The daily bar charts are coloured based on my FAB indicator which generates 4 potential views from bullish (positive) to bearish (negative); think of the coloured lines as market traffic lights:
* DARK GREEN (GO) – Bullish: High probability of increase
* LIGHT GREEN – Neutral Bullish: minor probability of increase or flat
* PINK – Neutral Bearish: minor probability of decline or flat
* DARK RED (STOP) – Bearish: High probability of decline
FAB Indicator effectiveness
Using computerized signal tests, we gauged the FAB Indicators’ effectiveness at generating BULLISH signals (dark green above). We applied the indicator on weekly charts of the SPDR S&P 500 ETF Trust (SPY), using the S&P 500 Index as the benchmark. Over the 13-year test period, the FAB triggered a total of 139 BULLISH views, with 81% of them resulting in gains one year later, generating median returns of 7% compared to the index’s 1%. Probabilities above 60% confirm an indicator’s ability to provide solid triggers. Signal tests and back test details available upon request.
Clicking on my name above will take you the list of my previously published charts. For details, analysis or questions, my contact information can be found on my website at: https://wealthlifecapital.com/contact/
