Active investors combine fundamental and technical analysis, moving in and out of the market in accordance with the phases of the business cycle.

What is Fundamental Analysis? Fundamental analysis attempts to determine the present value of a stock based on its expected future cash flows.

The critical questions in value investing are: At what rate will earnings (and dividends) grow over the investment period? What is the (investments) risk? Can management be trusted...

The PEG ratio is a powerful formula which compares earnings growth and the Price Earnings Ratio: Divide the current Price Earnings Ratio by the expected long-term growth rate (in earnings per share) ...

How to calculate the value of future cash flows to you and assess your margin of safety.

Use projected dividends to calculate the margin of safety (popularized by Warren Buffett and Benjamin Graham) for an investment.

Compare commission charges, spreads, markets offered, order execution, margins and other CFD features

Opportunities and pitfalls of trading contracts for difference.

Alphabetical list of CFD terms.

Compare all CFD providers -- major features.

Stocks and markets covered by major CFD providers.

Which CFD providers offer direct market access, straight through processing and/or guaranteed stop loss orders.

Which CFD providers offer the lowest commissions, interest rates, trading spreads and monthly charges.

Which CFD providers offer the best margin leverage and which require the lowest minimum starting balance.

Chart Patterns are formed by support and resistance levels and by trend lines.

The cup and handle is a longer term continuation pattern, similar to an ascending triangle.

Double tops are useful reversal patterns in an up-trend, identified by two peaks of similar height, followed by a break below the intervening trough.

A powerful reversal signal, the head and shoulders pattern is completed by a lower peak followed by a break below the neckline.

Support and resistance are the foundation stone of all technical analysis.

Trading Ranges are formed by support and resistance lines in close proximity. Price fluctuates in a narrow band with no clear trend.

Triangles and wedges can be powerful continuation or reversal patterns, depending on their shape.

Triple tops are similar to double tops and comprise three peaks of similar height.

Support, resistance and trading ranges.

Flags and pennants are short-term congestion patterns that form in trends and are reliable continuation signals.

Rectangles are narrow consolidations in a trend.

Rectangles are of the most reliable chart patterns when they appear in close proximity to support or resistance during an up-trend.

Volume activity provides powerful confirmation of price signals and often gives advance warning.

How to identify trends, control, commitment, uncertainty, inside and outside days.

Candlesticks contain the same data as a normal bar chart but highlight the relationship between opening and closing prices.

Gaps are often found at breakouts or during a strong trend.

A powerful signal, especially after big volume changes or a strong trend.

A spike is identified by a high sharply above the days on either side, a close near the day's low, and a strong preceding trend.

There are two times where daily volume will highlight unusual trading activity: a spike above the normal range or a dip below normal activity levels.

Every trend change is signaled by a reversal day. The secret is to identify their potency.

A powerful reversal signal, especially with a large spike after a strong advance...

An inside day that signals a fairly weak reversal...

Island reversals are powerful signals, identified by gaps between the signal day and the days on either side...

Key reversal signals do not occur very often but are definitely worth the wait...

Open-Close reversals are potent reversal signals when they follow a strong trend.

Pivot point reversals are the simplest and most commonly encountered of all reversal signals.

Basic Point & Figure Patterns: Support and resistance, trendlines, breakouts, bullish and bearish signals.

One of the most reliable point & figure chart patterns, Bull Traps occur when an upward breakout retreats back below the new support level.

The cup and handle was popularized by William J O'Neill (How To Make Money In Stocks).

Similar to bull and bear traps, false (or marginal) breaks occur at minor support levels (from a previous low) or minor resistance.

Retracements (or corrections), during a trend, tell us about the strength of the trend.

An upward spike is where a rally exceeds the previous column of Xs by at least 10 boxes.

After an up-trend, marginal new highs (especially where accompanied by equal or lower lows) indicate a loss of momentum.

For a valid triangle there must be at least two retracements counter to the prevailing trend.

Active investors combine fundamental and technical analysis, moving in and out of the market in accordance with the phases of the business cycle.

Candlesticks contain the same data as a normal bar chart but highlight the relationship between opening and closing prices.

Chart Patterns are formed by support and resistance levels and by trend lines. They include long-term patterns such as Head & Shoulders, short-term patterns such as flags, daily reversal patterns, candlesticks and Point & Figure.

Compare commission charges, spreads, markets offered, order execution, margins and other CFD features

Interest rates, yield curves, central banks such as the US Federal Reserve, inflation, gold, and crude oil.

A complete guide to technical analysis indicators.

Exponential, Simple, Weighted and Wilder moving averages: formula, selection, signals and trading systems.

Point & Figure charts are used to identify support levels, resistance and chart patterns. Point and Figure ignores the time factor and concentrate solely on movements in price.

The Stock Screener is used to identify securities that warrant further analysis. Filters include Price, Volume, Moving Averages, MACD, Bollinger Bands, Directional Movement, RSI, Stochastic, and many others.

What is technical analysis and does it really work? The foundations of technical analysis are support and resistance. Dow Theory builds on this to analyze the structure of trends.

How to protect your capital with proper risk management strategies. How to position your stop loss orders. How to avoid common trading traps and control your emotions while trading.

