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Technically Speaking, May 2015

LETTER FROM THE EDITOR

Ethics is the lead story in this month’s magazine. The MTA is adopting a large body of knowledge related to all areas of finance through a licensing agreement with the CFA Institute. All finance professionals, whether they analyze fundamental, quantitative or technical data, share common goals (finding profitable opportunities) and share a common operating environment. Given all of the commonalities, it’s not surprising we share the same ethical requirements. This new body of knowledge will not require members of the MTA to change anything they do professionally. The original MTA Code of Ethics was comprehensive and covered all of the important standards of professional behavior. The shortcoming was a lack of case studies and examples of how to apply the Code. This licensing agreement makes all of the CFAI’s Code and Standards developed over several decades available to MTA members. For CMT candidates, this licensing agreement provides clear readings which will make studying for the exam a more efficient process. In short, there are no changes required of MTA members to meet the requirements of the new Code and Standards.

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

What's Inside...

ETHICS

by Craig W. Johnson, CMT, CFA

A Code of Ethics is one of the minimum requirements of a profession. Since its founding in 1974, MTA members have been required to adhere to a comprehensive Code of Ethics. The Code consists of a...

CMT TEST TO INCLUDE NEW ETHICS STUDY MATERIAL - WITH SAMPLE ETHICS QUESTIONS

One of the advantages of the MTA’s licensing agreement with the CFA Institute is the ability to provide detailed study material for the CMT exam. Clear examples for all parts of the Code and...

IN MEMORIAM: JIM BIRMINGHAM

Long-time MTA member James G. Birmingham passed away on April 18, 2015 at the age of 84. Jim has been a member of the MTA since 1974. Two of the defining characteristics of Jim’s life were his...

9 MISTAKES QUANTS MAKE THAT CAUSE BACKTESTS TO LIE

by Tucker Balch, Ph.D.

Editor’s note: Tucker Balch was one of the presenters at the 2014 Annual Symposium. That presentation can be viewed in the Symposium archives. This was originally posted at The Augmented Trader...

THIRTY TOMORROWS BY MILTON ERZATI

by Michael Carr, CMT & Milton Ezrati

Editor’s note: Milton Erzati was one of the presenters at the recent Annual Symposium. His presentation included some of the information in his book which is reviewed here. Thirty Tomorrows starts...

20 YEARS PUBLISHING THIS NEWSLETTER

by Tom McClellan

Editor’s note: longevity is rare in the investment newsletter business. It’s certainly not unheard of but it is rare. Tom McClellan has been publishing The McClellan Market Report for 20 years...

AI, MACHINE LEARNING, DATA MINING, AND BIG DATA- HOW DO THEY APPLY TO TRADING?

by Justin Cahoon

Editor’s note: this was originally posted at Inovancetech.com and is reprinted her with permission. Inovancetech is offering the free use of an algorithmic trading platform to MTA...

CANADIAN DOLLAR OUTLOOK BRIGHTENS, CHAMELEON OSCILLATOR SUGGESTS

by Alex Cole

Editor’s note: The Chameleon Oscillator was detailed in the April 23 issue of Bloomberg Brief: Technical Strategies. This article is an extract of that article. In Bloomberg Brief: Technical...

KASE ON TECHNICAL ANALYSIS + ONLINE VIDEO COURSE

by Cynthia A. Kase, CMT, MFTA & Michael Carr, CMT

We all learn the basics of technical analysts differently. Some of us read the classics and think about how those ideas still apply to the current markets. Some of us find mentors who explain the...

MAPPING THE ACTIVE STRATEGY UNIVERSE

by Dave Walton

Editor’s note: this article was originally published in Proactive Advisor Magazine and is reprinted here with permission. A view into how professional strategists might classify active...

21ST CENTURY POINT AND FIGURE BY JEREMY DU PLESSIS, CMT, FSTA

by Jeremy du Plessis, CMT, FSTA & Michael Carr, CMT

Point and Figure (P&F) is one of the oldest tools of technical analysis. It’s been used since at least the 1880s yet the technique works just as well today as it did 130 years ago. The basics...

MICKEY MANTLE STRIKES OUT, THEN HITS A HOMER

by Dr. Bryan Taylor

A previous blog discussed Wilt Chamberlain’s unsuccessful attempt at following up on his successful basketball career with a successful IPO. Wilt Chamberlain wasn’t the only sports star to go...

