Trend Strength Index

Frank Hassler introduced this measurement. It was discussed on Frank's Blog Engineering Returns http://engineering-returns.com/2010/06/28/aapl-ts/, and it was highlighted and researched by David Varadi of CSS Analytics in his blog http://cssanalytics.wordpress.com/2010/06/28/trend-strength-index-tsi/, and subsequent posts.

David uses the following summary of TSI: "The TSI is an intermediate-term absolute (versus relative ) measure of the tendency of a stock to trend or mean revert. The premise underlying the theory is that stocks with a high degree of momentum in relation to volatility are much less likely to mean-revert than those that have a low degree of momentum in relation to volatility."

TSI shows promise in being used as a superior replacement for the ADX. It can be looked at to help determine when a security is trending or mean reverting, and it can also be used as a filter or ranking element within a system.

The formula works as follows:

TSI = Average(Average(Ratio,10),100)
Ratio = (abs(today's close - close of 10 days ago) / atr(10)
atr10 is 10 day average true range


Scott Walker & Michael Walker

Technical Analysis

• Price and Volume Trend
• DV Intermediate Oscillator (DVI)
• Z-Score (Standard Score)
• ETF Symbols - Hong Kong Exchanges
• Mass Index Indicator
• Williams AD - Accumulation Distribution Indicator
• Trading based on Boillinger Lower Band position on defined Market
• Weekly Entry
• Swing Trading Indicator (STI)
• Channel Position
• More trading objects...

Fundamental Analysis

• Recent Insider Buying and Selling for US Stocks
• Morningstar Historical Fundamentals
• Stock Picks from Wikinancial
• Dividend comments
• ISM Manufacturing PMI Index
• ETF Number of securities, percent stock and cash - Historical Data
• Trade-Ideas Intraday Screener
• Yahoo News
• Federal Funds - target rate
• Producer Price Index - PPI
• More trading objects...