novacane32000
331 posts
msg #107529
- Ignore novacane32000 |
8/10/2012 3:07:23 PM
Does anyone know how to determine the angle of a (ma)?
I am thinking this can be used as a gauge to quickly determine Up-Flat -Down markets using longer (ma) such as the 50.
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Cheese
1,374 posts
msg #107530
- Ignore Cheese |
8/10/2012 3:20:32 PM
There are some clever ideas here:
http://forums.stockfetcher.com/sfforums/?q=view&tid=55214&start=0&isiframe=
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four
5,087 posts
msg #107531
- Ignore four |
8/10/2012 3:25:39 PM
using SLOPE...
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novacane32000
331 posts
msg #107537
- Ignore novacane32000 |
8/11/2012 9:52:26 AM
Four-Cheese Thanks. Very helpful.
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Kevin_in_GA
4,599 posts
msg #107539
- Ignore Kevin_in_GA
modified |
8/11/2012 4:35:44 PM
The angle of a moving average is sort of irrelevant in that unless it is normalized by percent gain you cannot compare one to another since the abscissa (x-axis) is always the same and the ordinate (y-axis) values are different. Think about comparing AAPL at $620 to MSFT at $30. The angle of the 5 - day slope cannot be compared unless it is in percent move; therefore I would suggest using ROC instead.
One further comment - ROC is calculated just by the begin and end values, and does not take into account the volatility or "bumpiness" of the ride. The reason I say this is that you are talking about the slope of the MA, but that's not what you are buying when you enter the trade. SF has a little used indicator called "rsquared" (the syntax is rsquared(close,days)) that might be of interest to folks here. It basically looks for stocks that are trending in a straight line.
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