Incredible Charts was started by two brothers: Robin Twiggs, a Pascal/Delphi programmer; and Colin Twiggs, a chartered accountant with a background in investment banking.

Frequently asked questions

Try our Premium Data service 30-day Free Trial. And Free Education and Trading Diary newsletters.

A 1-minute tour of Incredible Charts.

Colin's Useful Links. The following websites may prove useful ...

The latest developments with Incredible Charts software and website

Interest rates have a big influence on stock markets because of three factors.

Negative yield curves have proved reliable predictors of economic recession. However, recent experience in the United Kingdom and Australia raises questions...

Central banks and interest rates: There is an intrinsic interest rate in any market that matches demand for credit with savings.

How Banks Create Money out of Thin Air: Most money in the economy is held in the form of deposits with banks rather than in the form ...

Investing in Mutual Funds: If you do not have the time or expertise to manage your own investments then mutual funds may be your only option...

Serious imbalances in the US economy: Paul Volcker, former chairman of the Federal Reserve (1979 - 1987), in his February 2005 address to the Stanford Institute for ...

Inflation is the most commonly used economic term in the popular media. A Nexis search in 1996 found 872,000 news stories over the past twenty years that used the word inflation.

INTEREST RATES, RECESSION OR DEPRESSION? Reproduced with kind permission from Aubie Baltin. Before we can even begin to discuss interest rates intelligently, we must first define what it is that we are actually talking about ...

The Link Between Gold and Oil. Gold and crude oil prices tend to rise and fall in sympathy with one another. There are two reasons for this ...

Gold is generally quoted in US dollars per ounce of gold; so any fluctuations in the strength of the dollar are likely to be reflected in the dollar priceof gold.

Forum discussion of stocks, markets, commodities, forex, trading and technical analysis

Some suggested ground rules when discussing stocks or securities ...

Registration, posting, email notifications, ...

Members of the Chart Forum are requested not to post images with the names or links to other software ...

Find a stock, select a chart type, add indicators, adjust the screen view and change the time period.

How to draw trendlines and captions

How to create, edit and review watchlists

How to create and customize a project

A brief example of how to find trending stocks using the Stock Screener.

Frequently asked questions

Alpahabetical listing of Incredible Charts help menu.

About Colin Twiggs, author of the Trading Diary and Incredible Charts website.

Incredible Charts was started by two brothers: Robin Twiggs, a Pascal/Delphi programmer; and Colin Twiggs, a chartered accountant with a background in investment banking.

FAQs, Technical Support, Premium Members Support, Telephone & Fax Numbers.

Commands that are complex or infrequently used are placed under View >> Advanced Options

ASX Options are issued with a six letter code....

ASX Warrants are issued with a six letter code...

Use the scroll buttons on the toolbar to simulate actual trading conditions.

It is advisable to backup your watchlists and project files on a regular basis.

Candlesticks are colored according to opening and closing price, OHLC by comparing closing price to the previous close.

Incredible captions - highlight buy and sell signals and record your observations right on the chart...

This page explains some of the issues surrounding actual construction of the charts ...

Candlesticks, bar charts, equivolume, candlevolume and point and figure

Chart types, log and normal scale, legends, crosshairs, price and time axes, indicator views and screen splits.

Use cross-hairs to line up bars on a chart, or to check dates or price levels.

Use the View menu to switch between Daily, Weekly and Monthly bars.

Incredible Charts fetches packets of data from the server as you chart each stock - eliminating the need for daily data downloads. The data format is not compatible with other charting software.

Import data from external websites such as Yahoo.

Import data from files on your computer - in descending date order.

Hourly ASX updates and 7:15 p.m. NYSE, NASDAQ and AMEX updates.

Stocks may be adjusted for the dilution effect of share splits, special dividends, rights issues, spin-offs and reconstructions. Here are some examples ...

Effortlessly send charts to your friends.

Project Fibonacci extension levels from a present trend.

Project Fibonacci retracement levels from an existing trend.

Customize indicator colors, chart gridlines and background colors to suit your needs.

Registration, posting, email notifications, ...

Members of the Chart Forum are requested not to post images with the names or links to other software ...

Find a stock, select a chart type, add indicators, adjust the screen view and change the time period.

Premium members can hide the top banner and right margin advertising banners ...

American Stock Exchange (AMEX) Indexes ...

ASX Indices ...

Chicago Board Options Exchange (CBOE) Indexes ...

Dow Jones US & Global Indexes ...

Transfer or back up your project files (indicators, trendlines and captions) and watchlists ...

Display temporary values for incomplete periods on Daily, Weekly and Monthly charts, before completion of the full period.

More than 600 indexes including: Dow Jones US Sectors; S&P Sectors; DJIA; S&P 500; CBOE bond yields; Wilshire 5000; Russell 3000; S&P Global 1200; and DJ Global Titans

Other North American Indexes ...

Customize indicators to suit your needs. Add new indicators and Point & Figure charts.

Use the Legend to amend indicator colors on a chart. Click the color button alongside the indicator title.

Use the Legend function to temporarily hide an indicator or the price bars

Smooth indicator lines with an exponential moving average.

