WELLINVESTED.COM
FIGURE 1: HOME PAGE, WELLINVESTED.COM
Even with the plethora of technical analysis-related websites available
and new ones popping up, it is difficult to find gems. One that I found
very impressive is wellinvested.com, recently launched by trader David
Maynard. For $29.99 per month for equities and $49.99 for futures, what
you get is a rich set of features that any technical trader will find of
interest. There is also a 30-day free evaluation available. No special
hardware has to be installed on your computer, and dedicated datafeeds
are not required.
Once you sign in, you'll see a list of the top-performing strategy/security
combinations. This gives you an idea of what the site encompasses. You'll
notice five tabs across the top of the page. Of particular significance
is "Advice center," "My strategies," and "Design
center."
I'll start with the advice center. When you're there, you have three
choices: Find a strategy, find a stock, and the strategy library. To identify
a strategy, your first step is to enter any stock symbol.Wellinvested.com
will then test its various strategies on that specific stock and display
the results in a tabular format so you can see which strategies give profitable
results. Once you look over the results, you can select any strategy you
are interested in and look at it more closely. These more detailed variables
include risk, annual yields, drawdowns, and number of trades. You can also
view historical charts that display the price chart showing long, flat,
and short positions; a chart of the particular indicator used so you have
an idea of where the buy and sell signals came from; and an equity chart
showing the profitability of the strategy. You can also see a table of
all the trades placed with entry dates, exit dates, entry price, exit price,
and profit/loss.
In addition to selecting a strategy for a specific stock, you can do
the reverse -- find a stock by selecting a strategy from the list provided.
A list of stocks that were profitable using your selected strategy will
be displayed. You can select any stock you are interested in and get additional
details similar to the ones mentioned for the strategy selection.
Do you want to know what strategies are used? You can find them all
listed in the strategy library. They are divided into six categories: trend-following,
quick movers, tried and true, purely technical, seasonal, and user-defined.
Some of these are based on indicators you will be familiar with, but some
are proprietary. Examples of common strategies include moving average,
relative strength index, Trix, and Vidya crossover.
Moving on to the "My strategies" tab, registered users can
subscribe to any of the listed strategies or have the option to create
their own. Here you can keep track of any of these strategies. If you opt
to create a strategy, you have the opportunity to share it with others
in the community.
If you are interested in creating your own strategy, head over to the
design center, where you can get an idea of how to go about doing this.
Wellinvested.com uses the Catalyst programming language, which is similar
to EasyLanguage. There are different ways to go about creating your own
strategies. The simplest is to use the design wizard, where you select
your buy and sell rules and then test the strategy on a specific stock
based on these rules. Another option is to write the code yourself. For
those who wish to try this option, you can go over the tutorial where all
the bells and whistles of Catalyst are provided.
Wellinvested provides the tools necessary to investigate, track, and
update a trading strategy. All the data, analytical systems research, end-of-day
alerts, and optimization necessary to set up and implement a trading strategy
are provided in the monthly subscription. All subscribers to the website
receive a daily e-mail that provides recommendations on how to apply strategies
you have subscribed to. I was only able to test the site on equities, but
a similar set of features for trading futures is being developed and will,
I hope, be available by the time you read this review. Overall, this is
a well-designed site that is easily navigable and one that technical traders
will find worthwhile.
--Jayanthi Gopalakrishnan, Editor
STOCKS & COMMODITIES
Originally published in the July 2003 issue of Technical
Analysis of STOCKS & COMMODITIES magazine. All rights reserved. ©
Copyright 2003, Technical Analysis, Inc.
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