WELLINVESTED.COM
FIGURE 1: HOME PAGE, WELLINVESTED.COM
Even with the plethora of technical analysis-related websites available and new ones popping up, it is difficult to find gems. One that I found very impressive is wellinvested.com, recently launched by trader David Maynard. For $29.99 per month for equities and $49.99 for futures, what you get is a rich set of features that any technical trader will find of interest. There is also a 30-day free evaluation available. No special hardware has to be installed on your computer, and dedicated datafeeds are not required.
Once you sign in, you'll see a list of the top-performing strategy/security combinations. This gives you an idea of what the site encompasses. You'll notice five tabs across the top of the page. Of particular significance is "Advice center," "My strategies," and "Design center."
I'll start with the advice center. When you're there, you have three choices: Find a strategy, find a stock, and the strategy library. To identify a strategy, your first step is to enter any stock symbol.Wellinvested.com will then test its various strategies on that specific stock and display the results in a tabular format so you can see which strategies give profitable results. Once you look over the results, you can select any strategy you are interested in and look at it more closely. These more detailed variables include risk, annual yields, drawdowns, and number of trades. You can also view historical charts that display the price chart showing long, flat, and short positions; a chart of the particular indicator used so you have an idea of where the buy and sell signals came from; and an equity chart showing the profitability of the strategy. You can also see a table of all the trades placed with entry dates, exit dates, entry price, exit price, and profit/loss.
In addition to selecting a strategy for a specific stock, you can do the reverse -- find a stock by selecting a strategy from the list provided. A list of stocks that were profitable using your selected strategy will be displayed. You can select any stock you are interested in and get additional details similar to the ones mentioned for the strategy selection.
Do you want to know what strategies are used? You can find them all listed in the strategy library. They are divided into six categories: trend-following, quick movers, tried and true, purely technical, seasonal, and user-defined. Some of these are based on indicators you will be familiar with, but some are proprietary. Examples of common strategies include moving average, relative strength index, Trix, and Vidya crossover.
Moving on to the "My strategies" tab, registered users can subscribe to any of the listed strategies or have the option to create their own. Here you can keep track of any of these strategies. If you opt to create a strategy, you have the opportunity to share it with others in the community.
If you are interested in creating your own strategy, head over to the design center, where you can get an idea of how to go about doing this. Wellinvested.com uses the Catalyst programming language, which is similar to EasyLanguage. There are different ways to go about creating your own strategies. The simplest is to use the design wizard, where you select your buy and sell rules and then test the strategy on a specific stock based on these rules. Another option is to write the code yourself. For those who wish to try this option, you can go over the tutorial where all the bells and whistles of Catalyst are provided.
Wellinvested provides the tools necessary to investigate, track, and update a trading strategy. All the data, analytical systems research, end-of-day alerts, and optimization necessary to set up and implement a trading strategy are provided in the monthly subscription. All subscribers to the website receive a daily e-mail that provides recommendations on how to apply strategies you have subscribed to. I was only able to test the site on equities, but a similar set of features for trading futures is being developed and will, I hope, be available by the time you read this review. Overall, this is a well-designed site that is easily navigable and one that technical traders will find worthwhile.
--Jayanthi Gopalakrishnan, Editor
STOCKS & COMMODITIES
Originally published in the July 2003 issue of Technical Analysis of STOCKS & COMMODITIES magazine. All rights reserved. © Copyright 2003, Technical Analysis, Inc.