The Speculators' Edge

Welcome to my Proprietary Market Ratio's where you will hone your Intuitive Skills in the Market when Trading.  You WILL learn how to Anticipate Market Moves with ease.  When you make it a Discipline to follow the Ratio's below, you will develop a Balanced Trading life where you become ONE with the Market.  Note, these Ratio's are not meant to be used as predictive or forecasting tools.  They are Tools to be used to Anticipate Inflection Points in the Market.  They are to be Used as a Timing Mechanism.  These Market Ratio's are based on my Mathematical Models of the Inner Workings of the Stock Market.  By Inner Workings, I mean the Universe of Stock's.  In Essence, We Listen to the Universe of Stock's because they make up the Whole of the Market, which Help's US become more Intuitively CONNECTED to the Market as a WHOLE.  I have worked very hard to formulate these Ratio's and I am giving you them for FREE, every Week.  So, PLEASE take the TIME to Study and Listen to these Ratio's.  You will find that they TALK to YOU the way they TALK to ME.  I've described each Ratio below and how to use them in conjunction with your Analysis.  I will be introducing New Ratio's over time that I Believe are important, so stay tuned. ENJOY!!!

TREND

The Minervini UpTrend Ratio - This Ratio is based on Mr. Mark Minervini's Up-Trend Template criteria for Stocks that is described in his Best-Selling Books.  All Moving Averages have to be above each other with the 200 Day Moving Average increasing in an upward trajectory.  This Ratio is based on Technical Analysis alone, no Fundamental's are involved.  When this Line is Increasing more Stocks are moving their Moving Averages ABOVE one another and are INCREASING their 200 Day Moving Average, putting them in a very Strong UpTrend.  When this Line is Decreasing Stocks are starting to fall out of their UpTrend and their 200 Day Moving Average is stalling.   When you see a Peak and then a slide the following week, BUYER BEWARE, Proceed into the following week with Caution.  Look at 8/28/20 to 9/4/20 and 10/9/20 to 10/16/20 for examples.  When the Line reaches BELOW 50, Get ready to Trade in the Following Week.  This is only when the Market is in an UpTrend.

Ratio - Minervini UpTrend.PNG

The Trend Ratio - This Ratio is calculated by taking all Stocks that are in a Strong Uptrend (All Moving Averages ABOVE one another) and dividing it by all Stocks in a Strong Downtrend (All Moving Averages BELOW one another).  When the Line is Increasing it Signals that more Stocks are moving their Moving Averages ABOVE one another.  Vice versa, when the Line is Decreasing, more Stocks are moving their Moving Averages BELOW one another.

Ratio - Up-Down Trend.PNG
ACTIVITY

The Activity Ratio - This Ratio is calculated on a Weekly basis by taking all the Stocks that are showing High Volume, based on my Measurements of Volume, divided by all the Stocks that are showing Low Volume for the Week.  This Ratio Hints at Possible Volatile Points in the Market where the Shorter-Term Trend may change.  When the Market is in an UpTrend and the Line slopes Upwards, this is telling you that there is Large Volume coming into the Market, meaning that Volatility is picking up which could be hinting at a possible change in Price Direction.  When the Line is sloping Downwards, there is Low Volume coming to the Market, meaning that there is less Volatility.  When the Line Peaks at 3 or Above and Troughs at or Below the .5 Level, there is a Possibility that the Market is changing Trend Direction in the Shorter-Term.  Be prepared to Trade in either Direction or Stay OUT of the Market because Volatility can be Dangerous and one wrong move could wipe you out.  When Volatility picks UP, Price Changes can be Dramatic in either Direction.

Ratio - Activity Volume.PNG

The Weekly Average Close Up/Down Ratio - This Ratio is calculated by taking all the Stocks showing a Positive Percent Change in Price plus High Volume in Buying (Demand) divided by a Negative Percent Change in Price plus High Volume in Selling (Supply) for the Week.  This Ratio tells you whether there is More Demand than Supply happening in Stocks and Vice Vera, More Supply than Demand, on a Weekly basis.  When the Line Increases, there is more Demand than Supply entering in Stocks, so More Buying than Selling.  When the Line is Decreasing, there is more Supply than Demand entering In Stocks, Selling than Buying.  When the Line Peaks Above 1.9 be Prepared to Sell or be Cautious Buying because this indicates that there is a Possible Change in Hands coming to the Market, Demand to Supply or Buying to Selling.  This could indicate that the Market is going into a Shorter-Term Corrective mode, or, if Heavy enough, the Market could be entering a Longer-Term DownTrend like 1/10/20 to 2/18/20.  When the Line Dips Below .60, be Prepared to Buy or at Least keep a close Eye on Stocks because this is indicating there is a possible Change in Hands from Selling to Buying.  This could indicate that the Market is going into a Short-Term UpTrend or a Long-Term UpTrend like 2/28/20 to 5/29/20. 

Ratio - Weekly Up-Down Close.PNG

The Friday Close Up/Down Ratio - This Ratio is calculated by taking all the Stocks showing a Positive Percent Change in Price plus High Volume in Buying (Demand) divided by a Negative Percent Change in Price plus High Volume in Selling (Supply) for Friday's Close.  This Ratio tells you whether there is More Demand than Supply happening in Stocks and Vice Vera, More Supply than Demand, on a Friday basis.  The reason why I calculate the Friday Close is because Trader's and Investor's tend to Close Position's due to Unknown Forces during After Hours and the Opening on the Following Monday.  In my Opinion, Friday is the most Important Day in Trading due to this Observation.  When the Line Increases, there is more Demand than Supply entering in Stocks, so More Buying than Selling.  When the Line is Decreasing, there is more Supply than Demand entering In Stocks, Selling than Buying.  When the Line Peaks Above 2.5 there is Strong Buying compared to Selling.  When the Line Dips Below 1.0, there is Strong Selling compared to Buying.  An Interesting Observation, look at the Peaks from 10/11/19 to 1/17/20 there is a Divergence from the Market.  As the Market was moving UP each Peak was LOWER than the Previous Peaks, suggesting that each Buying period was Weaker than the previous.  The Market was getting Frothy and Demand was Drying UP.  A Month BEFORE the Market Cracked this Ratio was telling YOU to enter with Caution.  NOTE: Look for Convergences (Higher Peaks and Higher Troughs while the Market is Moving UP) and Divergences (Lower Peaks and Lower Troughs while the Market is Moving UP) with BOTH the Weekly Average Close UP/DOWN Ratio and the Friday Close UP/DOWN Ratio.

Ratio - Friday Up-Down Close.PNG