From the Editor’s Desk
Last month’s newsletter included an article by William Sarubbi, MBA, CMT entitled, “First-ofthe-Month Bias Continued.” This short research piece updated some work originally done by Arthur Merrill, CMT. Shortly after that issue was sent to the publisher, Arthur Merrill passed away. We are fortunate that he left us with a lifetime of work to update, and due to the statistical rigor he applied to indicators, we should expect to find that his work is just as valid today as it was when he undertook his efforts.
In this month’s newsletter, we present some insight to the great life Arthur lived. Next month, we hope to be able to publish a very small amount of his original work. Arthur tested more ideas than most of us will have in our lifetimes. Robert Colby, CMT, is an authority on indicators, having written an extremely detailed book on the subject, The Encyclopedia of Technical Market Indicators. In that book, Arthur Merrill is cited 23 times in the index, more than twice as often as any other individual, and second only to Ned Davis Research, an entire company dedicated to market research.
We also have a summary of the recent brainstorming session in San Diego and a biography of Garfield Drew along with examples of several indicators and their applications to the stock market. We hope you enjoy this issue.
Mike Carr, CMT
Technically Speaking Editor
What an Honourby Jordan Kotick, CMT
Talk about market timing. To be able to address you as President in my first column when the MTA and the CMT are literally on the dawn of a new professional era, well, it is indeed an honour. There...
Mission Accomplishedby John R. Kirby
I hesitate to use that headline because of the obvious political overtones. But I cannot think of more appropriate words to describe what the MTA has done or a group that is more deserving of this...
Two Tributes to Arthur Merrill, CMT (1906-2005)by Arthur Merrill, CMT & Robert Prechter, CMT & John R. McGinley, CMT & Barbara I. Gomperts
Bob Prechter, CMT, summed up the life of this great man in a poignant memory: “Arthur Merrill, a pioneer of technical analysis, died on January 4, 2005 at the age of 98. I will always be grateful...
“Information Memo New York Stock Exchange, Inc. 20 Broad Street New York, NY 10005 Member Firm Regulation Number 05-9 January 31, 2005
SUBJECT: RULE 344 – RESEARCH ANALYST QUALIFICATION EXAMINATION (“SERIES 86/87”) FOR TECHNICAL RESEARCH ANALYSTS The New York Stock Exchange has submitted a rule filing with the Securities...
Garfield Albee Drewby George A. Schade, Jr., CMT
“Simplicity or singleness of approach is a greatly under-estimated factor of market success.” “Stocks don’t sell for what they are worth, but for what people think they are worth.” –...
Garfield Drew on Odd Lot Indicators
Drew disagreed with the popular misconception, highlighted by the media, that odd lot investors were “always wrong.” He advocated a deeper analysis: Odd-lot trading represents speculative...
The Rate of Change (ROC) Indicatorby Michael Carr, CMT
The Rate of Change (ROC) indicator calculates the difference between the current price and the price at some point in the past. The difference is usually expressed as a percentage. ROC is commonly...
Snowbound in San Diego with the MTAby Barry M. Sine, CFA, CMT
Over the weekend of January 21-23 the MTA hosted it first annual mid-winter retreat in warm and sunny San Diego, CA. Our timing was perfect as the worst blizzard of the century was pummeling the East...
Frequently Asked Questions (FAQ) of the Chartered Market Technician (CMTSM) Program
These Frequently Asked Questions include information about the CMT exams and program, as well as study advice for all levels, grading information, etc. Please let us know if there is a FAQ that you...
As of January 31, 2005 there are 342 people who have received the CMT designation. Of this number, 47 have both the CFA and CMT designations. These numbers are not a misprint. There was an article...
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