ETF SECTOR ROTATION

by Cesar Alvarez

Editor’s note: This was recently published at Alvarez Quant Trading and is reprinted here with permission. A spreadsheet with the complete results of this strategy is available at the web site. My...

A "SHEER MISERY" MARKET DEFINED

by Dave Moenning

Editor’s note: this article was originally published by the National Association of Active Investment Managers and is reprinted here with permission. I was recently named Chief Investment Officer...

THE MARKETS CONTINUE TO CONSOLIDATE THE BULLS SHOULD WIN THE BATTLE IN THE SECOND QUARTER

by Ron Meisels

Editor’s note: this was published in late-April and is presented as an example of long-term technical analysis. Two weeks ago our Market Comment summarized the big picture for the 2009-2015 bull...

SELL IN MAY AND GO AWAY?

by David Pieper

Editor’s note: This was published by Intalus at their educational blog. The code for implementing this strategy in Tradesignal is available by clicking here. HOW TO PROFIT FROM SEASONAL...

TECHNICAL ANALYSIS IN ACADEMIA

by Michael Carr, CMT

Technical analysis has been used by traders for centuries. But it has only been taught as a for-credit course at universities since 1996. In that year, the MTA Educational Foundation partnered with...

CHART OF THE MONTH: THE VIX FIX

by Amber Hestla-Barnhart

In this year’s Charles H. Dow Award paper, I described how the VIX Fix indicator could be applied as a trading strategy.  The VIX Fix is an indicator developed by the 2014 MTA Annual Award...

ETHICS

ETHICS

A Code of Ethics is one of the minimum requirements of a profession. Since its founding in 1974, MTA members have been required to adhere to a comprehensive Code of Ethics. The Code consists of a single page that defines the highest standards of ethics. Although it is brief, the Code is comprehensive and has met the needs of the Association.

If there is a shortcoming in the Code, it was that it did not include a large number of examples or provide additional study material for CMT candidates. This made ethics one of the more challenging topics to study for when preparing for the exams. The Code was clear and comprehensive but without examples, candidates for the exams often felt unprepared for the exams.

To address this concern, the Ethics and Standards Committee set out to develop a detailed Body of Knowledge related to ethics. In their research, they realized the

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Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Craig Johnson, CMT, CFA

Craig W. Johnson, CMT, CFA

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CMT TEST TO INCLUDE NEW ETHICS STUDY MATERIAL - WITH SAMPLE ETHICS QUESTIONS

CMT TEST TO INCLUDE NEW ETHICS STUDY MATERIAL - WITH SAMPLE ETHICS QUESTIONS

One of the advantages of the MTA’s licensing agreement with the CFA Institute is the ability to provide detailed study material for the CMT exam. Clear examples for all parts of the Code and Standards are available. This will help candidates prepare for the exam.

Below are several examples of the types of questions that will be on the October 2015 CMT exam. These questions are intended to demonstrate the type of question and are not actual exam questions.

1.  William is the research analyst responsible for following Company X. He uses a relative strength analysis model.  This model indicates the stock should be rated a weak “hold.” During lunch, however, William overhears a financial analyst from another firm whom he respects offer opinions using Elliott Wave analysis that conflict indicate the stock is a strong “buy.” Upon returning to his office, William releases a strong “buy” recommendation to the

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

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IN MEMORIAM: JIM BIRMINGHAM

IN MEMORIAM: JIM BIRMINGHAM

Long-time MTA member James G. Birmingham passed away on April 18, 2015 at the age of 84. Jim has been a member of the MTA since 1974.

Two of the defining characteristics of Jim’s life were his love of his family and the markets. He spent 59 years working in the markets yet his resume can be condensed into just three lines. Jim served in the Navy, worked briefly for a broker and then managed money through a hedge fund. Just three positions over six decades.

Jim was born in Boston on June 30, 1931 and graduated from Boston College in 1952.  From 1953 until 1956, he served as a Lieutenant JG in the United States Navy during the Korean Conflict. After leaving the Navy, Jim started as a broker in Boston with Proctor

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

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9 MISTAKES QUANTS MAKE THAT CAUSE BACKTESTS TO LIE

9 MISTAKES QUANTS MAKE THAT CAUSE BACKTESTS TO LIE

Editor’s note: Tucker Balch was one of the presenters at the 2014 Annual Symposium. That presentation can be viewed in the Symposium archives. This was originally posted at The Augmented Trader blog.

“I’ve never seen a bad backtest” — Dimitris Melas, head of research at MSCI.