When you have downloaded Incredible Charts, follow these steps to install the program.

NASDAQ Indexes ...

NYSE Indexes ...

Philadelphia Exchange (PHLX) Indexes ...

Standard & Poors (S&P) US & Global Indexes ...

Toronto Stock Exchange (TSX) Indexes ...

Shortcut keys to activate Incredible Charts commands from the keyboard.

Display the chart legend, show/hide indicators and edit their colors.

Incredible Charts automatically updates when when there is a new version available on the server.

Use log scale to view charts with large price variations, normal scale for shorter-term charts.

There is no special Mac version but some users successfully run Incredible Charts with Vitual PC.

Menu and toolbar commands.

Create custom Point and Figure chart s from the Indicator Panel.

Assistance for new subscribers.

Adjust scales for the price and time axes

OHLC Volume and Date are displayed on the price bar below the chart.

Create handy print copies of charts.

Set a project to open with a custom security, time period, chart interval, chart type and log/normal scale.

Recently used project files are displayed as tabs below the price chart (and indicators), above the bottom price bar. Click on a tab, for example [Relative Strength], to display the project ...

Create new project files for your separate trading systems. Save all customized chart and indicator settings.

A project contains a set of indicators, trendlines, captions and default settings. A project does not contain data relating to specific securities. All data is stored in a ...

Delayed quotes can only be imported from Yahoo at this stage. Please notify us of any other websites that you would like to see included ...

The Relative Strength indicator is set up using the Price Comparison indicator. Indicators are saved to your Project ...

Save charts as bitmap or png images.

Scroll back/forward on the time axis with the scrolling toolbar.

From Stan Weinstein's Secrets for Profiting in Bull and Bear Markets - a breakout model for trading stocks and shares in a longer time frame ...

Dow Jones US Sector Indexes ...

Standard & Poors (S&P) US Sector Indexes ...

Add exchanges to the stock menu list.

Browse securities menus alphabetically or by sector.

You may wish to customize your watchlist and menu settings to reduce the number of sub-folders

Find a stock or index by searching for the security name or symbol.

Select a stock by entering the symbol in the securities toolbar.

Hourly ASX updates and 7:15 p.m. NYSE, NASDAQ and AMEX updates.

Explains the purpose of the Trading Diary, how to interpret the Market Strategy and how to search the diary archives.

How to select a time frame to display on your chart

Advice on converting times in different countries.

Left-click and right-click commands for toolbars

Trend channels are used to track the momentum of a trend, with peaks (or highs) frequently respecting the upper trend channel; and troughs (or lows) respecting the lower ...

Draw trendlines on a chart.

Easily undo or redo recent changes.

To uninstall, open Uninstall.exe in the Incredible Charts folder

Save time: Add securities to your watchlist.

Creating watchlists with Excel

Organize your securities into multiple watchlists.

Import data from external websites such as Yahoo.

Drag your mouse pointer to zoom in on a specific chart period

Find a stock, select a chart type, add indicators, adjust the screen view and change the time period.

How to draw trendlines and captions

How to create, edit and review watchlists

How to create and customize a project

A brief example of how to find trending stocks using the Stock Screener.

Select a stock by entering the symbol in the securities toolbar.

Find a stock or index by searching for the security name or symbol.

Add exchanges to the stock menu list.

Browse securities menus alphabetically or by sector.

Import data from external websites such as Yahoo.

Import data from files on your computer - in descending date order.

How to select a time frame to display on your chart

Scroll back/forward on the time axis with the scrolling toolbar.

Drag your mouse pointer to zoom in on a specific chart period

Use the View menu to switch between Daily, Weekly and Monthly bars.

Display temporary values for incomplete periods on Daily, Weekly and Monthly charts, before completion of the full period.

Use the scroll buttons on the toolbar to simulate actual trading conditions.

Draw trendlines on a chart.

Incredible captions - highlight buy and sell signals and record your observations right on the chart...

Trend channels are used to track the momentum of a trend, with peaks (or highs) frequently respecting the upper trend channel; and troughs (or lows) respecting the lower ...

Project Fibonacci extension levels from a present trend.

Project Fibonacci retracement levels from an existing trend.

Customize indicators to suit your needs. Add new indicators and Point & Figure charts.

The Relative Strength indicator is set up using the Price Comparison indicator. Indicators are saved to your Project ...

Smooth indicator lines with an exponential moving average.

Use the Legend to amend indicator colors on a chart. Click the color button alongside the indicator title.

Use the Legend function to temporarily hide an indicator or the price bars

From Stan Weinstein's Secrets for Profiting in Bull and Bear Markets - a breakout model for trading stocks and shares in a longer time frame ...

Chart types, log and normal scale, legends, crosshairs, price and time axes, indicator views and screen splits.

Use cross-hairs to line up bars on a chart, or to check dates or price levels.

Use log scale to view charts with large price variations, normal scale for shorter-term charts.

Adjust scales for the price and time axes

Display the chart legend, show/hide indicators and edit their colors.

Candlesticks, bar charts, equivolume, candlevolume and point and figure

Create custom Point and Figure chart s from the Indicator Panel.

Save time: Add securities to your watchlist.

