Postmortem - Massive Decline From 266 Analyzed

Sometimes we're asked questions about our calls and indicators, and how they would've performed under unusual conditions. We've selected the historic decline from 266 as our test. Not unsurprisingly, our indicators were up to the challenge.

Take a look at our annotated chart:

Intraday Alerts - Further Explanation

The recent action has caused a flurry of questions about why we would have two "Bull" alerts back-to-back, and not a sequence like "Bull" - "Bear" - "Bull". It's quite simple - take a look at the chart example below.

There are times when we experience "Chop" - where prices tend to narrowly oscillate in a small range. This is enough to prevent an outright "Bear" alert, so there's nothing to do until conditions change enough for a "Bull" alert to be triggered.

A simpler example of a "Bear" alert is in the chart below.

Here you can see a single alert that is issued - and we start to slide in a rather regular pattern of gradual decline.

This should help you wrap your head around what these alerts are about, and how to position your trading strategies around them.