Technically Speaking, May 2021

Although we are headquartered in the U.S., we are a global organization. The economy is recovering here as vaccinations rise and COVID infections decline. However, in contrast, our colleagues elsewhere, especially in India, continue to face major health challenges. CMT President Scott Richter offers our support in his remarks this month.

In the markets, changes are brewing as commodities are soaring, technology stocks got smacked and cryptocurrencies have become the “spring break” of tradeables. Dogecoin? Really? I suppose our role is not to judge, but to analyze trends and patterns.

What members may have noticed is the lack of chapter meetings in recent months. With the Americas Summit in April and basic Zoom fatigue from working at home and home schooling, it is no wonder everyone needed a break. But fear not, the calendar is filling up again. Check out the “Learning and Events” link on the CMT Association home page.

This month, we feature an article by Arthur Hill and a spin on trend following systems. It is elegant in its simplicity and I highly recommend reading it. And for good measure, Arthur is also this month’s member interview.

Other features include the announcement of this month’s Fill the Gap podcast with Frank Teixeira, The Mother of all Sector Rotation Strategies written by Erez Katz, membership news and TA award acknowledgements. We also say goodbye to Jim Forte, from the TSAAF in San Francisco. Also lost in recent days is the legend Welles Wilder, who created many of the studies we all use today. Some of you may have heard of him.

Good luck trading, and stay safe.

Michael Kahn, CMT

Editor

What's Inside...

While here in the United States there is optimism regarding the national COVID-19 case count and the rollout of the...

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Three Concepts to Augment a Trend-Following Strategy

Trend-following strategies are prone to whipsaws and low win rates, but they are still profitable over time. Investors can improve...

Read More

In Memoriam - J. Welles Wilder, Jr.

One of the most influential figures in technical market analysis, John Welles Wilder, Jr., passed away on April 18, 2021...

Read More

Technical Analysis Awards

This past month, the Technical Analyst (U.K.) released its 2021 awards celebrating the best in research, data, software and artificial...

Read More

Member Interview with Arthur Hill, CMT

Please tell us what you do professionally.

I run TrendInvestorPro.com, a website that provides a broad market timing model, trend-following...

Read More

Remembering Jim Forte

Reprinted from the TSAAF website:

The Technical Securities Analysts Association of San Francisco sadly reports that Jim Forte,...

Read More

Fill the Gap: The Official Podcast of the CMT Association

Episode 5: Frank Teixeira – Streaming Now

Partner, Portfolio Manager, and Director of Technical Research at Wellington Management for over...

Read More

The Mother of all Sector Rotation Strategies

Note – this article appeared on “From the Blog” by Lucena Research, now known as Neuravest, in August 2020.

Be...

Read More

Membership News

Members on the Move

The CMT Association would like to congratulate the following members on their new positions:

  • Scott...
Read More

President's Letter

While here in the United States there is optimism regarding the national COVID-19 case count and the rollout of the vaccines, in other countries in which our members reside, the conditions are not so rosy.

Specifically, in certain APAC countries, the case counts have been escalating rapidly and have created dire conditions and significant hardship. As you have likely seen or read in the news, India is in a state of crisis due to the virus.

The Board of Directors and CMT Staff members have been heavily focused on the APAC region over the past few years, especially the country of India. India has seen the greatest number of new CMT Program candidates as interest in TA is booming. Subsequently, we have been communicating more frequently with our members about the COVID-driven healthcare crisis, including keeping in touch with our Board Director Akshay Chinchalkar and our Head of the India Office, Joel Pannikot.

To the over 200 CMT members and over 500 CMT Program candidates in India, I want to let you know that our hearts, prayers, and thoughts are with you as you battle this virus. We are actively monitoring conditions and regularly discussing ways we can provide support or accommodation to our constituents in India and other countries impacted by COVID. Should you have any questions about how your candidacy in the CMT Program is being affected by the pandemic, please do not hesitate to reach out to CMT staff members. We are here to help.

Please keep yourself (and loved ones) as safe and as well as can be.

Contributor(s)

Scott G. Richter, CMT, CFA, CHP

Scott Richter, CMT, CFA, CHP is a senior portfolio manager for Westfield, which manages over $4B in AUM.  He is the lead portfolio manager for alternative assets and is also responsible for investments in the energy and utility sectors.  He was formerly...

Three Concepts to Augment a Trend-Following Strategy

Trend-following strategies are prone to whipsaws and low win rates, but they are still profitable over time. Investors can improve performance by applying three concepts to their strategy. Most importantly, these concepts do not alter the nature of the strategy or signals, and the first two can be applied to almost any trend-following indicator. This article will show how smoothing, a signal threshold, 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)

Arthur Hill, CMT

Arthur Hill, who holds the Chartered Market Technician (CMT) designation, is the Chief Technical Strategist at Trend Investor Pro. He takes a quantitative approach to trading using rule-based strategies that are tested in different market environments. Arthur has written a book defining...