Creating watchlists with Excel

Organize your securities into multiple watchlists.

Recently used project files are displayed as tabs below the price chart (and indicators), above the bottom price bar. Click on a tab, for example [Relative Strength], to display the project ...

Create new project files for your separate trading systems. Save all customized chart and indicator settings.

Set a project to open with a custom security, time period, chart interval, chart type and log/normal scale.

A project contains a set of indicators, trendlines, captions and default settings. A project does not contain data relating to specific securities. All data is stored in a ...

Hourly ASX updates and 7:15 p.m. NYSE, NASDAQ and AMEX updates.

Stocks may be adjusted for the dilution effect of share splits, special dividends, rights issues, spin-offs and reconstructions. Here are some examples ...

Incredible Charts fetches packets of data from the server as you chart each stock - eliminating the need for daily data downloads. The data format is not compatible with other charting software.

Import data from external websites such as Yahoo.

Import data from files on your computer - in descending date order.

Advice on converting times in different countries.

Customize indicator colors, chart gridlines and background colors to suit your needs.

Chart types, log and normal scale, legends, crosshairs, price and time axes, indicator views and screen splits.

Candlesticks are colored according to opening and closing price, OHLC by comparing closing price to the previous close.

Use the Legend to amend indicator colors on a chart. Click the color button alongside the indicator title.

This page explains some of the issues surrounding actual construction of the charts ...

American Stock Exchange (AMEX) Indexes ...

ASX Options are issued with a six letter code....

ASX Warrants are issued with a six letter code...

ASX Indices ...

Chicago Board Options Exchange (CBOE) Indexes ...

Dow Jones US & Global Indexes ...

Dow Jones US Sector Indexes ...

More than 600 indexes including: Dow Jones US Sectors; S&P Sectors; DJIA; S&P 500; CBOE bond yields; Wilshire 5000; Russell 3000; S&P Global 1200; and DJ Global Titans

NASDAQ Indexes ...

NYSE Indexes ...

Other North American Indexes ...

Philadelphia Exchange (PHLX) Indexes ...

Standard & Poors (S&P) US Sector Indexes ...

Standard & Poors (S&P) US & Global Indexes ...

Toronto Stock Exchange (TSX) Indexes ...

Create handy print copies of charts.

Save charts as bitmap or png images.

Effortlessly send charts to your friends.

Menu and toolbar commands.

Shortcut keys to activate Incredible Charts commands from the keyboard.

Left-click and right-click commands for toolbars

OHLC Volume and Date are displayed on the price bar below the chart.

Delayed quotes can only be imported from Yahoo at this stage. Please notify us of any other websites that you would like to see included ...

It is advisable to backup your watchlists and project files on a regular basis.

Easily undo or redo recent changes.

Transfer or back up your project files (indicators, trendlines and captions) and watchlists ...

Commands that are complex or infrequently used are placed under View >> Advanced Options

Premium members can hide the top banner and right margin advertising banners ...

You may wish to customize your watchlist and menu settings to reduce the number of sub-folders

When you have downloaded Incredible Charts, follow these steps to install the program.

To uninstall, open Uninstall.exe in the Incredible Charts folder

Incredible Charts automatically updates when when there is a new version available on the server.

There is no special Mac version but some users successfully run Incredible Charts with Vitual PC.

About Colin Twiggs, author of the Trading Diary and Incredible Charts website.

Incredible Charts was started by two brothers: Robin Twiggs, a Pascal/Delphi programmer; and Colin Twiggs, a chartered accountant with a background in investment banking.

FAQs, Technical Support, Premium Members Support, Telephone & Fax Numbers.

Completely free stock charting software, online data and online support ! Charting power, exciting new features, ease of use, flexibility and time saving.

A 1-minute tour of Incredible Charts.

IncredibleCharts stock charting software, online data feed, plus Daily Trading Diary updates -- all for only $12 (USD) per month.

Free Stock Charting Software. Powerful stock Screens. Online Data feed.

Free charting software, delayed data, trading education, trading newsletters and traders forum.

The latest news on Incredible Charts Pro charting software and the Incredible Charts website.

THIS IS A LEGAL AGREEMENT BETWEEN YOU AND VIZHON CORPORATION. PLEASE READ THIS CAREFULLY.

Market data suppliers terms are incorporated into the license agreement.

Vizhon Corporation and its affiliates are committed to maintaining the privacy of personal information that you provide when using the website.

Please make use of the 30-day free trial before you subscribe to Incredible Charts Premium Service. Thereafter, refunds will be made at the discretion of management of Vizhon Corporation.

Colin's Useful Links. The following websites may prove useful ...

The ten trading books that have had the greatest influence on my trading style plus many more books of interest.

Incredible Charts offers outstanding opportunities for advertisers to reach a highly focused audience of traders and active investors in stocks and currencies.

Most indicators highlight a particular aspect of price or volume behavior.

Charting indicators that I find most useful.

Respect, whipsaws, divergence, and failure swings.

A key principle when using indicators: set the time frame to reflect the cycle being traded...

Fibonacci numbers are named after Leonardo Fibonacci, a twelfth century Italian mathematician, who discovered the unique properties of a particular number sequence.

