LETTER FROM THE EDITOR
We open this month’s newsletter with a preview of the Annual Symposium. Larry Williams updates the idea of cycles in this article and presented insights into his
latest work when he spoke in New York. Also at the Symposium, Larry’s son, Dr. Jason Williams, offered insights into the minds of winning traders. We will offer summaries of the presentations in future issues and many presentations will be online, ensuring all members can access this information even if their schedule didn’t permit them to travel to the event.
We have been celebrating the 40th anniversary of the MTA with a look at its history. No review of the history of technical analysis and the MTA would be complete without a look at the work of Arthur Merrill, CMT. Hewas among the first to publish studies of various market behaviors, like seasonal tendencies in the stock market such as the end-of-month effect. In this issue of Technically Speaking we are reprinting his study of M & W patterns from a 1980 issue of the MTA Journal. Few analysts could duplicate this study today using readily available charting software. Arthur worked with a programmable calcualator, “it was designed for [the] T159 programmable calculator, and had 476 instructions,” and chart paper. Other examples of his work can be found in the Journal archives available on the MTA web site.
We also include some analysis of the current market. Keene Little, CMT, combines Gann with Elliott with other techniques in his work. Jonathan Beck takes an equally innovative approach. Both rely on techniques included in the diverse Body of Knowledge of technical analysis. Please let us know what you consider to be the most important topics in the field by emailing us at firstname.lastname@example.org.
LESSONS IN CHART READINGby Larry Williams
When I talk about cycles people usually think about time… perhaps a four year cycle, two year or even the decennial cycle. What I will be showing you are cycles about price…not time. That’s...
FOUR TECHNIQUES, ONE CONCLUSION ON THE MARKET TRENDby Keene Little
Editor’s note: this analysis was prepared after the close on March 28, 2013. They finally did it — they managed to get the SPX to close above its 2007 closing high (October 9th at 1565.15),...
THE TRADING METHODOLOGIES OF W.D. GANNby Hima Reddy & Keene Little
As any trader knows, to trade successfully there need to be clear trading rules to follow. Hima Reddy’s book The Trading Methodologies of W.D. Gann does a very good job of showing the trading...
HAVE GOLD MINING STOCKS BOTTOMED? A VERY BRIEF LOOK AT THE MARKET VECTORS GOLD MINERS ETF (GDX)by Jonathan Beck
Note: This report was originally prepared in early March and was updated at the end of the month with this observation: As I mentioned in my March 7th 2013 report on Gold and Gold Miners, GDX may...
M&W WAVE PATTERNSby Arthur Merrill, CMT
This was originally published in issue 7 of the MTA Journal in February 1980. Aim: Consider the zigzag movements of stock prices, ignoring minor fluctuations. Pick any five consecutive turning...
INTERVIEW WITH MUKUL PAL, CMTby Mukul Pal & Amber Hestla-Barnhart
Editor’s note: Several editorial errors were made in last month’s issue when we originally included this interview. I apologize for those errors and this month we present the answers Mukul Pal...
HOW STATIONARY IS MY ECONOMIC NORTH STAR? THE STUDY OF DRIFT IN ECONOMIC BENCHMARKSby Wells Fargo Securities, LLC. Economics Group
Editor’s note: In his interview, Mukul Pal mentioned that his firm combines statistical stationarity to generate performance cycles. He applies this technique to find cycles that are nested...
New Educational Content This Month
November 22, 2023
Utilizing Trend & Mean Reversion in Breadth Studies to Gauge Market Conditions
Presenter(s): Victor Riesco
November 18, 2023
Beating the Bench
Presenter(s): Scott Brown, CMT
October 25, 2023
Equity Risk & Potential – Q4, ’24 & Beyond
Presenter(s): Timothy Hayes, CMT