Go to version 4.0
If you do not understand stock charts nor technical analysis but you need help making
successful trading decisions, then EzFibs is for you. If you are a technical expert and need a second opinion, then EzFibs is also for you.
EzFibs will perform a technical analysis of a stock's one year price history, like the
experts do. Three strength indicators, Fibonacci support and resistance levels
along with the very important early Buy and Sell signals.
Figure 1.
Ezfibs with a technical analysis of Google. Notice how the stock price has reacted with
the various Fibonacci price levels as indicated with the purple arrows above.
- Start by pressing the New Ticker button in order to download your favorite stock for analysis. Please note that the historical stock price data gets downloaded from Yahoo Finance. Stock data not provided by Yahoo will not be available for downloading.
- Ezfibs will run through the stock's price history and generate the Fibonacci
percentages resistance and support levels, with the current price position of
your stock in relation to those percentages.
- As price history gets analyzed, you will notice several Early Buy and Sell
signals being generated at various phases of trend direction changes. It is
recommended that you pay attention to the chart line (number 4 above) as those
signals get generated. If a signal is accompanied by a significant trend change,
then you will know that signal is to be considered highly reliable.
- A one year historical stock chart of your stock, with the various Fibonacci
price levels.
- A report that summarizes your stock's technical health. An explanation of the
current status of the 3 technical indicators. Those indicators are represented
by either red or green arrows (number 1 above), with red being negative and
green positive. The overall strength of your stock is the current technical
strength relative to the 1 year recent technical strength history.
- When Chart zoom is on, you can select and zoom in (enlarge) a section of the
chart. Click once with the mouse to select the zoom period start date,
click a second time to select the ending date.
Chart zoom procedure
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From the zoomed chart, a list of Buy/Sell signals with Return On Investment
percentages can be obtained by pressing the 'Buy/Sell List' button at the bottom
of the chart:
Buy/Sell list
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Version 4.0 came in response to requests from users, who expressed their prefererance
for a bigger, more
visible chart display, as well as buy/sell signal settings.
A big improvement over earlier versions, is the addition of a MACD bullish/bearish
divergence detection indicator, as seen in the figure above. For those not familiar with the MACD indicator, is the following explanation from
stockcharts.com:
A Positive Divergence MACD begins to advance and the security is still in a downtrend
and makes a lower reaction low.
MACD can either form as a series of higher Lows or a second Low
that is higher than the previous Low. Positive Divergences are probably the least common of the three signals, but are
usually the most reliable, and lead to the biggest moves.
A Negative Divergence forms when the security advances or moves sideways, and the
MACD declines. The Negative Divergence MACD can take the form of either a lower High or a straight
decline. Negatives are probably the least common of the three signals, but are
usually the most reliable, and can warn of an impending peak.
Light green rectangles represent
Bullish MACD divergence areas on the stock chart
, while bearish MACD divergences are represented by red rectangles. A more intuitive
control panel now shows an easier to read stock strength indicator. The stock
strength indicator translates the stock's trend strength into a percentage
value, turning green as the stock trend turns positive or red when the trend
head into negative territory.
Settings:
Open the settings slider by clicking on the 'Setting' blue rectangle that is
inside the control panel as shown above.
Early signal: as a general rule, this setting will generate early signals
both Sell and Buy signals. The signals are often generated before the stock price has
even started changing trend direction.
Conservative signal: the conservative setting witll generate a signal after
it detects that the stock price has indeed changed directions, and the change is
more or less confirmed.
Aggressive signal: this setting as its name
indicates, takes a slightly more aggressive approach than the conservative setting.
The signals it generates are triggered as soon as a trend change is detected
even if it is not a confirmed trend change.
It is important to analyze each signal's effect on your stock chart. Determining
the setting that has generated the highest ROI in the past will help you decide
the setting that would be most suitable for future trades. As you experiment
with different stock charts, you will notice that the signal settings results
will vary with different stocks. This change is due to the variation in stock
volatility and trend behavior. A signal setting that works well for stock A may
perform very poorly with stock B.
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The three different signal settings as applied to the NASDAQ chart.
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Batch Analyzer, MyWatch, MyPortfolio Lists:
Click on the Lists button to open the Batch Analyzer. There you will also find MyWatch and MyPortfolio lists.
Use the Batch Analyzer to analyze stocks in bulk. Click on the chart symbol of
any batch stock to chart it in the main window.
Click on the Star image to move a stock to either the MyWatch or MyPortfolio
lists. The Auto On/Auto Off allows you to add symbols to your lists
automatically. Select and copy any stock symbol from any other web source or
file and it will get automatically added to your list. The main window has
another Auto On button that allows automatic charting of copied stock symbols.
If you have any questions or comments about EzFibs,
please do not hesitate to contact us
We sincerely hope that you find EzFibs useful and that it helps you make better
and more profitable trading decisions.
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