Linear regression fits a straight line to the selected data using a method called the Sum Of Least Squares. The Sum Of Least Squares ...

A potent stock selection tool, Price Comparison charts the performance of a stock against an index or a related stock.

A powerful tool for stock selection, Price Ratio is often referred to as relative strength or comparative strength. It compares the performance of a stock relative to an index or a related stock.

Compare bond yields or interest rates that share the same price axis.

The Moving Average is a powerful measure of trend direction, achieved by smoothing price data. Moving Averages can also be used on median,typical and weighted closing prices as well as other indicators.

When tracking the primary trend you are faced with a wide choice of moving averages.

A new variation on the moving average system is to calculate moving averages on the Highs or Lows, rather than on the Close.

Sometimes referred to as Percentage Bands, price envelopes are plotted at a set percentage above and below a moving average.

A simple moving average system, often combined with filters for greater effectiveness.

Fast and slow moving averages provide a powerful measure of trend strength and direction.

A more sophisticated system that uses a third moving average to identify ranging markets.

Fast and slow moving averages can provide potent market signals.

Daryl Guppy uses multiple moving averages to measure trends and identify likely reversals. The indicator compares multiple short-term and long-term exponential moving averages.

Ivan Ballin's (Ingot54) variation of Daryl Guppy's Multiple Moving Averages.

The Commodity Channel Index (CCI) highlights overbought and oversold markets and likely turning points.

This immensely powerful indicator isolates the short cycle and provides excellent trend signals.

MACD (Moving Average Convergence Divergence) is a powerful refinement of the two moving averages system, providing reliable signals of trend changes.

The MACD Histogram (Moving Average Convergence Divergence Histogram) provides far earlier and more responsive signals than the original MACD. Unfortunately it is also more volatile.

A sophisticated indicator by Welles Wilder, Directional Movement is one of few indicators that signals whether a trend is suitable to trade.

Developed by J. Welles Wilder, the Parabolic SAR indicator provides excellent entry and exit points in trending markets.

Edwin Coppock designed this oscillator with one sole purpose: to identify the commencement of bull markets.

Momentum measures trend strength and identifies likely reversal points. A simple but effective measure of rate of change of prices.

Norman Fosback uses Negative Volume Index (NVI) with Positive Volume Index (PVI) to identify bull markets.

Introduced by Norman Fosback, Positive Volume Index identifies bull and bear markets by measuring activity on days when volume is higher.

A refinement of Momentum - Rate of Change is designed to fluctuate as a percentage around the zero line.

A very popular momentum oscillator developed by Welles Wilder, RSI (Relative Strength Index) compares upward and downward movements in closing price.

Smoothed Rate of Change (SROC) was first introduced by Fred G Schutzman in Futures magazine, April 1991. The oscillator performs a similar function to the Momentum and Rate Of Change indicators.

Designed for trading trends, TRIX uses a triple-smoothed moving average to eliminate cycles shorter than the indicator period.

Developed by Dr Alexander Elder, the Elder-ray indicator measures buying and selling pressure in the market. The Elder-ray is often used as part of the Triple Screen trading system.

Donald Dorsey predicts trend reversals by comparing trading range over a 9 day period.

The Slow Stochastic provides more reliable signals than the original indicator. It applies further smoothing to reduce volatility and improve accuracy.

Developed by George Lane to track market momentum, the stochastic oscillator comprises two lines: %K and %D.

Created by Adam White, Vertical Horizontal Filter (VHF) identifies trending and ranging markets.

Williams %R is similar to Stochastic %K - except that Williams %R is plotted using negative values.

Larry Williams highlights accumulation and distribution by comparing daily trading ranges. Signals are taken on divergences.

Williams Accumulation Distribution is traded on divergences. When price makes a new high and the indicator fails to exceed its previous high, distribution is taking place.

Measures the commitment of bulls and bears, giving advance warning of trend changes.

Another popular indicator by Marc Chaikin based on the Accumulation Distribution line.The Chaikin Money Flow indicator often warns of breakouts and provides useful trend confirmation.

Marc Chaikin's chaikin oscillator monitors the flow of money in and out of the market.

Money Flow Index measures trend strength and warns of likely reversal points.

Twiggs Money Flow is Colin Twiggs' derivation of the popular Chaikin Money Flow indicator.

Volume highlights unusual trading activity and provide powerful confirmation of price signals.

The rate of change formula can also be applied to volume, where it highlights changes in volume activity.

An easy to use oscillator that highlights changes in volume activity.

Developed by Dr Alexander Elder, the Force index combines price movements and volume to measure the strength of bulls and bears in the market.

Developed by Joseph Granville, OBV provides a powerful measure of accumulation and distribution by comparing volume to price movements.

Measures the strength of trends and warns of reversals...

Developed by Richard W Arms, this powerful indicator highlights the relationship between price and volume.

The greatest advance in the last decade, equivolume exposes price and volume interaction.

Welles Wilder developed Average True Range to measure commitment in a trending market.

Developed by Marc Chaikin, volatility is measured as the range between high and low prices.

The Volatility Ratio identifies days with exceptionally wide trading ranges (the distance between High and Low) and is used to signal likely reversal days. Details ...

