TA works excellently with mutual funds, as well as nearly any investment product that produces a chart. Many TA systems do not use volume data. I recommend using fundamental screens to create watchlists, and using TA to determine exact trade entries and exits on the mutual funds or stocks in your watchlists.
Some 80% of all mutual funds underperform the SP500 index. I don't believe this number would be so high if fund managers applied more TA to their trades. ~B > > > ----- Original Message ----- > From: "areehoi" <[EMAIL PROTECTED]> > To: <[email protected]> > Sent: Friday, September 08, 2006 11:54 AM > Subject: [amibroker] Technical Analysis & Mutual Funds > > > > Does Technical Analysis work with mutual funds? Technical Analysis > > relies heavily on volume and price relationship. In that mutual funds > > have no volume and the price is adjusted daily by net asset value I am > > wondering how one would effectively use TA with mutual funds. About > > 98% or more of mutual funds use fundamental analysis (income > > statement, balance sheets, company policies, etc) to make their > > portfolio picks. Anther factor is the required holding period requited > > of most mutual funds that inhibit trading. I am aware some mutual fund > > users us TA of one or several indexes i.e.: Nasdaq 100, Russell, S & P > > etc. to predict market movements and base buying decisions. I am > > aware of several users groups who specialize on mutual funds and > > reportedly use TA in their buying decisions. I have several mutual > > funds but have never used TA with them. Am I missing something??? > > Also, in that AmiBroker is basically a TA program how does it fit in > > with mutual funds other than tracking?? > > > > R.E.(Dick) Hoierman > > > > > > > > > > > > > > Please note that this group is for discussion between users only. > > > > To get support from AmiBroker please send an e-mail directly to > > SUPPORT {at} amibroker.com > > > > For other support material please check also: > > http://www.amibroker.com/support.html > > > > > > Yahoo! Groups Links > > > > > > > > > > > > > > > > > > > > > > > > > > > > -- > > No virus found in this incoming message. > > Checked by AVG Free Edition. > > Version: 7.1.405 / Virus Database: 268.12.2/441 - Release Date: 9/7/2006 > > > > > Please note that this group is for discussion between users only. To get support from AmiBroker please send an e-mail directly to SUPPORT {at} amibroker.com For other support material please check also: http://www.amibroker.com/support.html Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/amibroker/ <*> Your email settings: Individual Email | Traditional <*> To change settings online go to: http://groups.yahoo.com/group/amibroker/join (Yahoo! ID required) <*> To change settings via email: mailto:[EMAIL PROTECTED] mailto:[EMAIL PROTECTED] <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
