Street Smarts

• Holy Grail Strategy
• Linda Bradford Raschke MACDI exit
• Linda Bradford Raschke ST MACDI buy
• Range Contraction
• Turtle soup
• Volatile History
• Whiplash

Holy Grail Strategy

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! The Holy Grail - A 14-period ADX must initially be greater than 30 and rising
! A retracement in price to 20-period exponential moving average accompanied usually
! by a turn down in ADX. When price touches the 20 day buy at above the highof the previous bar

! A 14-period ADX must initially be greater than 30 and rising

ADX1 if [ADX]>30.

! Make sure the price has recently fallen.

Pullback if ScanAny([high]>[Upper ESA],20) <> NoDate() and ResetDate().

!Price near the 20 Day ESA. You must set your IT ESA indicator to 20.

Price if val([close],1)<[IT ESA]*1.02 and val([close],1)>[IT ESA]*0.99.

Buypoint if [high]>Val([high],1) and [high]>[IT ESA].

HolyGrail if ADX1 and Pullback and Price and Buypoint.

!!!Example stock MESA on 09/10/2001

Linda Bradford Raschke MACDI exit

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
!Linda Bradford Raschke MACDI exit rules

MACDXEXIT if val([macd],2)< val([macd],1) and val([macd],1)> val([macd],0)
and val([macd],1)>0 and val([macd],2)>0 and [macd]>0 and HiVal([Macd],20)=val([macd],1).

!!!Example stock COKE on 09/10/2001

Linda Bradford Raschke ST MACDI buy

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! MACD Crossover - shows all stocks where the MACD has 
! changed direction from going down to going up when the MACD is below zero
! and Signal Line is already above zero. MACDI values are 3 and 10. MACDI
! Signal Line value is 16

MACDXOVER if [MACD Sig Line] >0 and val([macd],2) > val([macd],1) and val([macd],1)< val([macd],0)
and val([macd],1)<0 and val([macd],2)<0 and [macd]<0 and LoVal([macd],10)=val([macd],1).

!!!Example stock ACS on 09/28/2001

Range Contraction

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! change the first val statement on buys\tick and sell tick to val result,
!Range Contraction. After the market has had a period of rest or range contraction
!a trend day will often follow. 
!The first pattern , ID/NR4 is an entry combined with a resting stop. NR4 is a trading
!day with the narrowest daily range of the last four days. ID is an inside day which
!has a higher low than the previous days low and a lower high that the previous
!days high.

!NR4 Day
Day1 is [high] - [low].
Day2 is Val([high], 1) - Val([low], 1).
Day3 is Val([high], 2) - Val([low], 2).
Day4 is Val([high], 3) - Val([low], 3).

NarrowRange if Day1 < Day2 and Day1 < Day3 and Day1 < Day4 and [close] > 10.

!Inside Day
InsideDay if [High] < Val([high],1) and [Low] > Val([Low],1).

Show if Narrowrange and InsideDay.

!The next day place a buy one tick above the ID/NR4 bar and an additional
!sell-stop one tick below the ID/NR4.

Buytick if ValResult(Narrowrange and InsideDay,1) and Val([high],1) < [high]. 
Selltick if ValResult(Narrowrange and Insideday,1) and Val([low],1) < [low].

RangeContraction if Buytick and Selltick.

!If the position is not profitable within 2 days exit the trade. It is usually profitable
!immediately. This pattern will often make small gains and losses but occasionally
!you will get a trade that explodes.

!!!Example stock BVN on 09/10/2001

Turtle soup

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! Turtle Soup - buy - today must make new 20-day low. The previous 20-day low must have
! occurred at least four sessions earlier. For stocks place a buy at approx imately 1/8
! above the 20-day low the next trading day
! Today must make new 20-day low

PriceLo if Val([low],1)<=LoVal([low],21).

! The previous 20-day low must have occurred at least four sessions earlier

closeturtle is [low].

foursession if lowresult(closeturtle,20,5)<lowresult(closeturtle,3,2).

! For stocks place a buy at approx imately 1/8 above the 20-day low the next trading day

Buynow if [close]>VAL([low],1)+0.125.

Isgoodturtle if Pricelo and foursession and buynow.

!!!Example stock ARLP on 09/10/2001

Volatile History

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! Historical Volatility combined with an inside-day pattern.
! Must be used with intraday data.
! Compare the 6 day historical volalitily to the 100 day historical volatility.
! The 6 day historical volatility must be less than 50% of the 100 day volatility.

Sixday is HiVal([volatility],6).
Onehunday is HiVal([volatility],100).

Fifthyper if onehunday * 0.50 > Sixday.

!If rule 1 is met, today must be an inside day.
InsideDay if [High] < Val([High],1) and [Low] > Val([Low],1).

Setup if Fifthyper and InsideDay.

!Place a buy-stop one tick above the one day high.
Buy if Fifthyper and InsideDay and [High] > Val([close],1).

!Place a sell stop one tick below the day one low.
Sell if Fifthyper and InsideDay and [low] < Val([close],1).

!!!Example stock JDSU on 09/10/2001

Whiplash

! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.
! Whiplash....... Looking for days when a gap in the morning is followed
! by a reversal in the afternoon. Must be used on intraday data only.

! The market must gap lower that the previous day's low.
GapDown if [high] < Val([low],1).

! The close must be higher than the opening
CloseHigher if [close]>[open].

! The stock must close in the upper half of the trading range.
Upper if ([high]-[close])<([close]-[low]).

Whiplash if Gapdown and CloseHigher and Upper.

!!!Example stock EON on 09/10/2001

! If tomorrows opens below today's close. Sell immediately.
Sell if [Open] < Val([Close],1).