This ratio is similar to that used by Jack Schwager in Technical Analysis to identify wide-ranging days.

Invented by John Bollinger, the bands offer powerful support for signals from trend or momentum indicators. Bollinger Bands are calculated at a specified number of standard deviations above and below the moving average, causing them to widen when prices are volatile and contract when prices are stable.

Volatility is a statistical measure called the coefficient of variation.

Measures the commitment of bulls and bears, giving advance warning of trend changes.

Welles Wilder developed Average True Range to measure commitment in a trending market.

Invented by John Bollinger, the bands offer powerful support for signals from trend or momentum indicators. Bollinger Bands are calculated at a specified number of standard deviations above and below the moving average, causing them to widen when prices are volatile and contract when prices are stable.

Candlesticks contain the same data as a normal bar chart but highlight the relationship between opening and closing prices.

Another popular indicator by Marc Chaikin based on the Accumulation Distribution line.The Chaikin Money Flow indicator often warns of breakouts and provides useful trend confirmation.

Marc Chaikin's chaikin oscillator monitors the flow of money in and out of the market.

Developed by Marc Chaikin, volatility is measured as the range between high and low prices.

The Commodity Channel Index (CCI) highlights overbought and oversold markets and likely turning points.

Edwin Coppock designed this oscillator with one sole purpose: to identify the commencement of bull markets.

This immensely powerful indicator isolates the short cycle and provides excellent trend signals.

A sophisticated indicator by Welles Wilder, Directional Movement is one of few indicators that signals whether a trend is suitable to trade.

Developed by Richard W Arms, this powerful indicator highlights the relationship between price and volume.

Developed by Dr Alexander Elder, the Elder-ray indicator measures buying and selling pressure in the market. The Elder-ray is often used as part of the Triple Screen trading system.

The greatest advance in the last decade, equivolume exposes price and volume interaction.

Project Fibonacci extension levels from a present trend.

Project Fibonacci retracement levels from an existing trend.

Developed by Dr Alexander Elder, the Force index combines price movements and volume to measure the strength of bulls and bears in the market.

MACD (Moving Average Convergence Divergence) is a powerful refinement of the two moving averages system, providing reliable signals of trend changes.

The MACD Histogram (Moving Average Convergence Divergence Histogram) provides far earlier and more responsive signals than the original MACD. Unfortunately it is also more volatile.

Donald Dorsey predicts trend reversals by comparing trading range over a 9 day period.

Median price measures the mid-point of the trading range for each period.

Momentum measures trend strength and identifies likely reversal points. A simple but effective measure of rate of change of prices.

Money Flow Index measures trend strength and warns of likely reversal points.

The Moving Average is a powerful measure of trend direction, achieved by smoothing price data. Moving Averages can also be used on median,typical and weighted closing prices as well as other indicators.

A new variation on the moving average system is to calculate moving averages on the Highs or Lows, rather than on the Close.

Daryl Guppy uses multiple moving averages to measure trends and identify likely reversals. The indicator compares multiple short-term and long-term exponential moving averages.

Norman Fosback uses Negative Volume Index (NVI) with Positive Volume Index (PVI) to identify bull markets.

Developed by Joseph Granville, OBV provides a powerful measure of accumulation and distribution by comparing volume to price movements.

Developed by J. Welles Wilder, the Parabolic SAR indicator provides excellent entry and exit points in trending markets.

Introduced by Norman Fosback, Positive Volume Index identifies bull and bear markets by measuring activity on days when volume is higher.

A potent stock selection tool, Price Comparison charts the performance of a stock against an index or a related stock.

Compare bond yields or interest rates that share the same price axis.

Sometimes referred to as Percentage Bands, price envelopes are plotted at a set percentage above and below a moving average.

A powerful tool for stock selection, Price Ratio is often referred to as relative strength or comparative strength. It compares the performance of a stock relative to an index or a related stock.

Measures the strength of trends and warns of reversals...

Ivan Ballin's (Ingot54) variation of Daryl Guppy's Multiple Moving Averages.

A refinement of Momentum - Rate of Change is designed to fluctuate as a percentage around the zero line.

The rate of change formula can also be applied to volume, where it highlights changes in volume activity.

A very popular momentum oscillator developed by Welles Wilder, RSI (Relative Strength Index) compares upward and downward movements in closing price.

The Slow Stochastic provides more reliable signals than the original indicator. It applies further smoothing to reduce volatility and improve accuracy.

Smoothed Rate of Change (SROC) was first introduced by Fred G Schutzman in Futures magazine, April 1991. The oscillator performs a similar function to the Momentum and Rate Of Change indicators.

Trade standard deviation channels are plotted at a set number of standard deviations around a linear regression line.

Developed by George Lane to track market momentum, the stochastic oscillator comprises two lines: %K and %D.

A trendline is simply a momentum indicator, alerting you to any acceleration or deceleration of the trend.

Designed for trading trends, TRIX uses a triple-smoothed moving average to eliminate cycles shorter than the indicator period.

Twiggs Money Flow is Colin Twiggs' derivation of the popular Chaikin Money Flow indicator.

Typical price is a useful filter for moving average systems.

