Tuesday, May 23, 2006

Strategy Session: Crossed Above/Below 200 Day Moving Average Breakout

Crossed Above [Below] 200 Day Moving Average Breakout is a preconfigured alert window specifically set up to find stocks that have just gone above [below] their 200 day moving average. If this sounds familiar it's because these were part of our previous Sample strategies that we rotated off the site recently.

How It's Modeled:
This window features one main alert the "Crossed Above 200 Day Moving Average" alert. It is triggered when a stock crosses its 200 day moving average and that move is confirmed by volume. This window comes with some preset filters. We included a Min Position in Range filter set at the 60th percentile so that the breakout happens in the upper 40% of a stock's daily trading range. Also there is a Min Up from the Close filter set to $0.10 so that the stock is at least positive when the breakout occurs. The settings for Crossed Below 200 Day Moving Average are the exact opposite.

The Strategies:
Crossed Above 200 Day Moving Average Breakout alert window
View settings.

Crossed Below 200 Day Moving Average Breakout alert window
View settings.

Who Could Benefit:
The 200 day moving average is a number closely watched by many traders - therefore watching stocks move above or below that figure could be an important insight into things to come.

  • Link to other Strategy Sessions here.
  • Remember that these set-ups are sketches meant to give you an idea how to model your own trading plan. Use this 'as is' or modify it to your own liking as many others do. Know, however, that Trade-Ideas.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, alerts and all other features are for research purposes only and should not be construed as investment advice.
  • June Seminar Footnote - To gain a full understanding of how this strategy and others can help you in your trading plan, we suggest you attend our training seminar in June. There we will focus on all the advanced aspects of our software needed to give you an edge against larger, more capitalized participants. We just opened the sign up page so that you can officially pay for and reserve your spot (conference limited to 100 existing subscribers). http://www.trade-ideas.com/Seminar/

1 comment:

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