CLARIFICATION, NOT CRITICISM
Editor,
I was shocked to learn that an S&C reader interpreted my letter
to the editor in the February 2001 STOCKS & COMMODITIES
("Phasor Displays") as a criticism of John Ehlers. I have so
many faults that I have a personal rule never to criticize any person.
My letter was an appeal for help, not a criticism. Ehlers's articles
show brilliance, but I'm frustrated because they go over my head. (Perhaps,
as my wife reminds me, an idea goes in one of my ears and out the other
-- with nothing to stop it.)
If I say that I don't understand Einstein's writings (and I don't),
this is certainly not a criticism of Einstein!
Arthur Merrill
Haverford, PA
We'll admit that John Ehlers's articles, such as "Phasor Displays"
in the December 2000 S&C and "Nonlinear Ehlers Filters" in
the April 2001 S&C are innovative yet challenging. We appreciate the
feedback we receive from you, Art, and our other readers.
Note to readers: More than 50 articles by Arthur Merrill have been published
over the years in Technical Analysis of STOCKS & COMMODITIES magazine.
Merrill -- modest though he is -- has expertise in statistically quantifying
technical analysis concepts; is the author of several books, including
Behavior Of Prices On Wall Street and Filtered Waves, Basic Theory;
and is former editor of the Technical Trends newsletter. -- Editor
INDEX COMPONENT STOCKS
Editor,
I was wondering if you know where I could get a complete listing
of the stocks in the Standard & Poor's Small-Cap 600 and the S&P
Mid-Cap 400? I found information on the S&P 500 easily enough, but
not the other two.
Love the mag. Keep 'em coming.
Jeff Painchaud
Saco, ME
You can find this information on the Standard & Poor's website --
http://www.spglobal.com. -- Editor
PAPER TRADING
Editor,
I have been receiving Technical Analysis of STOCKS & COMMODITIES
the Traders' Magazine, and I just recently received a sample issue of Working
Money, The Investors' Magazine. S&C is a wonderful publication
and I must say that, as a novice trader, I am learning so much. I look
forward to the next issue. I think I will subscribe to Working Money
as well, because I was pleasantly surprised at the content and the
presentation of the topics. They are both great learning tools for me.
My question to you is, What website can I access to paper-trade stocks?
I have come across sites that facilitate paper-trading of commodities and
futures, but I must admit I am not at that point yet. One thing at a time.
If you can recommend such a website, preferably one charging little or
no fees, it would be greatly appreciated.
Lisa G. Carter, via e-mail
Try:
http://daytrading.about.com/money/daytrading/cs/simulatedtrading/index.htm
For futures and options paper-trading, try:
http://www.gpfo.com/
or
http://www.onlinefuturesbroker.com/
For stocks, try:
http://www.thegreatgame.com/
or
http://estreettrading.com/paper_traders/Paper_Traders.htm
In addition, most direct-access brokers offer limited, free trial versions
of their software that you can use to paper-trade. For a list of direct-access
brokers, visit the Traders' Resource feature at our website, www.Traders.com.
Perhaps one of our readers can also send in a suggestion. -- Editor
SUPPORT-RESISTANCE INDICATOR
Editor,
Please help! TradeStation 2000i includes an indicator called support-resistance.
I am intrigued by this indicator and would like to know more about how
to use it. It apparently comes from one of your articles. (Omega Research
wasn't able to help.)
I would be happy to buy any articles or information you have concerning
this indicator. Thanks for your help.
Steve Novotny, via e-mail
For more information about support and resistance analysis, see Mel
Widner's article "Automated Support And Resistance" in the May
1998 S&C and the accompanying Traders' Tips. Article reprints can be
purchased from our Online Store at our website, www.Traders.com. -- Editor
CHARTING BY HAND
Editor,
I'm a beginner in the stock market arena. I have read several books
on technical analysis. I have a limited budget and no access to a computer
or online service. I would like to chart the stock price action and volume
by hand to get a feel for the market. Is there a distributor for Tekniplat
graph paper or some other suitable type of paper for charting by hand?
Vernon Miner III
Franklin, NY
We don't know which distributor sells Tekniplat paper. Readers? --
Editor
READERS' CHOICE AWARDS
Editor,
Thank you for the interesting magazine. I especially like the Readers'
Choice Awards, which allow me to see which system is best.
Could you please create an award category for companies that cater
to electronic daytrading -- companies that allow scalp trading, such as
buying at the bid and selling at the ask? I am sure many people would like
to know about such companies and subscribe to their services.