Created by Adam White, Vertical Horizontal Filter (VHF) identifies trending and ranging markets.

Volatility is a statistical measure called the coefficient of variation.

Jack Schwager uses this ratio to identify wide-ranging days.

This ratio is similar to that used by Jack Schwager in Technical Analysis to identify wide-ranging days.

Volume highlights unusual trading activity and provide powerful confirmation of price signals.

An easy to use oscillator that highlights changes in volume activity.

A simple but effective filter for moving average systems.

Williams %R is similar to Stochastic %K - except that Williams %R is plotted using negative values.

Larry Williams highlights accumulation and distribution by comparing daily trading ranges. Signals are taken on divergences.

Williams Accumulation Distribution is traded on divergences. When price makes a new high and the indicator fails to exceed its previous high, distribution is taking place.

The Moving Average is a powerful measure of trend direction, achieved by smoothing price data. Moving Averages can also be used on median,typical and weighted closing prices as well as other indicators.

When tracking the primary trend you are faced with a wide choice of moving averages.

A new variation on the moving average system is to calculate moving averages on the Highs or Lows, rather than on the Close.

Sometimes referred to as Percentage Bands, price envelopes are plotted at a set percentage above and below a moving average.

A simple moving average system, often combined with filters for greater effectiveness.

Fast and slow moving averages provide a powerful measure of trend strength and direction.

A more sophisticated system that uses a third moving average to identify ranging markets.

Fast and slow moving averages can provide potent market signals.

Daryl Guppy uses multiple moving averages to measure trends and identify likely reversals. The indicator compares multiple short-term and long-term exponential moving averages.

Ivan Ballin's (Ingot54) variation of Daryl Guppy's Multiple Moving Averages.

MACD (Moving Average Convergence Divergence) is a powerful refinement of the two moving averages system, providing reliable signals of trend changes.

The MACD Histogram (Moving Average Convergence Divergence Histogram) provides far earlier and more responsive signals than the original MACD. Unfortunately it is also more volatile.

The MACD Histogram (Moving Average Convergence Divergence Histogram) provides a highly responsive measure of market direction but is more suited to traders than investors.

Point & Figure charts are used to identify support levels, resistance and chart patterns. Point and Figure ignores the time factor and concentrate solely on movements in price.

Suitable Point & Figure settings: log or normal scale; box size and reversal amounts; and pricing method.

Create custom Point and Figure chart s from the Indicator Panel.

Basic Point & Figure Patterns: Support and resistance, trendlines, breakouts, bullish and bearish signals.

One of the most reliable point & figure chart patterns, Bull Traps occur when an upward breakout retreats back below the new support level.

The cup and handle was popularized by William J O'Neill (How To Make Money In Stocks).

Similar to bull and bear traps, false (or marginal) breaks occur at minor support levels (from a previous low) or minor resistance.

Retracements (or corrections), during a trend, tell us about the strength of the trend.

An upward spike is where a rally exceeds the previous column of Xs by at least 10 boxes.

After an up-trend, marginal new highs (especially where accompanied by equal or lower lows) indicate a loss of momentum.

For a valid triangle there must be at least two retracements counter to the prevailing trend.

The Stock Screener is used to identify securities that warrant further analysis and it is not advisable to trade on the strength of the Stock Screens alone.

How to save a stock screen.

How to view your saved stock screens.

Share your saved stock screens with other users.

How to find a shared stock screen.

Results of a Stock Screen Search are presented in spreadsheet format.

To find stocks that are breaking out from a long-term base, we need to screen for stocks that are trending up but ...

To find stocks that are consolidating within a narrow range, we apply the following filter: Directional Movement ADX Value Filter; Minimum 2; Maximum 10 ...

To find stocks that are trending, we apply one/both of the following filters: Moving Average Crossovers Bull Signal; Closing Price > 100-Day MA...

To find exhaustion gaps, we need to apply two filters: (1) Gaps; and (2) A filter to identify extended trends.

The price filter can be used to filter out stocks above or below selected limits. The Minimum and Maximum fields are measured in cents.

Percentage Price Move can be used to filter stocks that have increased/decreased by more than a specified percentage.

Percentage Of Price High compares the current closing price to the previous high.

Bollinger Band filters are calculated using exponential moving averages. Values are compared to Bollinger Bands at 1.0 standard deviation above and below the selected moving average.

When DI crosses above DI-, this signals an up-trend. When DI- crosses to above DI , this signals a down-trend.

Gaps occur when the lowest price traded is above the high of the previous day.

Moving Average Crossovers are calculated using exponential moving averages. See Two Moving Averages for further details.

MACD Bull Signals when MACD crosses to above the signal line....

Relative Strength Index is calculated using the Wilder moving average formula.

Slow Stochastic crossovers are calculated using %K from the Slow Stochastic formula. This is equal to %D from the fast Stochastic.

Volatility is used to filter out stocks above or below specified levels of risk: The Minimum and Maximum fields are measured as percentages.

The Volatility Ratio identifies days with exceptionally wide trading ranges (the distance between High and Low) and is used to signal likely reversal days. Details ...

