Contents

The topics provided below will give you a quick overview of the features of WinMidas 2.1.  Its best to start with Getting Started since it provides a very quick tour of the display, data files, algorithms, and the use of the mouse buttons.

Getting Started	Overview of WinMidas 2.1 features

Pocket Tutorial	Quick tour of how to use WinMidas 2.1

Display Overview	Describes the display, the various

options, and alert messages

Technical Analysis	Reviews the basic features of the

Midas algorithms and the available

conventional indicators

Stock and Index Files	Provides a detailed description of

the data formats which WinMidas 2.1

can read.

Purchase Information	Purchase and Unlocking information

Users Manual	Purchasing a Users Manual


Pocket Tutorial

You are encouraged to print out each of the sections outlined below to provide ready notes when you actually use the WinMidas 2.1 tools.

Overview	Provides a quick tour of the basic features of

the display and the mouse

Using Hot Keys	Provides a summary of the Hot Key functions

Generating Support and Resistance Levels

Provides a step by step guide to generating and

using support and resistance levels

Generating Top Finder	Provides a step by step example of how

to use Top Finder

Using Price vs OnBalanceVolume

Provides examples of how to view the graph of

Price vs OnBalanceVolume

Using Hot Lists	Provides a short review of how to use Hot Lists

to speed your analysis of stocks


Technical Analysis Tools

Two different sets of technical analysis algorithms are provided in WinMidas 2.1.  WinMidas 2.1 was designed primarily to implement the Midas algorithms.

Using Midas Algorithms	Reviews the Midas support, resistance,

and Top Finder algorithms

Conventional Indicators 	Reviews 6 basic conventional indicators

and their use within WinMidas 2.1

Price vs OnBalanceVolume	Provides an unusual insight into Price -

Volume relationship


Display Overview

This section provides a description of the basic features of the WinMidas 2.1 display and the various color coded alert messages

Display Description	Detailed description of the features of the

display

Display Options	Provides the options for alternate display

configurations

Color Coded Messages	Reviews the various color coded alert

messages which appear in the display


Midas Algorithms

The selections below provide descriptions of the basic Midas algorithms implemented in WinMidas 2.1.

Support and Resistance Levels	Provides information on the initiation

and use of the Midas support and

resistance levels

Top Finder	Provides information on the initiation

and use of the Midas Top Finder

algorithm

Generating Support and Resistance Levels

Provides examples on generating and

using support and resistance levels

Generating Top Finder	Provides examples on the use of

Top Finder


Stock and Index Data Files

WinMidas 2.1 is capable of reading a variety of input data formats.  The options below review these formats and provides information on the best way to read the data files

Hot Lists 	Describes the user generated

Hot List which enables the

grouping and access of

selected stocks and indices

Input and Export Stock Files	Describes the various formats

in which stock and index price

history may be read


Getting Started

This very important section provides a top level view of WinMidas 2.1.  The user should examine these selections since they provide the keys to a smooth operation of WinMidas 2.1

Pocket Tutorial	You should print this section and

follow the instructions while you

run WinMidas 2.1 for the first time

Hot Keys 	Provides a review of the special

meanings for various keys on

the keyboard

WinMidas 2.1 Setup	Very important.  You must select

the various directories in which

WinMidas 2.1 will find stock data

Potential Problems	Discusses a few of the user input

errors

Technical Support	Provides information on technical

support


Display Description

This section provides basic information on the basic WinMidas 2.1 display.

