Education Center
Could you please tell me which websites I can look for the volume of Nasdaq, volume of accumulation and distribution?
You can find Nasdaq volume on www.nasdaq.com NYSE volume on www.nyse.com, and both on http://quote.yahoo.com/mo. That gives you the raw data. Now as for what is accumulation and what is distribution, those are concepts that involve understanding the relationship between volume on up sessions versus volume on down sessions, block trades, etc. There is no […]
Can you explain to me what a “point” is on an index? What monetary value does one point represent, or does it work that way?
A point is the increment by which an index moves up or down, and is how the index is valued. Basically it is not something that you would buy an option on and then want to convert it to dollars. For instance, if you were in OEX options, you could not convert them to some […]
Where can we find deltas on the web?
Finding such a useful piece of information for investing in options is surprisingly difficult on the web without a real time service. Deltas on options, i.e., how much the option price moves for each one dollar move in the stock, can help us determine what options we want to purchase or sell. We like deltas […]
You had mentioned the ARMS index a few weeks ago, as having a good track record for predicting market bottoms, then I haven’t seen your conclusion of what actually happened. Could you comment?
The Arms Index has a couple of ways to read the market, the primary being a close over 1.50 indicating a significant bottom in 4 to 20 days after the signal is flashed. The indicator is simply another means of viewing market fear and anxiety and finding a ‘capitulation’ bottom. What happened this time around […]
Why are the stocks that are connected with Anthrax Detection Systems consolidating now instead of forging higher? Specifically I mention both CPHD and NGEN. Early last week while most Nasdaq stocks were consolidating, these stocks were surging higher. Now that most Nasdaq stocks are strengthening, these stocks are consolidating. It would seem that with all the scare of Anthrax out there, that these companies would really be rallying higher.
This question was sent in before today’s action, but the idea is still there. What has been occurring over the last three weeks is overall accumulation in stocks. When that happens some hot sectors remain hot while some cool down as money is spread out over a larger number of sectors. Think of it this […]
What are counter-cyclical stocks?
That is what we get for using a term and not defining it. Counter-cyclical could be any stock that rises (or falls) when the majority of the other stocks are falling (or rising). One of the best examples are ‘defensive’ stocks that some investors turn to in times of uncertainty. These would include oil companies […]
I really don’t want to go to my grave still searching for the real reason for the economy’s trashing. Since “inflation” can be readily dismissed, would you mind sharing some of the “other motives” you have alluded to in past reports?
There has been much speculation as to what movtivated the Fed to take such a sustained assault on inflation that was not present, citing as support such things as consumer spending, employment, home sales and business spending as flashpoints for inflation. After diligently supporting free markets, the Fed started takign a different approach in 1996 […]
Should investors put money back into NASDAQ consolidation now? It seems that we have missed the boat?
If this is a true bull run, we will have many chances to enter positions. Contrary to what we hear on the television from mutual fund managers that are saying if you are not fully invested all the time you miss the first half or so of a 25% move in the index. If you […]
When a stock breaks out on huge volume for a couple of days and only moves the price a little, what does that mean?
Assuming the stock broke out of a sound pattern on heavy volume, the key is whether it holds at the pivot point or not. Usually a heavy volume breakout will propel a stock higher within a few sessions, often on the day of the breakout. The pivot point is the point of resistance that once […]
I agree that the Nasdaq will need the S&P and Dow to clear resistance for any continued move to the upside. But consider this – Year to date the Nasdaq is down 28% while the S&P is down 17% and the Dow is only down 12%. So the Nasdaq has more ground to make up just to get back to ground zero. So could it be possible that we continue to see the Nasdaq out perform both the Dow and S&P until there is more equality in the indices?
The Nasdaq has been down year to date more than the other big two, but it started the the slide well ahead of the other two as well as far as percentage gains. Thus it could fall further on a percentage basis and still no ‘ahead’ of the other two. What the Nasdaq is doing […]
