STOCKCHARTS.COM

Are you looking to get started in stock trading using technical analysis? If you are, then StockCharts.com is a Website to visit. You may find yourself staring at the homepage for a while trying to figure out where to start. From this site, you can get an overview of general market conditions, view charts, screen stocks, read commentaries by well-known industry individuals such as John Murphy and Rex Takasugi, and get an education on technical analysis.

The homepage is well designed with a display of market index charts, highlights of what to watch for during the trading day, and articles/commentaries. Links to the various sections available are arranged on the left-hand column, making the site easy to navigate. You can also enter a symbol and choose the option of having either an interactive or point-and-figure (P&F) chart displayed. Recently, P&F charts of mutual funds were added to this site.

The stock scan feature is impressive. You have the option of selecting one of the following: stocks that set a new 52-week high; stocks that set a new 52-week low; 50-day moving averages moves above the 200-day; 200-day moving average moves above the 50-day moving average; stocks with bullish moving average convergence/divergence (MACD) crossovers; stocks with bearish MACD crossovers; oversold stocks that have an improving relative strength indicator (RSI); and overbought stocks that have a falling RSI.

Various options are available for viewing charts. You have a choice of interactive charts, trendlines, relative performance, point and figure, and area charts. Also included are sector, industry, and market internal charts, not to mention the rarely found sentiment charts.

One of the more interesting charting types is the relative performance chart. It displays line graphs of the major indices such as Nasdaq, S&P 500, DJIA, and the Amex. This may seem cluttered, but features have been added to reduce the cluttered look and make the charts visually more appealing. You can place your pointer on any of the lines on the chart and a display containing the index and the percent gain or loss for that specific location will pop up. You can also expand or reduce the number of days used for the display. A shorter time period reduces the clutter on the chart. There is an option to view the data as a histogram, which displays the percent gain/loss for each of the indices for the selected period.

The education section provides an excellent overview of technical analysis and how it can be utilized for your trading. It provides simple explanations of how to analyze the features available on this site, such as trendlines, point-and-figure charting, and technical indicators. The graphs and charts are well designed and visually appealing.

A newsletter is sent to registered members at the end of each week, recapping the trading weekÕs activity and emphasizing the technical positions of major indices.

A lot of ground is covered in this site, making it a worthwhile visit for any novice trader. Several technical analysis topics are included along with commentaries and charts, which can provide you with an overall understanding of the financial marketplace.

SIXER.COM

A Website that can help you screen stocks will always be an asset to your list of bookmarked sites, and sixer.com is one that novice traders should include on their lists. The domain name may come across as unrelated to financial information, but it's all explained in their motto: "Market analysis with a sixth sense."

At this site, you have a list of selected stocks that meet certain criteria based on technical analysis. You do not have the option of entering your own criteria for scanning. The stocks selected for keeping on the watchlist are listed along the right-hand side and divided into five categories: Topsix, Deepsix, Sixer watch, Deepwatch, and Punditwatch. An explanation of each category is included in the Sixer guide. A click on any of the highlighted stocks will bring up the specific chart.

The homepage contains a chart of the stock selected as "Today's Sixer," charts of the broader indices such as the Dow Jones, Nasdaq, and Standard & Poor's 500. Also provided is a "Sixer trends" section containing a list of stocks with selected bullish indicators. News articles of significance follow the section.

Along the bottom of the homepage are the Sixer tools, where you can enter symbols and view quotes, charts, information, and analysis. When selecting the option to view quotes, a display containing the open, high, low, and close will be seen on your desktop. Clicking the analysis button brings up information such as the trend direction indicated by various technical studies, Fibonacci projection/retracement, and a risk/reward study.

Links to other topics covered are along the left-hand column of the home page. The first is "indicators" and is one of the more interesting features on this site; it can be used as a secondary stock-screening tool. A click on this link displays a list of several technical indicators. Each of these indicators leads you to a list of stocks that meet the selected criteria and indicates whether they are bullish, bearish, or neutral. Some of the indicators used are the moving average convergence/divergence (MACD), stochastics, Bollinger Bands, and ergodics.

There is a tool that calculates the Fibonacci projections/retracements and pivot/resistance/support levels. Another interesting tool included on this site are the stops and limits calculators. You can also find a list of the biggest movers, stocks hitting 52-week highs and lows, 60-day highs/lows, and stocks that are showing head-and-shoulders, cup-and-handle, and candlestick patterns.

The "Sixer 200" link is arranged in a similar manner as the "Indicators" section. The difference here is that the stocks in the Sixer 200 index are categorized by sectors. The "Sixer index" lists stocks that are in the index and indicates their general trend direction.

A free daily newsletter is available to those who register. This provides market commentary, significant aftermarket news, the best of Topsix (a list of the top six stocks with 5% or more gains in the last five days), Sixer trends (a list of stocks with specified bullish indicators), and Sixer watch (a list of stocks that are trending positively).

Not only is sixer.com packed with information, it is also well designed, attractive, easily navigable, and user-friendly. Novice traders who want to learn the basics of technical analysis will benefit from visiting this site.

SMALLCAPCENTER.COM

For all you small-cap traders out there, this may just be the site you are looking for. Here, you can get information on stocks traded on Canadian and US exchanges. It is well designed and contains features that make it easy for you to move among the various sections. One example is the menu control system, which displays a pop-up menu when you place the mouse over the menu items. Another is the static navigation bar across the bottom of every page.

There are certain parts that are accessible only to registered members. This is a simple process and is free. Registered members receive the daily small-cap market report and several news releases on small-cap companies by E-mail. The daily market report can also be heard in audio format.

One of the more interesting features included in this site is the "technical search" section under Research Tools. You can search for stocks based on various technical criteria such as price activity, gaps, candlestick patterns, moving averages, volatility, consolidations, support and resistance levels, volume activity, stochastics, RSI, MACD, and trends. The results of the scan are displayed, and you can either bring up a chart or more details about the specific stock. A click on the symbol will bring up a report that shows the current trading day's activity, stock scores, moving average indicators, volatility indicators, price relativity, support/resistance levels, pivot analysis, recent moves, consolidations, candlestick pattern, volume indicators, and momentum indicators. If you click on the "Chart" link, the price/volume chart will be displayed. Other searches based on fundamentals, insider trades, most-actives, and analyst recommendations are also available.

A wrapup of market activities with an emphasis on small-cap stocks is provided in the "Daily wrap up" section. This is followed by a summary of feature headlines, which is essentially information that can be found on the Website. There is also a market summary containing performance of indices as well as the most active stocks of US and Canadian exchanges.

You have the option of purchasing slightly outdated newsletters directly from this site. The homepage also contains news, commentaries, and tables showing the top 10 small-cap volume trades, updated every 30 minutes, the performance of small-cap indices such as the Russell 2000, S&P 600 small cap, Vse composite and international indices such as the DJIA, Nasdaq, S&P 500, and TSE 300. Other news releases plus links to small-cap forums are also available.

Overall, this is an informative site that focuses on small-cap stocks. Keep in mind that it does not restrict itself merely to small caps; you can get information on all stocks, especially when using the screening tools.

Originally published in the February 2000 issue of Technical Analysis of STOCKS & COMMODITIES magazine. All rights reserved. © Copyright 2000, Technical Analysis, Inc.