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I am developing a range of short and medium-term trading systems, all of which will have three pre-requisites before a possible trade will be considered.
(1) The trade must be with the trend, as evidenced by the 200 day SMA of Australia's All Ordinaries index, symbol XAO; (2) The index for the sector in which the intended trade resides must be rising (or falling in the case of a bear market) at a higher rate than XAO; and (3) The stock must be rising (or falling) at a rate higher than the relevant sector index.
The first one is easily achieved and I currently determine numbers two and three by using the ROC function (ROC(Mov ((C/P),13,S),1,%), . That is, I run a thirteen week ROC for each sector against XAO and then I run the same ROC for each stock in a sector against that sector's index. That works, but it is a bit time-consuming.
Is it possible to develop Metastock code that will automatically do the above and that I could then build in to all subsequent trading systems that I develop? I assume that I can use the Relative Strength Comparator, but I'm not sure how?
Appreciate all advice.
John
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