In Memoriam - J. Welles Wilder, Jr.

One of the most influential figures in technical market analysis, John Welles Wilder, Jr., passed away on April 18, 2021 at age 85. The former mechanical engineer and real estate mogul developed what many consider to be the core indicators now available on all charting software and used by nearly every technician today.

These indicators include the Relative Strength Index (RSI), Average True Range...

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 Kahn, CMT

Michael Kahn, who holds a Chartered Market Technician (CMT) designation, is a seasoned financial services strategist, analyst, columnist, educator and speaker.  Michael has been working with charts and technical analysis since 1986. He is the author of three books on technical analysis...

Technical Analysis Awards

This past month, the Technical Analyst (U.K.) released its 2021 awards celebrating the best in research, data, software and artificial intelligence. Here are just a few of the winners and finalists from our Association, including Aazan Habib, CMT, Technical Analyst of the Year. Congrats to all!

Research & Strategy – Best Equity Research

Finalists: DayByDay • Fairlead Strategies • Macro Risk Advisors • Ned Davis Research • Oppenheimer...

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 Kahn, CMT

Michael Kahn, who holds a Chartered Market Technician (CMT) designation, is a seasoned financial services strategist, analyst, columnist, educator and speaker.  Michael has been working with charts and technical analysis since 1986. He is the author of three books on technical analysis...

Member Interview with Arthur Hill, CMT

Please tell us what you do professionally.

I run TrendInvestorPro.com, a website that provides a broad market timing model, trend-following strategies and mean-reversion setups based on technical analysis and quantitative insights. I also contribute written and video content to StockCharts.com, and developed the TrendInvestorPro Indicator Edge Plugin for StockCharts ACP.

How did you get there?

I have been using classical technical analysis techniques...

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)

Arthur Hill, CMT

Arthur Hill, who holds the Chartered Market Technician (CMT) designation, is the Chief Technical Strategist at Trend Investor Pro. He takes a quantitative approach to trading using rule-based strategies that are tested in different market environments. Arthur has written a book defining...

Remembering Jim Forte

Reprinted from the TSAAF website:

The Technical Securities Analysts Association of San Francisco sadly reports that Jim Forte, active board member and past president of the association, passed away recently from complications from a long-term illness. Jim personified everything that makes the TSAA-SF the special educational and collegial organization that it is. Jim was generous with his time as an officer, board...

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)

Barbara Terry

Barbara Terry is the CMT Association’s volunteer coordinator, based in New York. She has close to 20 years of experience in large-scale project management and account management roles, and is an invaluable resource for the CMT Association’s event planning team.  Barbara holds...

Fill the Gap: The Official Podcast of the CMT Association

Episode 5: Frank Teixeira – Streaming Now

Partner, Portfolio Manager, and Director of Technical Research at Wellington Management for over 20 years, Frank Teixeira brings his unmatched insight to addressing what it takes to navigate institutional pools of capital through multiple market cycles. Episode #5 of Fill the Gap delivers a firsthand account of the often-opaque world of professional money management.

Exploring the difference...

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)

Tyler Wood, CMT

Tyler Wood serves as Managing Director of CMT Association with the aim of elevating investors’ mastery and skill in mitigating market risk and maximizing return in capital markets through a rigorous credentialing process, professional ethics, and continuous education. He is a seasoned business...

The Mother of all Sector Rotation Strategies

Note – this article appeared on “From the Blog” by Lucena Research, now known as Neuravest, in August 2020.

Be sure to join Eric Davidson, CMT and JP Gravitt from Neuravest as they discuss Using Alternative Data to Produce Superior Investment Results on June 23rd. Register here.

Background: Passive, low-cost investment products such as ETFs have been a boon...

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)

Erez Katz

Erez Katz is the Co-Founder CEO Neuravest Research, formerly known as Lucerna Research.  Neuravest Research is a quantitative analysis and statistical machine learning company that serves hedge funds, wealth advisors and advanced high net-worth investors. Erez is an accomplished serial entrepreneur and...

Membership News

Members on the Move

The CMT Association would like to congratulate the following members on their new positions:

  • Scott Richter, CFA, CMT, CHP, Investment Designee/Expert for the Ohio Highway Patrol Retirement System
  • Sean Ring, CMT, Editor at Paradigm Press
  • Regan Firdosh Homavazir, CMT for starting a new position as Head Of Equity Research at IndusInd Bank
  • Sean Dillon, CMT, CFTe, Senior Vice President...
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)

Marie Penza

Marie Penza serves as the Director of Member Services for the CMT Association.