Categories of Alarms:
Reversal:
Reversal Alarms are alarms that have been triggered by extreme movement (up/down). The premise of reversal alarms is: If there isn’t a significant reason for this extreme action for this particular stock it is very likely to reverse the gains. This software isn’t focused on finding tops or bottoms of the reversal pivot point. This is an important consideration; this software just flags potential opportunities.
For example, if a stock is rising extremely fast without a specific reason (news/upgrade/competitors/etc.) It is believed that this stock is very likely to give up some of its gains intraday. The software in this case would recommend a short. The report is the key to determining if this is a reversal opportunity.
Figure 1: Reversal tab
Double Clicking on the Alarm will display a report. The purpose of the report is to bring the key decision making factors together, to allow for a quick decision making process.
Report
Type of Report describes the type of opportunity: buy (long) or a short
Direct Competitors provides
a view into how the direct competition is performing compared to the
opportunity intraday. For example, if a
particular stock’s competitors are negative today, this means the sector is negative
today, and this can be a factor in the decision making process. If a
sector is negative and the alarm is a short, this helps increase the
probability of the alarm completing as a reversal.
The Latest News
provides the latest news available at the time the alarm was generated. This is the latest news available from one
particular source. No news today or late yesterday is a good situation for a reversal
alarm.
Real-Time Graphs provide
a view into how a particular stock is correlating in real-time, intraday,
versus the market (QQQQ – represents
an index of the top 100 NASDAQ stocks).
The software only tracks stocks that have patterns that can be
correlated to the market pattern (QQQQ).
The report also provides a detailed view of a 15 day comparison between a
particular stock and to the market. Avoid shorting stocks that have been moving
higher consistently over a 15 day period.
Avoid buying stocks that have been moving lower to new levels
consistently over a 15 day period. Avoid
breakout patterns viewable in a 15 day chart.
Range bound stocks are a best case scenario.
Types of Reversal Alarm Rules:
Short Sell 1:
A stock has moved above of its daily moving average by 1.5 % or greater and within the last 5 minutes has raised 7/10’s of a percent.
Short Sell 2:
A stock has moved above of its daily moving average by a variable
floating %. The variable floating % is determined by how much movement this
particular stock has been moving over the last few days. Also within the last 5 minutes this stock has
raised 7/10’s of a percent.
Short Sell 3:
A stock has moved above of its 15 minute moving average by a variable
floating %. The variable floating % is determined by how much movement this
particular stock has been moving over the last few days. Also within the last 5 minutes this stock has
raised 7/10’s of a percent.
Short Sell 4:
A stock has moved above of its 10 minute moving average by a variable floating %. The variable floating % is determined by how much movement this particular stock has been moving over the last few days. Also within the last 5 minutes this stock has raised 7/10’s of a percent.
Buy 1:
A stock has moved below of its daily moving average by 1.5 % or greater and within the last 5 minutes raised 7/10’s of a percent.
Buy 2:
A stock has moved below of its daily moving average by a variable floating
%. The variable floating % is determined by how much movement this particular
stock has been moving over the last few days.
Also within the last 5 minutes this stock has raised 7/10’s of a
percent.
Buy 3:
A stock has moved below of its 15 minute moving average by a variable
floating %. The variable floating % is determined by how much movement this
particular stock has been moving over the last few days. Also within the last 5 minutes this stock has
raised 7/10’s of a percent.
Buy 4:
A stock has moved below of its 10 minute moving average by a variable floating %. The variable floating % is determined by how much movement this particular stock has been moving over the last few days. Also within the last 5 minutes this stock has raised 7/10’s of a percent.
Warnings
Warning Alarms are stocks that have moved up or down more than 7/10’s of a percent in the last 5 minutes.
Note: Reports are not available for Warning Alarms
Breakout
Breakout alarms are stocks that have been moving up or down over the past several days in a consistent pattern and are now breaking to a new highs or lows.
Reports are available for Breakout alarms by double clicking on the alarm.
Note: Breakout alarms are a new type of alarm being
tracked and are fairly immature in the development process
Gaps
Gap alarms are stocks that open up higher or lower than +-4% from there previous close. Ideally we are looking for a stock that is just reacting to one of its competitors and is very likely to give reverse.
Reports are available for Gap alarms by double clicking on the alarm.
Note: Gap alarms are a new type of alarm being
tracked and are fairly immature in the development process
Special Features
NASDAQ Index Real-Time Graph
A unique feature provided by this product is the ability to run a real-time graph on the NASDAQ Market index. This can help keep an eye on what’s going on in the market.
A new window is started that will graph the NASDAQ market index in real-time.
Reports
Reports are available for Reversal, Breakout and Gap Alarms. The report provides a view of news; competitors, real-time intraday graphs and 15 day detailed graphing information.
Market Percentage
The main GUI provides a real-time market % that is updated ever 5 seconds.
Different types of alarms (Reversal/Warning/Breakout/Gaps)
can be identified by different types of sound alarms.
Smart Mode will provide a filter on alarms that will only
display alarms that are currently an opposite % to the market. If the market is negative today running the
software in smart mode will only display short opportunities.
