V.16:2 (89-98): Anchored Momentum by Rudy Stefenel

V.16:2 (89-98): Anchored Momentum by Rudy Stefenel
Item# \V16\C02\014ANCH.PDF
Availability: In Stock

Product Description

Anchored Momentum by Rudy Stefenel

A centered simple moving average can be used as a reference point when creating technical analysis indicators. Even though a centered simple moving average produces a plot much smoother than its related price plot, the centered moving average technique is generally ignored because it stops short by half of its period. However, some unique and effective momentum indicators can be anchored to a point on a centered simple moving average. Here are the benefits of anchored momentum.

Two points on a security price plot can be used to calculate ordinary momentum. A straight line drawn between these points is the momentum line. Figure 1 shows a 27-day centered simple moving average (purple) for the NASDAQ composite index with two different 13-day momentum lines. The ordinary momentum line is green; the anchored momentum line is red. Both end at the closing price on the last day, which is the end of the price plot.

*Note: $2.95-$5.95 Articles are in PDF format only. No hard copy of the article(s) will be delivered. During checkout, click the "Download Now" button to immediately receive your article(s) purchase. STOCKS & COMMODITIES magazine is delivered via mail. After paying for your subscription at store.traders.com users can view the S&C Digital Edition in the subscriber's section on Traders.com.

Take Control of Your Trading.
Professional Traders' Starter Kit
All these items shown below only $299.99!
  • 5-year subscription to Technical Analysis of STOCKS & COMMODITIES, The Traders' magazine. (Shipping outside the US is extra. Washington state addresses require sales tax based on your locale.)
  • 5 year access to S&C Archive
  • 5 year access to S&C Digital Edition
  • 5-year subscription to Traders.com Advantage.
  • 5-year subscription to Working Money.
  • Free book selection.
  • Click Here to Order