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About Mutual Fund Technical Analysis
Volume-based technical analysis of all
Nasdaq 100, S&P 500 and DJI indexes components is a very powerful tool and is a
prerequisite for anyone who wants to predict financial market
movements and build a successful Mutual Fund trading system based
on the Nasdaq 100, S&P 500 and DJI indexes.
A technical analyst doesn't generally look too
much at income statements, balance sheets, company policies, or
many other fundamentals about the company. And a REAL technical
analyst doesn't rely only on price analysis, but relies heavily on
volume analysis as it is volume which drives price movements. This
type of analysis usually done in the form of a chart. The security
can be a stock, future, index, or a sector. It is flexible enough
to work on anything that is traded in the financial markets.
This trading system is not 100 percent mechanical as it
does have a level of subjectivity. The basic technology behind
this trading system is MarketVolume and its system of volume
technical analysis. MarketVolume's JavaVolume charting technology
allows our analysts to make informed, but still somewhat
subjective, decisions as to where the market is going in the mid
and long-term, and to make a trade based on the results of that
analysis. Also keep in mind that this system has incorporated other
forms of technical analysis.
Every Mutual Fund trader and Mutual Fund technical analyst knows
the importance of index charts and index indicators, but that is
not the whole picture. What sets our analysts and traders apart
from the 'traditional' technical analyst is the fact that they do
not solely concentrate on price movement alone. A good term for
the type of technical analysis behind our Mutual Fund Trading System is
Fundamental Volume Analysis, in which we analyze the
cause of the price movements in Mutual Fund, while traditional technical
analysis generally only focuses on price.
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 |
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Past 12 Months |
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5%
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8%
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Rydex NASDAQ 100 Funds |
QQQQ
Buy & Hold |
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as of
5/17/2008 |
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