Accumulative Swing Index - ASI
As soon as everyone arrives at the party, the husbands put their car keys in one fish bowl, and the wives put their car keys in another––oh, wait. That's a different swing index.
An accumulative swing index is actually a long term trend index, used by chartists and math-loving traders, which assesses the bias of a given stock and its trading pattern. Myriad complex elements get analyzed, with a focus on the open, closed, high, and low prices as they've traded throughout a given day, mapped to other days, mapped to periods of the year, mapped to the performance relative to the overall stock and usually options markets. Blood-sniffing traders are hunting for trend line breakouts that would give them a signal that the moon has, in fact, aligned with Aquarius, and Jupiter is hugging Mars with its gravity...so then of course it must be time to short GOOG.
Right? Isn't that how chartists work? Maybe we should ask the fish bowl.
Related or Semi-related Video
Finance: What is an Annualized Return?36 Views
Finance, a la shmoop. What is an annualized return? Alright people, well
when you invest a dollar you hope or even expect to get more than a dollar [ATM machine]
back, at some point. And let's say you invested that dollar in Terminators
Closet -a leading dealer in cybernetic body enhancements. And it went from $1 a
share to a dollar ten six months later. Alright, nice return.
You made 10% in just six months but in most investing discussions ,investment [spreadsheet shown]
returns are discussed in the form of annual returns, not monthly or daily or
biannual numbers, so you need to convert your six-month return into an annualized [angelic glow]
one, and you can do the process here of computing that number that is if you made
10% in six months well then in a year presumably you could notion that you'd
have made 20%. It's not that you would have guaranteedly made 20% it's just [spreadsheet shown]
the math saying that well if you had compounded at that rate then you'd have
made 20%, so what if she made 10% in a month? Well the stock went from a buck a
share Jan 1 to a buck ten a share by Feb 1 .Well if you impute so that you can [calendar shown]
compute that month's gain of 10% would carry a compound rate of a hundred
twenty percent. Right ? You're multiplying 12 months times 10 there, that'd be
annualizing it meaning, that at that rate you are more than doubling your money on [spreadsheet shown]
an annualized return basis. And that's more than enough dough to keep
terminators closet popping out those Wi-Fi enabled contact lenses faster than [woman watches TV]
people can wear them.
Up Next
Technically, an annuity is any kind of regularly scheduled payment, usually made annually, quarterly or monthly...for the life of the recipient. Ev...
DeBeers used to promote its diamonds with the slogan, “A diamond is forever.” From a financial perspective, perpetuity refers to payments that...
What is a Chartist? A chartist is a trader and/or analyst who relies on technical analysis and charts in order to make decisions for trading the ma...