About backtests

A backtest is a simulation of a trading strategy used to evaluate how effective the strategy might have been if it were traded historically. Backtestesting is used by hedge funds and other researchers to test strategies before real capital is applied. Backtests are valuable because they enable quants to quickly test and reject trading strategy ideas.

All too often strategies look great

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Tucker Balch

Tucker Balch, Ph.D.

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THIRTY TOMORROWS BY MILTON ERZATI

THIRTY TOMORROWS BY MILTON ERZATI

Editor’s note: Milton Erzati was one of the presenters at the recent Annual Symposium. His presentation included some of the information in his book which is reviewed here.

Thirty Tomorrows starts with well-known, bearish demographic facts and then demonstrates that the outlook is actually bullish. Milton Erzati is an economist who does an excellent job summarizing the challenges the global economy faces.  Any economic data series can be presented on a chart and as Erzati points out, it can be used to develop a forecast but the right side of the chart (the future) is uncertain and is likely to provide upside surprises. That’s an important point that is often overlooked. Many forecasts consider downside surprises but the upside surprises are often overlooked although they are usually just as likely to occur.

The demographic data Erzati focuses on can be summarized in the dependency ratio, a measure showing the number of dependents

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Michael Carr, CMT

Michael Carr, CMT

Milton Ezrati

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20 YEARS PUBLISHING THIS NEWSLETTER

20 YEARS PUBLISHING THIS NEWSLETTER

Editor’s note: longevity is rare in the investment newsletter business. It’s certainly not unheard of but it is rare. Tom McClellan has been publishing The McClellan Market Report for 20 years and recently shared some thoughts about the evolution newsletter which is also a story about how technology has changed the world of finance. This article, which was originally posted at McClellan Financial Publications, also includes a list of indicators Tom has developed over the years.

It was in April 1995 that we first started publishing this newsletter. That makes it 20 years ago this month.

When we first started out, it was all printed and mailed. The Internet was

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Tom McClellan

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AI, MACHINE LEARNING, DATA MINING, AND BIG DATA- HOW DO THEY APPLY TO TRADING?

AI, MACHINE LEARNING, DATA MINING, AND BIG DATA- HOW DO THEY APPLY TO TRADING?

Editor’s note: this was originally posted at Inovancetech.com and is reprinted her with permission. Inovancetech is offering the free use of an algorithmic trading platform to MTA members

Artificial intelligence, machine learning, data mining and big data seem to get thrown around in everything from business intelligence to financial services.

Artificial intelligence is used where machine learning should be and machine learning is often confused with data mining. The goal of this post is to clarify these buzzwords, explore how they apply to trading and then explore an ideal subcategory of data mining for traders.

Clarifying the Buzzwords

Artificial intelligence, a subfield of computer science, has three main subcategories; machine learning, curated knowledge and reverse engineering the brain. Machine learning is a method of developing algorithms for recognizing patterns within data. Data mining, also a subfield of computer science, is the whole information discovery process; from preparing and cleaning data to analyzing to post

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Justin Cahoon

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CANADIAN DOLLAR OUTLOOK BRIGHTENS, CHAMELEON OSCILLATOR SUGGESTS

CANADIAN DOLLAR OUTLOOK BRIGHTENS, CHAMELEON OSCILLATOR SUGGESTS

Editor’s note: The Chameleon Oscillator was detailed in the April 23 issue of Bloomberg Brief: Technical Strategies. This article is an extract of that article.

In Bloomberg Brief: Technical Strategies Alex Cole illustrates how the Chameleon Oscillator can be used to spot oversold and overbought extremes. As an example, he showed the Canadian dollar which he believes “has reversed its slide against the U.S. dollar, according to the Trend Chameleon. “ That indicator, shown as a “paint bar study” in the chart above has been pointing towards a potential reversal since April 15. In the chart, we can see the first red bar in the series occurs when prices

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Alex Cole

Alex Cole

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KASE ON TECHNICAL ANALYSIS + ONLINE VIDEO COURSE

KASE ON TECHNICAL ANALYSIS + ONLINE VIDEO COURSE

We all learn the basics of technical analysts differently. Some of us read the classics and think about how those ideas still apply to the current markets. Some of us find mentors who explain the important concepts to us. Some of us prefer traditional classrooms and other like self-paced video courses. No matter how we learn technical analysis, the next step is to apply the knowledge.

Kase on Technical Analysis is a one-stop training source. Cynthia covers the basics, puts them all together into a coherent trading strategy and then provides tests so you can apply the knowledge without risk in the markets.

