S&P 500 index Futures Mar 2022 on a 4 hr chart. There seems to be some resistance at that time frame and levels. A cross over that, will show the bullish push, so the market will continue its recover from a bottom.

For educational purposes only and not intended as a financial advice of any kind.

The S&P 500 behaved today. Now we can notice it is at a resistance point of a WMA 200 and on the Relative Strength, while upending, it is testing its support. With that said, it is easy to notice that the market still strong and in an uptrend, but now it has reached the point of needing another day or so to see what will come up next.

For educational purposes only and not intended as a financial advice of any kind.