General Information	Provides a general description

of the ancillary data in the display

Price Window	Provides a description of the

Price portion of the display

On Balance Volume Window	Provides a description of the

On Balance Volume part of

the display


Display Options

WinMidas 2.1 has a number of display options accessible from the pull down menu or directly from the screen using the mouse buttons

On Balance Volume	Display OBV or do not display

Time on X-Axis	Display time on x-axis or not

Daily Volume	Display daily volume in On

Balance Volume window, also

toggles with Open Interest

Data Points	Display data points and High/Low

bar charts

Display Minor Grid Lines	Displays minor price grids

No Top Finder Expansion	Expands graph for better

viewing of Top Finder curve

Display Indicators	Turns Indicator display

on and off

Display Open Interest	Displays open interest

Display Cross Hairs  	Displays Movable Cross Hairs

Price vs On Balance Volume	Displays Price vs On Balance Volume

Price/OBV Data Sets	Displays Data Sets in Normal Graph


Hot List Instructions
Hot Lists

Hot lists enable you to group stocks and indices together by portfolio, business class.. whatever, and enables a convenient method for viewing these stocks

Philosophy of Hot Lists	Provides an overview of the

advantages of using hot lists

Run Hot List	Selects and runs a hot list

Add Stock to Hot List	Adds stocks or indices to

the current hot list

Delete Stock from Hot List	Deletes stocks or indices from

the current hot list

Alphabetize Hot List	Alphabetizes a hot list

Create New Hot List	Creates a new hot list

Fix Hot List	Fixes user generated problems

in a hot list

Select Primary Hot List	User selected hot list to displayed

upon starting WinMidas 2.1


Conventional Indicator Options

WinMidas 2.1 provides 6 common price indicators which can be used with the Midas algorithms

Long Term Average	Long term price average

Short Term Average	Short term price average

Stochastics	Stochastics

Bollinger Bands	Bollinger bands

Relative Strength Indicator	Relative strength indicator

Combination	Combines the Buy/Sell signals

from the various indicators

into a summary indicator

Moving Average Convergence Divergence

Provides option to employ the MACD

analysis on the stock average price

Setting Indicator Values	Sets periods and buy/sell levels

for all indicators except MACD and

Stochastics

Statistical Settings	Sets values for price and average

daily volume periods and standard

deviation criteria

Using Average Price vs Closing Price

Choice of which price to use in plotting

and technical analysis


Input and Export Stock Files

WinMidas can read the following stock formats and provides convenient access to these stocks.

TeleChart Data Base	Worden Brothers TeleChart

2000 data base ( also CD-ROM)

MetaStock Data Base	Equis International

MetaStock data base

ASCII Data Base	User generated ASCII

data base

Export to ASCII(CSV)	Exports displayed stock

to an ASCII file

SKIP  Window	Enables direct selection of

stock or index through use

of symbols


Support and Resistance Levels

This section describes the Midas support and resistance levels

Support and Resistance Levels	Reviews basic support and resistance

level theory

Generating S/R Levels	Provides information on generating

and changing support and resistance

levels


WinMidas 2.1 Setup

This section discusses the essential aspects of properly setting up and running WinMidas 2.1

WinMidas 2.1 Directory	Working directory for WinMidas 2.1

Stock File Directories	User selected directories for

stock and index historical data

Single Data Source	Option if user only desires

to employ one data type

Printer Setup	Printing options

Mouse	Use of the left and right

mouse buttons


Potential Problems

Some of the more common problems are listed below.

Mixing Data Bases	Using the same stock but from

different historical data bases

Hot List File Names	Bad file names in a hot list

SKIP Window	Input errors in the SKIP Window

Zero Volume Days	Very lightly traded stocks

Stock Data Base	Bad data in stock data base

Directory Problems	Problems with bad directories

Dialog Box Problems	Problems with displaying dialog boxes


General Information

You should print out this section to enable you to follow the screen and mouse descriptions.

You should first maximize the window dimensions to obtain the full screen, otherwise some of the values and tables may overlap.

The upper left hand corner displays the name of the stock (i.e., General Motors, Inc.) and just below is displayed the symbol (GM).  If ASCII data are used then the name and the symbol are identical.  Across the top of the graph is displayed the High, Low, Close, the change in the closing price, and the standard deviation of the average daily price.  If the change in Price is greater than a user determined number of standard deviations then the change is highlighted by a colored background (green if increase, red if decrease, messages).

