ALTR Sample Trade & COMP chart

In our user manual, we have discussed that it is very beneficial to align the trades with the general direction of NASDAQ.
Yesterday's NASDAQ Comp charts showed that there was still upside left for the market.
So when the ALTR buy alert shown below came along, it had added incentive for taking it.
Notice that at the time of the alert both the components of the Pink oscillator (top right panel) i.e. the Green and the Violet have turned upwards. The entry price was $26.63. The fast oscillators in this chart don't have much influence on the price (Reminder: price is the sum of all the oscillators and indicators).
The Black oscillator hasn't yet turned and the Blue oscillator is still up. So the only concern for safety comes from the Daily Model (bottom left) that has turned down.
But it is a short term type 6 alert with 0.9 trading days duration. Learn more about alerts here or in the manual.

Altr912buy


As expected, after the dip in the open the market turned around (we'll get to the COMP chart shortly). By 11:15am today, as seen from the charts today, we can see that the fast oscillators that have gained magnitude are turning down. At this point with the price at $27.57, we can exit with a very neat 3.5% profit without waiting for the automated exit alert.

Altr912exit


In fact the automated exit alert was issued for the trade 12:30 at a price of $27.50 as the Pink oscillator had turned down.

Picking trades that are aligned with NASDAQ would have also led to trades on RFMD and DD yesterday as can been seen in the charts at our site.

Now let us look at the zoomed in top panels of the NASDAQ COMP Intraday chart from 12:45 today. We can see how as expected from yesterday's charts, the fast oscillators moved down first before turning around and making the markets positive.

Comp914intra


The market movement today, as can be seen above, was well correlated with the oscillators. The media had to first find a causation in European worries for the down open and then reassign the cause to report on retail sales once the market turn around :-)

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DD short trade example

The sample trade for today is on ticker DD. I am also experimenting with Fireshot plugin for Firefox to explain the figures better with markets and pointers.
In the figure below, we can see the alert of type -6 (short-sell) that came in at 3:30 yesterday (7/15).
We can see that the alert has been triggered by the downward turn of Mid Pink oscillator (top left).
The Slow Black and Red oscillators haven't clearly turned upwards yet (bottom right).
In the bottom left panel, notice that the Daily Model has flattened. Also we can see that the price hasn't moved higher recently under the influence of Pink
as it has been offset by the downward move of Black and Blue. Remember that price is sum of all the oscillators and models. Though
the fast oscillator is rising, we can see that their amplitude is not much.

Ddshort715

We can see that the exit for this alert came in at 10:45 EST today (7/16).
From the figure below, we see that all the oscillators remained consistent. Black oscillator at its turning point came under the influence of the strong downward move of Pink. Remember from the manual that the oscillators are most vulnerable at their turning point since that is when they have the least momentum. The exit price is $36.46 so the profit was over 1% for a trade duration of less than 2 hours!

Ddexit716

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Round-trip Trades so far this week

Here's a list of trades that have opened and closed based on alerts with T.R*P.R>3.5 so far this week.

 
Ticker      Alert type     Entry Price       Exit Price        Profit
 
CAT           buy(6)           64.45               66.47            3.1%
 
AKS           buy(6)          12.94                13.22           2.2%
 
AKS           buy(5)          12.95                13.19           1.8%
 
MT             buy(4)          29.45                30.31            2.9%
 
IDTI            buy(7)          5.23                   5.22             0
 
CPRT         buy(6)          35.70                36.25            1.5%
 
GTI            buy(7)          15.27                 15.48            1.4%
 
FCS          buy(7)           9.36                   9.36              0
 
CMN        short(-5)          17.07                16.92            0.8% 
 
BRC          buy(7)           25.98                 26.03            0
 
DD           short(-5)          37.09               36.86             0.6%
 
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