| rpowell2u |
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Gold User, Member, TeleChart
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| Registered User |
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| Unsure |
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| Friday, December 3, 2004 |
| Thursday, June 21, 2012 5:34:08 PM |
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I haven't been able to find the information I am looking for regarding Bear Stearns subprime market issues with two of their sponsored hedge funds. Why is it that Bear Stearns must pump money into the hedge fund to save the creditors? I thought if you invested in a hedge fund and lost money then that's your bad luck.? What is Bear Stearn's incentive to help out its hedge fund creditors? Are we looking at some type of domino effect here where some banks or mortgage companies could go under if the hedge fund collapses? Too bad they don't do that for the little guy. 
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Scott,
I agree that there are always some stocks moving up, but I have not seen 70 stocks moving up on a down day when they meet the criteria of 5 times normal volume and while being within 85% of their annual high. That is quite unusual.
I thought about "sector cycling" as a cause, but they were from many varied sectors. I also thought maybe these were stocks getting moved into the Russell Index's annual shuffle, but I couldn't find an indication of that.
So it is still a mystery. And like you mentioned, I'm wondering if 6 months from now I might regret not having bought some of them. But I try to stick to my methods and not jump onto a new bandwagon unless I have a good understanding of what's happening.
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I track on a daily basis any stocks that move upwards on volume that is 5 times greater than its 50 day average volume and whose price is within 85% of its 365 day high. In an upward moving market this usually generates 10-30 stocks meeting that criteria and in a weak market only 0-15 stocks will show up.
On Friday, 70 stocks showed up even though the market dropped significantly. I have never seen this in the 4-5 years that I have used this indicator. And I run it every day. I looked carefully at the stocks that popped up and what they had in common was that most of them had a share value that was no more than 2x the book value. It is very odd that on a very poor market day, 70 stocks move upwards in price on sudden volume increases of 5x their norm.
Any theories?
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Correction. I meant a 2day MS.
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Has anyone cruised through the ETF charts lately? Although the market as a whole appears to be headed back up, I have been jittery about it still. But the ETFs look weak across the board if you look at a 3day TSV or a 1day MS. What does everyone else see?
Thanks.
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I was using 1MA and 5MA as examples and you guys are right, the std dev of a single data point will be zero.
What I was thinking of with a one day std dev, would be to look at something like this:
9am stock trades at 5 on 4,000 sh
9:01am stock trades at 6 on 7,000 sh
9:02am stock trades at 4 on 2,000 sh
In the above example I would weight the stock trades with volume in 1000sh increments so that I would be taking a standard deviation of the following:
5,5,5,5,6,6,6,6,6,6,6,4,4
The result would be a mean of 5.38 with a std dev of .77
Is that possible to do within TC2000 if you have the streaming version?
Thanks again and sorry for the original confusion.
Robert
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Good morning.  If I wanted to chart the standard deviation of a stock price using a 1 day moving average and a 5 day moving average, how would I do that?
Thanks,
Robert
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