Next is displayed the volume (100s), the average daily volume, a blank space for alert messages and the name of the currently running Hot List

The left side of the display provides the SKIP indicator  and an input  window.  Next to the SKIP input window is a symbol specifying the type of stock currently displayed (TC = TC2000, CD = TC2000CD, MTA = MetaStock, CSV = ASCII/CSV file, HTM = ASCII/HTM file).  Close to the left margin are 8 numbers indicating the various support/resistance curves (S/R).  The values 1-6 usually represent the primary, secondary, etc., support levels and the last two numbers (2,1) usually represent  secondary and primary resistance levels, respectively.  If more than 2 resistance levels are needed WinMidas 2.1 will use the highest S number.  The date at which that particular S/R curve was launched is displayed in the next column as well as the price for that S/R curve for the last date of the data.  The last two figures on the left are related to the Top Finder analysis. The S represents the start of the Top Finder computation and C represents the midpoint.

Further down the left side is a box containing Top Finder results.  When the projected top occurs after the last day for which data exist, Top Finder projects the potential top into the future.  The Top Finder box indicates the number of days into the future (assuming a constant daily volume), the expected price at the top and the annual percent return on investment (ROI) if the stock were to be purchased at the last closing price.

Beneath the Top Finder box area is another box containing the available conventional indicators.

The graph in the top part of the display contains either the average price or the closing price, user selected.  It also displays the various support and resistance levels, top finder, and the long term average and short term average.  The lower graph contains the on balance volume and some of the technical analysis indicator results.


Price Window

The upper part of the screen displays the average daily price  (High + Low)/2) data versus the cumulative volume (default selection) from the date at which the user wishes to start the analysis.  The cumulative volume is simply the running sum of the daily volume.

This display may be changed to closing price through the pull down menu.  This date generally is not the initial date in the stock data base  (except when the horizontal scroll button is all the way to the left). The black curve (WinMidas works best with a color monitor) represents the point to point data curve. You may desire to use the daily high and low bar chart for your price display by selecting to display the data points.  The various colored lines represent the support and resistance curves and each is color coded to the chart on the left.  The curves for the Long Term Average (LTA) and Short Term Average (STA) are displayed in the price window.  The time span is indicated across the top of the chart.  When the monthly spacing gets too close for the month letter designation, the letters are eliminated.


On Balance Volume Window

The lower part of the display is called the OBV (on balance volume) window and displays the OBV vs the cumulative volume.  This window also can be used to display the daily volume, the average daily volume, the open interest, and the output of the various conventional indicators.  Each of these features can be examined separately by using the Display pull down menu,  the keyboard , or by simply clicking on the indicator symbols with the left mouse button.  All of the functions in this graphical window have been normalized or scaled.  Thus, the left axis simply goes from 0 to 1.  Dashed lines provide a 0.2, 0.4, 0.6, and 0.8 scale for user reference.

The x-axis across the bottom of the chart is provided in cumulative volume beginning with the start date in the left corner of the screen.  This representation of the x-axis is the default condition.  You may change to time on this axis by employing the pull down menu, using the F4 key or clicking with the left button on the x-axis title.

See also

Display On Balance Volume


Support and Resistance Levels

A complete discussion of Support and Resistance levels is provided in Dr. Paul Levines series of articles provided in our web site

http://www.winmidas.com

The terms support level and resistance level have traditionally been given to the points at which trend reversals occur.  If the price turns up after having been dropping, it is said to have bounced from a support level.  Likewise, if it heads down after having been rising, then it is said to have bounced from a resistance level.  The prediction of where these levels should be is the central problem of technical analysis.  In conventional technical analysis, points of previous support or resistance are often given as estimates of future support or resistance.  Also, various moving averages, trend lines, and Bollinger bands are used to guess where support and resistance may be encountered.  In the Midas method, support/resistance levels are computed as the volume weighted average price ((High + Low)/2) over a period of time interval which begins at a fixed point in the past, most commonly found to be close to a point of past trend reversal.