The volume filter is used to filter out stocks which show insufficient activity (ie. stocks with low liquidity): The Minimum field represents volume (in number of ...

Volume Moving Average crossovers are calculated using exponential moving averages. See Volume Oscillator for further details.

Volume spikes are days on which there is unusually high volume activity, measured by comparing daily volume to a 50-day exponential moving average (of volume).

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What is Technical Analysis? Foundations of Technical Analysis and does it really work?

Support and resistance are the foundation stone of all technical analysis.

The key to analysing bar charts: control, commitment, OHLC, whipsaws, long and short positions...

Expose hidden trends: markets trend in more than one direction at the same time...

The simplicity of these observations by Charles Dow belie their immense impact on the field of technical analysis.

How to identify trends and trend changes.

Lines (or ranging markets may take the place of a secondary reaction.

Bull and Bear markets are confirmed by both the Industrial and Transport Averages...

Bull and bear markets each have three phases.

Stan Weinstein's powerful system for trading long-term trends: the model combines a number of proven techniques to identify breakouts.

A swing trading technique using moving averages and short-term chart patterns.

An often-discussed system for tracking trends is the Directional Movement System set for weekly, rather than daily, directional movement. We compare performance to Stan Weinstein's breakout model.

If you are going to trade trends, no matter what the time frame, you are likely to encounter three major problems: false starts, early shakeouts and ...

Never trade against the trend - a fundamental principle in technical analysis. That's easy enough to follow, but how do you determine the trend?

Used to measure trend direction, moving averages are only one of many important trend indicators.

Three main indicators of the strength of a trend.

A trendline is simply a momentum indicator, alerting you to any acceleration or deceleration of the trend.

Trade standard deviation channels are plotted at a set number of standard deviations around a linear regression line.

The behavior of the market is the most powerful influence on the performance of every stock.

The change in prices on any day is influenced by a number of cycles in different time frames...

Edwin Coppock designed this oscillator with one sole purpose: to identify the commencement of bull markets.

Developed by Chartcraft, the index combines bull signals from individual stocks to identify market trends.

William J. O'Neill identifies these signals in 24 Essential Lessons for Investment Success.

Stan Weinstein's powerful system for trading long-term trends: the model combines a number of proven techniques to identify breakouts.

Interest rates have a big influence on stock markets because of three factors.

Each chart type reveals different facets of the relationship between price, trading range and volume.

Candlesticks contain the same data as a normal bar chart but highlight the relationship between opening and closing prices.

How to identify trends, control, commitment, uncertainty, inside and outside days.

The greatest advance in the last decade, equivolume exposes price and volume interaction.

Point & Figure charts are used to identify support levels, resistance and chart patterns. Point and Figure ignores the time factor and concentrate solely on movements in price.

Stock trading, or speculation as it used to be called, is the buying or selling of stocks to profit from a change in prices.

Restrict the size of your initial position so that your capital is protected if you suffer a string of losses.

Stop loss orders are limits set by traders at which they will automatically enter or exit trades.

Base your stops on technical levels otherwise they will cost you money. Arbitrary levels are liable to be breached by the normal cycle.

Lock in your profits and ride the trend, avoiding shake-outs by minor corrections.

An objective formula used to assess the risk associated with each trade.

A powerful formula for limiting losses, protecting profits and avoiding false signals.

Trailing Percentage Stops work with a ratchet effect, trailing price movements by a set percentage.

Tricks of the Trade: A market professional may want to accumulate a large position in a stock that is trending strongly...

Tricks of the Trade: If a market professional sits with a large sell order and the stock is consolidating....

Tricks of the Trade: Also referred to as ramping, this is an old trick often perpetrated by sly old hands who prey on newcomers.

One of the most reliable point & figure chart patterns, Bull Traps occur when an upward breakout retreats back below the new support level.

Your biggest enemy, when trading, is within yourself. Success will only come when you learn to control your emotions.

What personality style are you? And how does this suit becoming a trader?

Most traders are on the lookout for ways to improve their trading, but some dedicate their lives to searching for the holy grail.

Before you can manage your emotions it helps to understand what causes them. Our brains and endocrine system are a veritable narcotics factory...

Investors often use distorted logic when buying stocks: what goes up must come down? Stocks that rise steeply in price and make new highs are viewed as expensive ...

If I toss a coin and heads turns up five times in a row. Which side is more likely to turn up the next time? Heads or tails?

Finding the Right Trading Course (and avoiding the obvious pitfalls): If you had to enrol on a one-week trading course, you may learn some good basic trading skills.

Becoming an Expert Trader (and the value of trading courses): It may take 3 to 5 years to become a good trader. Becoming an expert could take even longer ...

The secret of successful trading: adjust your trading system to prevailing market conditions...

Market leaders deliver superior returns compared to laggards, offering more consistent growth...

The market exerts a powerful influence on the performance of individual stocks. Study the big picture first before looking at any shares in isolation.

The key to successful trend trading.

Perfect timing: use momentum oscillators to signal entry points in the trend.

Stop-loss orders are a critical element in any trading system, to protect your capital and to lock in profits.

Increase profits: use trend indicators to time your exit from trends. Adjust the Indicator Time Frame to suit the cycle being traded.

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