Statistical Analysis of Stocks and Indices
by John Sweeney
SASI Software Corp.
Portland, OR 97140
Product: Stock market timing system
Requirements: IBM PC/XT/AT or compatible with Lotus 1-2-3 (or macro-compatible clone of
Lotus). 640K of RAM and any version of Lotus through Version 2.2. A hard disk is recommended.
Support: A (Mason always seems to be there!)
Disclosure: B (not in the manual)
Data support: C (manual entry)
Ease of use: B+ (if you like Lotus 1 -2-3)
Profitability: No way to tell
Overall: B (specialized package with proprietary indicators)
William Mason has indulged an engineer's dream and tinkered with trading mathematics. He even
enshrined the work in Lotus 1-2-3 templates and started selling the results as the SASI Market Timing
The first idea was to define a trading range statistically and then develop top-and bottom-spotters based
on price position in that range à la stochastics. He then developed a technical index that included all the
effects of advancing and declining issues, advancing and declining volume, new highs and new lows.
SASI Market Timing Analysis includes Mason's constructs (SASITOP, SASIBOT, SASI Stochastics and
the Technical Index) as well as a good stable of classics on which these can be used: Relative Strength
Index, the McClellan Oscillator, modified on-balance volume, momentum, ARMS Index and cash flow.