Generating Support and Resistance Levels

You should print this section to enable you to follow the use of the S/R levels through an actual demonstration.

A new S/R (support/resistance) curve may be generated by one of two methods. Both of these methods for generating a new S/R curve may be employed using the left button and right button on the mouse. Note that when a new stock is displayed, WinMidas 2.1 automatically places the Primary Support level (S1) at the absolute minimum price and the Primary Resistance level (R1) at the absolute maximum.

Method 1.  Support and Resistance levels may be generated from the Price Window.  Simply place the cursor at the point where you want the S or R curve to be launched and press the left mouse button for a support level or the right mouse button for a resistance level.  A S/R curve will start at that point and the launch date and  S/R price information will be displayed next to the S/R number in the table on the left of the display.  Please note, the cursor must be above the short color coded vertical lines on the heavy line separating the Price and OBV windows.

Method 2.  Select the particular S/R number from the left edge of the display and place the cursor in the corresponding Date box or Price box.  Now click the right mouse button.  An S/R date will appear in the date area and an appropriate color coded curve will be generated.  By clicking with the right button on an active S/R number the S/R level is deleted.

When a S/R level is launched a color coordinated curve is generated which moves across the Price graph beginning at the launch date and continuing until the final date is reached.  A designator is placed at the end of the S/R curve for easy identification.  The S/R = 1 level is called the primary support level and is typically the first (in time) of a series of S/R levels.  The identifier at the end of the primary support level is S1.  The primary resistance level is designated by the last of the numbers on the left hand edge and the identifier at the end of the curve is R1.

To change the start of a particular S/R level simply place the cursor on one of the appropriate vertical lines on the bar separating the Price and OBV windows and press the left mouse button.  Holding the button down a vertical line will appear which extends from the top to the bottom of the graph.  Still holding the left button down, the start date can be changed simply by moving the cursor.  Note that the S/R curve starts changing (the original stays in place) and the moving date and price are indicated in the lower left corner of the display (red numbers).  When the left button is released the screen resets the curves and the S/R dates and prices.  The curve should be moved around until the desired fit to the data is achieved or the desired date is obtained.

Example

Open IBM.CSV.  Now remove the S/R levels by clicking with the right mouse button in the date boxes in the S/R table.  While you are cleaning out everything, click with the left button on MACD to remove the buy/sell arrows, then click on the word Indicators to display only the OBV line.

To start the primary or S1 level proceed to the lowest point on the price curve and click with the left button.  Note that the cursor must be about 10% of the window height above the separator bar between the price window and the OBV window.  This non-functioning area for generating S/R levels is needed since the left button also is used to slide the S/R level vertical line.  So place the cursor above the lowest price point and click.  If the S1 curve is not generated then move the cursor higher.

Once the level is generated, you now must move the launch date around until you get a good fit with the price data.  Place the cursor on the small vertical line and slide it to the left and right.  Obviously, if you slide it too far to the left, the S1 curve intersects a lot of data points.  On the other hand, moving too far to the right moves the curve too far from the price curve.  Place the launch point at 930929 by reading the running date information in the lower corner.  This placement launches the curve at a dip in the OBV curve (not a necessary condition) and at a low point in the price.  In addition, the subsequent price dips just touch the S1 curve...  A good fit.  Now lets start the next level, S2, from the last bounce of the price from the S1 curve.  Slide the launch date until you get about 940713 and notice how well the price dips come down to the curve and bounce up (slight penetration at the later points..not to worry).  Then generate the S3 curve by selecting the last point that the price bounced from the S2 curve, 960718.  To finish the S/R level selection, place the cursor on the maximum price in the upper right corner and click with the right button.  This generates the R1 resistance level.  Note how the price subsequently drops from the high point and comes back up to bounce downward from the resistance level.  Now you have set up the appropriate S/R structure.

The price will continue to bounce between the R1 level and the S3 level (a squeeze) until it breaks through R1 or S3 on significant volume.  If the price breaks out on the high side then, theoretically, no resistance levels remain to hinder further price advance.  If the price breaks through the S3 level on the downside then we would expect support at the next S level, S2.

