Interactive Session – Making the Most of Panic: Exploring the Value of Combining Price & Supply/Demand Indicators
April 4, 2019
Buying during periods of investor panic has been an established tenet of not only technical analysis, but of investing for centuries. Technical analysts were some of the first to try to quantify investor panic – first with price patterns, then oscillators, and then supply/demand indicators. This 2019 Dow Award-winning paper establishes that using a set of price-based indicators alone will inevitably lead to missed opportunities, and proposes a more holistic approach to identify periods of market panic. The studies in this report apply to both shorter-term and longer-term timeframes. Armed with this knowledge, missing out on profit opportunities should be significantly lessened, and the accuracy of identifying new uptrends enhanced.