Julian Ross
London, England
We'll surely consider it! -- Editor
CODING CANDLESTICKS
Editor,
Viktor Likhovidov's article "Coding Candlesticks(II)" in
the March 2001 S&C included a web address where readers could download
an Excel spreadsheet. However, I could not get to the address provided
at the end of the article. Is the spreadsheet still available, and what
is the address to access it?
Phil Olson
Kennewick, WA
Every month, we post new Traders' Tips on our website (www.Traders.com)
and move the previous month's tips to the back-issue archives. To download
the spreadsheet, go to:
www.traders.com/documentation/feedbk_docs/archive/032001/traderstips/CandleCodExcel.xls.--
Editor
PROFESSIONAL TRADING
Editor,
Thank you for publishing "Professional Stock Trading" in
the March 2001 S&C. The article answered most of the questions I recently
asked Don Bright (April 2001, "Since You Asked"). In fact, I
almost felt Don was writing to me. Maybe I really should consider obtaining
professional trader status. I realize now there is more to trading as a
career than just being profitable.
Ron Scott, via e-mail
DATA FOR OBSCURE INDICES
Editor,
A lot of data vendors carry the close of the major indices; some
even carry the number of advancing and declining issues and volume information.
I am looking for a vendor that carries not only the close, but also the
number of advancing and declining issues and volume data for some of the
more obscure indices (for example, the RU1000 Value index, RU1000 Growth
index, S&P 500, Wilshire 5000, and so on). Any ideas?
Mike Cummings, via e-mail
When looking for in-depth data, check Commodity Systems, Inc. (CSI),
at www.csidata.com. -- Editor
CHARTING PRICE AND VOLUME
Editor,
I am looking for a software package that will chart/graph price action
and volume together -- something with the high and low, but the width of
the line would be sized based on the volume.
Dennis Engle, via e-mail
Look for packages that support equivolume charting. -- Editor
RELIABLE REAL-TIME DATA
Editor,
I have used technical analysis techniques in the past but have always
had difficulty finding a reliable data source. Do any of the online real-time
systems lend themselves to use with MetaStock or TradeStation?
B.H. Cook, via e-mail
Both MetaStock and TradeStation have real-time versions. Just ask the
companies in question.
BROKERAGES
Editor,
I am looking for a broker who can trade a system that I developed.
I need someone who can trade signals on the Globex for the S&P 500
futures that are generated at all hours of the day and night. Do you know
of any brokers who do this? If not, can you point me in the right direction?
Jeff Ramsey, via e-mail
Many brokers support this service. For starters, try Zap Futures, MB
Trading, and Trade Center, Inc. For a list of brokers, visit the Traders'
Resource feature at our website, www.Traders.com. -- Editor
GAPO INDEX
Editor,
I just received the January 2001 S&C. The GAPO index described
in that issue is interesting, but fails to take into account the impact
of 24-hour trading. Currencies trade around the clock; therefore, their
data series appear continuous without any gaps. The same is true with other
commodities. In the sense of the GAPO, currencies will always tend to exhibit
lower randomness, due to this reason. They are, however, the toughest market
to trade from a forecasting standpoint.
The real question here is whether "erratic" and "risky"
are related to any reasonable extent. I do not think the article addresses
that question. Further, I do not see the rationale and theory behind the
formula of the GAPO. How does it differ from simple volatility measures?
Makis Charokopos
Athens, Greece
Your criticisms are well-taken. GAPO is a good start, but it's clearly
open to improvement. If we can ever pry Jayanthi loose from editing, we'll
give her some time to revisit GAPO. In the future, we hope to cover articles
that enhance the GAPO. -- Editor
EDUCATION FOR TRADERS
Editor,
I am planning to attend a graduate program with a curriculum that
focuses on financial markets. I am not really interested in subjects such
as organizational behavior or corporate finance. It's easy to find information
on business schools, but there's very little on schools that specifically
teach people how to trade or become money managers. Any recommendations?
Matteo Verna, via e-mail
Probably the furthest along in this respect is the University of Pennsylvania's
Wharton School of Business. However, all universities are necessarily oriented
to academics, not money. The best training grounds are in the industry.--
Editor
ERRATA: TRADERS' RESOURCE
Editor,
In the 2001 Bonus Issue of STOCKS & COMMODITIES,
we incorrectly listed a company in "Traders' Resource." "Roberts-Slade,
Inc.," should have read "Neovest, Inc." Neovest FirstAlert
for Windows NT or 2000 can be ordered through Neovest, Inc., for $295 per
month. For more information, contact Neovest, Inc., at 800 859-9718, www.neovest.com,
or sales@neovest.com. We sincerely regret the error.
