Market Edge - Help (2024)

FAQs

How often is Market Edge correct? ›

The Right Stock At The Right Time^®

The Market Edge Opinions are designed to provide users with conservative and reliable entry points for both long and short sale positions. The Opinions are typically correct about 70% of the time with the winners out performing the losers by a 3:1 ratio.

These Opinions have an historical accuracy rate of over 70 percent with the winners typically outperforming the losers by a 3:1 ratio. These Opinions enable the user to formulate an unbiased, consistent, disciplined approach as to when to BUY and, more importantly, when to SELL.

Score is a value between -4 and +4 and indicates whether the technical condition of the stock is improving or deteriorating. A score of -4 represents the worst extreme possible before the stock is Downgraded to Avoid while a score of +4 indicates the best level obtainable before the stock is Upgraded to a Long Opinion.

C-Rate (Confidence Rating)

C-Rates of +8 or higher, coupled with a Long Opinion, denotes a Strong Buy. Conversely, C-Rates of -4 or lower, when coupled with an Avoid Opinion, suggest a weak condition. C-Rates change in value as a stock moves closer to its projected target, eventually reaching zero.

Over this 72 year period, based on my calculations, there have been 36 double-digit corrections, 10 bear markets and 6 crashes. This means, on average, the S&P 500 has experienced: a correction once every 2 years (10%+) a bear market once every 7 years (20%+)

Smaller stock market corrections happen even more frequently. Just about every year since 1980, the market has experienced a temporary decline of 5% or more. On average, a 5% decline in stock market prices has occurred 4.5 times a year over the same period.

Market Edge is a unique suite of investment tools developed by Computrade Systems. Market Edge provides you with professional, quality computer-generated research previously available only to professional money managers.

Power Rating

Readings vary between -60 and +100. Plus 60 and higher is regarded as bullish and will trigger a Long Opinion, while readings of -27 and lower will generate an Avoid Opinion. As the Power Rating crosses zero, a Neutral Opinion is generated. A Long rating is a recommendation to Buy.

Stocks with a score of 8, 9, or 10 are considered Outperform. Stocks with a score of 4, 5, 6, or 7 are considered Neutral. Stocks with a score of 1, 2, or 3 are considered Underperform.

What is Market Edge second opinion? ›

The MarketEdge Second Opinion is the fastest and easiest way to harness the power of technical analysis to guide you to better trading decisions. The Second Opinion report is a technical research report that weighs the supply and demand characteristics of a stock or ETF.

Key Takeaways. A buy stop order is an order to purchase a security only once the price of the security reaches the specified stop price. The stop price is entered at a level, or strike, set above the current market price.

Trusted by top investment firms since 1992, our award winning Second Opinion^® takes the complexity out of professional technical analysis and boils it down to a simple Long/Neutral/Avoid opinion.

BATTERY C RATE CHART

To obtain a reasonably good capacity reading, manufacturers commonly rate alkaline and lead acid batteries at a very low 0.05C, or a 20-hour discharge. Even at this slow discharge rate, lead acid seldom attains a 100 percent capacity as the batteries are overrated.

A Long rating is a recommendation to Buy. No action is recommended on stocks with a Neutral rating, and stocks with Avoid ratings may also be considered Short Sale candidates. It is important to note whether the Power Rating is increasing or decreasing in value.

One study looked at the track record of stock market “experts” who predicted the market's direction. Their findings were eye-popping. Overall their accuracy rate was only 47%, less than you might expect from random chance. Jim Cramer, a fixture on CNBC, had an accuracy rating of 46.8% based on 62 forecasts.

A market correction is considered to be a decline of 10% or more from the recent closing high. That means that historically speaking, the S&P 500 has experienced a correction every 1.84 years.

It is relatively common to beat the market for 1–3 years at a time. That can largely be explained by luck. But the data clearly shows that even professional fund managers are unable to beat the market consistently over a longer period of time, like 10–15 years.