The big question is who would benefit from this material. The answer is anyone wanting to learn about technical analysis, anyone studying for the CMT exam and anyone wanting to

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Cynthia A. Kase, CMT, MFTA

Michael Carr, CMT

Michael Carr, CMT

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MAPPING THE ACTIVE STRATEGY UNIVERSE

MAPPING THE ACTIVE STRATEGY UNIVERSE

Editor’s note: this article was originally published in Proactive Advisor Magazine and is reprinted here with permission.

A view into how professional strategists might classify active strategies.

When someone is first exposed to actively managed strategies, they may think they just stepped foot on another planet.  They hear a new language that includes many foreign terms such as tactical asset allocation, statistical arbitrage, momentum, mean reversion, etc. The complexity can seem overwhelming when compared to the relative simplicity of passive strategies. There appear to be more flavors of active strategies than anyone could ever hope to make sense of.

This article attempts to chart this world through a simple classification scheme. To do that, I will discuss actively managed strategies through the lens of four vectors: time frame, asset classes, systematic factors, and use of discretion.  Through a general look at active strategy characteristics, advisors will get a glimpse into performance drivers and

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Dave Walton

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21ST CENTURY POINT AND FIGURE BY JEREMY DU PLESSIS, CMT, FSTA

21ST CENTURY POINT AND FIGURE BY JEREMY DU PLESSIS, CMT, FSTA

Point and Figure (P&F) is one of the oldest tools of technical analysis. It’s been used since at least the 1880s yet the technique works just as well today as it did 130 years ago. The basics of P&F haven’t changed over time but computers and software have allowed skilled analysts to derive more information from the columns of Xs and Os that are found on P&F charts.

In this book, du Plessis demonstrates how to apply 20th century tools like Bollinger Bands®, Donchian channels and Welles Wilder’s parabolic stop and reverse strategy to P&F charts.

Below are examples from the book showing how Donchian channels could be applied to P&F charts. Donchian channels were developed by Richard Donchain in the 1960s. They consisted of two lines on a price chart. One line showed the highest high over a time period, usually 20 days or 4 weeks. The second line showed the

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Jeremy du Plessis, CMT, FSTA

Michael Carr, CMT

Michael Carr, CMT

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MICKEY MANTLE STRIKES OUT, THEN HITS A HOMER

MICKEY MANTLE STRIKES OUT, THEN HITS A HOMER

A previous blog discussed Wilt Chamberlain’s unsuccessful attempt at following up on his successful basketball career with a successful IPO. Wilt Chamberlain wasn’t the only sports star to go into the restaurant business. Few people realize it, but Mickey Mantle set up restaurants twice, once in Texas in the 1950s when he struck out, and a second time in the 1980s in New York City when he hit a home run.

Mickey Mantle played for the New York Yankees between 1951 and 1968 and is one of the few baseball players to hit over 500 home runs during his career, and believe it or not, without the aid of any steroids. Many consider Mantle to be the greatest switch hitter of all time, a skill which enabled him to hit for both average and for power. His lifetime batting average was 0.298 and he hit some of the longest home runs

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Dr. Bryan Taylor

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ETF SECTOR ROTATION

ETF SECTOR ROTATION

Editor’s note: This was recently published at Alvarez Quant Trading and is reprinted here with permission. A spreadsheet with the complete results of this strategy is available at the web site.

My recent research has been in ETFs which I have not explored in several years. ETF sector rotation has always intrigued me. The idea seems so simple that it should work. Always be in the sector that has been doing the best. I like simple but does it work? If not, can we make it work?

ETF Universe

For these test, we will using the Select Sector SPDR ETFs. They have a long history. The list is

  • Consumer Discretionary (XLY)
  • Consumer Staples (XLP)
  • Energy (XLE)
  • Financials (XLF)
  • Health Care (XLV)
  • Industrials (XLI)
  • Materials (XLB)
  • Technology (XLK)
  • Utilities (XLU)

Testing will be from 2005 to 2014.

Baseline

Our baseline will be buy and hold on the SPY. My typical goal when trading ETFs is to beat CAGR of Buy & Hold by 50% but with

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Cesar Alvarez

Cesar Alvarez

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A

A "SHEER MISERY" MARKET DEFINED

Editor’s note: this article was originally published by the National Association of Active Investment Managers and is reprinted here with permission.

I was recently named Chief Investment Officer at Sowell Management Services, a registered investment advisor that is responsible for about $500 million of client assets. Part of the gig is to communicate all things market related to the portfolio managers, the sales team, and the independent advisors who represent the firm.

