{"product_id":"v11-c09-ratingt-pdf","title":"V.11:9 (382-386): Rating Trend Strength by Tushar S. Chande","description":"Rating Trend Strength by Tushar S. Chande\u003cbr\u003e\u003cbr\u003eHere's a simple indicator of trend strength. It goes like this: A value of +10 signals an uptrend; a value of -10 signals a downtrend. Stocks \u0026amp; Commodities Contributing Editor Tushar Chande uses this simple rating system to help answer the eternal traders' question: Is the market trending?\u003cbr\u003e\u003cbr\u003eAs you may have noticed, a number of rather complicated indicators are available to measure trend\nstrength. None of these indicators, unfortunately, is perfect. You could use J. Welles Wilder's average\ndirectional index (ADX) as an indicator of trend strength, or perhaps the r2 value from linear regression\nanalysis. Or you could even use the vertical horizontal filter (VHF) to help determine whether the market\nis trending.\u003cbr\u003e\u003cbr\u003eEach of these indicators requires the user to determine how many days' data should be used in the\ncalculations. As you vary the indicator length or number of days used in the calculation, however, the\nresult of the calculation changes also. Thus, there is no unambiguous answer. If the market were about to\nenter or leave a trading range, you could get a different indication of trend strength every day a\nfrustrating set of circumstances.\u003cbr\u003e\u003cbr\u003eRATING THE TREND\u003cbr\u003e\u003cbr\u003eHere is my way of rating a trend, a method I call trendscore. If today's close is greater than or equal to the\nclose x days ago, score one point. If today's close is less than the close x days ago, the trend's rating loses\none point.\u003cbr\u003e\u003cbr\u003eNext, compare today's close to the close x+1 days ago. If today's close is greater than or equal to that\nclose, score another point. Deduct one point if the close is lower than the prior close.","brand":"store-traders-com","offers":[{"title":"Default Title","offer_id":52133824954737,"sku":"\\V11\\C09\\RATINGT.PDF","price":4.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0900\/3843\/6209\/files\/unnamed_36fd9451-3fb9-4f98-a87d-0df7bc350332.jpg?v=1739653380","url":"https:\/\/shop.traders.com\/products\/v11-c09-ratingt-pdf","provider":"Stocks \u0026 Commodities","version":"1.0","type":"link"}