During a staff meeting on Monday, the National Sales Manager wanted my take on the current environment for “tactical” investment strategies. He noted that most tactical managers had a rough go last year and wondered if the environment had changed with the calendar. My response was brief and to the point, “It’s been ‘sheer misery’ in the tactical space since the beginning of 2014… and no, nothing has changed.”

Not surprisingly, I was asked to put “some color” behind my view

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Dave Moenning

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THE MARKETS CONTINUE TO CONSOLIDATE THE BULLS SHOULD WIN THE BATTLE IN THE SECOND QUARTER

THE MARKETS CONTINUE TO CONSOLIDATE THE BULLS SHOULD WIN THE BATTLE IN THE SECOND QUARTER

Editor’s note: this was published in late-April and is presented as an example of long-term technical analysis.

Two weeks ago our Market Comment summarized the big picture for the 2009-2015 bull market. We concluded that after a 97% gain over nearly three and a half years, the markets were due for a well deserved rest. While some market analysts expect a big correction or even the end of the bull market after such a strong advance, our view is that the markets can remain bullish and “correct” by marking time within a relatively narrow trading range.

What has happened so far? The S&P 500 has moved sideways for two months. Last Friday’s decline, caused mainly by being both option-expiry day and the end of the 70-day cycle, was contained comfortably above the 1,975 to 2,025 zone that we highlighted last time. On Monday the loss was recovered.

As the S&P 500 moves sideways,

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Ron Meisels

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SELL IN MAY AND GO AWAY?

SELL IN MAY AND GO AWAY?

Editor’s note: This was published by Intalus at their educational blog. The code for implementing this strategy in Tradesignal is available by clicking here.

HOW TO PROFIT FROM SEASONAL PATTERNS.

Every year, the old adage “Sell in May and go away“ is widely discussed in the financial media. But is this adage reality or just a myth? And can this simple seasonal strategy work at all if everyone knows it? Using Tradesignal; traders, portfolio managers and analysts can examine these and other seasonal pricing anomalies quickly and safely to improve their investment decisions.

EMPIRICAL EVIDENCE FOR SUMMER WEAKNESS

In 1964 the Financial Times wrote about the “Sell in May“ effect, it took decades for the academic world to study this phenomenon, which says shares should be avoided during the summer months. The most comprehensive study on this subject was published in 2002[1]. The research duo Sven Bouman and Ben Jacobsen examined a total of

To view this content you must be an active member of the CMT Association.
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Contributor(s)

David Pieper

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TECHNICAL ANALYSIS IN ACADEMIA

TECHNICAL ANALYSIS IN ACADEMIA

Technical analysis has been used by traders for centuries. But it has only been taught as a for-credit course at universities since 1996. In that year, the MTA Educational Foundation partnered with the University of Richmond to teach “Technical Analysis and the Securities Market” to undergraduates.

Dick Dickson, CMT, was the instructor in 1996. Dick worked with Professor John Earl, who is now Chair of the University’s Finance Department, Ralph Acampora and Martin Pring to introduce the course to the school. With Dr. Earl’s assistance, a presentation to the Dean was completed and the course which focused on the practical application of technical analysis to the markets was immediately approved.

In addition to learning from Dick, students were provided with insights from some of the country’s leading technical analysts. Ralph Acampora, CMT, Steve Nison, CMT, Alan Shaw, CMT, Phil Roth, CMT and Martin Pring presented as guest lecturers.

One of the students in

To view this content you must be an active member of the CMT Association.
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Contributor(s)

Michael Carr, CMT

Michael Carr, CMT

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CHART OF THE MONTH: THE VIX FIX

CHART OF THE MONTH: THE VIX FIX

In this year’s Charles H. Dow Award paper, I described how the VIX Fix indicator could be applied as a trading strategy.  The VIX Fix is an indicator developed by the 2014 MTA Annual Award winner Larry Williams. It applies the concept of the VIX to any stock or stock market index. Complete details of how the indicator is used are in the paper but the basic idea is that low volatility is bullish. I use a moving average to define when volatility is low or high.

In the first chart below I have applied the VIX Fix to the monthly chart of PowerShares QQQ ETF (QQQ), a tradable security that tracks the NASDAQ 100 index. For now, the VIX Fix is below the moving average and there is no sell signal in this security. The chart highlights how well the indicator works with monthly data to identify bear markets.

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New Educational Content This Month

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