Note that during the price advance the on balance volume also continued to move higher.  Now press the F5 key and note that the plot of price vs OBV provides a reasonably tight grouping of data moving from the lower left to the upper right.  This is the sign of a well organized price movement.


Top Finder

You should print this topic so that you can use the description while looking at the display.

The Top Finder analysis can only be initiated by clicking with the left button on the area within the Top Finder box or by using the right button to click on the date area adjacent to the S or C windows.  Top Finder is deleted in the same way.

When Top Finder is activated, two large red vertical lines (compared to the S/R vertical lines) are placed on the bar separating the On Balance Volume (OBV) and Price window.  These two lines represent the start of the Top Finder computation (indicated by S) and the center point in cumulative volume (indicated by C).  A red line is placed in the Price window and an X is placed at the last point in the topfinder computations.  The price opposite the "S" window represents the stock price at the date indicated. The price opposite the "C" window represents the Top Finder curve price on the last day of the actual data and has no real meaning. Of course, the projected top should be in the future beyond the current data base.  Place the cursor on the right hand large red line  ("C"), depress the left mouse button and slide the cursor to the right (future).  When the left button is released, new projections are presented. When either the S or C indicators are moved the changing date and price are indicated in the lower left corner of the display.  The left and right keyboard arrows also may be used to slide C one day at a time.

At some point, the projections will extend beyond the current data base at which time the chart will change (try it) and the TOP FINDER results will be displayed on the lower left of the screen. The C date may be changed one day at a time by using the left (earlier time) and right (later time) arrows on the keyboard.  The S date can only be changed by sliding the S red vertical line (left).  The C point should be adjusted, for a fixed launch point, until the desired fit to the data is achieved.  NOTE the date in the C window will change and reflect the actual date within the current data base.  However, when the C point is placed beyond the current data base, the C date is simply the sum of days beyond the last actual date plus the final date of the current data base.  In other words, when the C point is past the current data base, the date in the C window is meaningless.

Setting the proper S and C dates takes some experience and lots of practice.  Typically, Top Finder is launched from the same point as a support or resistance level (although not absolutely necessary).  When Top Finder is launched from a resistance level it performs the same function as a bottom finder.

For further information see:

Generating Top Finder

No Top Finder Expansion


Generating Top Finder

You should print this topic since it refers to graphs you will want to display.

At this point we will walk you through an actual application of Top Finder.  Open an ASCII file in the \WM21 directory called EAGL-1.CSV.  This is a graph of the price movement for Eagle Hardware and Garden Supply.  The data end on August 21, 1996.  Note that the primary support level starts at  951127 and the secondary support level at the last bounce from the primary on  960412.  Then notice how the price tends to run away from the support/resistance structure.  Try placing a new S3 level and you will find that it doesnt fit.  This is a good candidate for a Top Finder analysis.

A good spot for the Top Finder S  point is the last bounce from a support (or resistance) level where the price has seemed to run away from the S/R structure.  The S has been placed at the same launch date as the S2 level.  Move the S point around and then place it back on the 960412 date.  The C point has been placed such that a good  fit occurs between the Top Finder curve and the Price curve.  A good fit is defined when the Price dips just touch the Top Finder curve in one or more points with no penetrations of the Top Finder curve.  In many respects the Top Finder curve acts like a super support or resistance level. Try moving the C point around.  Moving it too far to the left produces excessive penetrations and moving it too far to the right does not give a good fit.  The end of the Top Finder curve is signified by a large red X.  Theoretically, when the Price reaches the Top or Bottom, typically it turns around and retreats to the support/resistance level from which it was launched, S1 in this case.

Refering to the graph of EAGL-1, the Top Finder box provides a price prediction of about 23 in another 283,689 shares (100s) or about 61 days (dividing by the average daily volume) with an annualized return on investment of 68%.  Adding this to the cum volume for the last data point (800,000 shares) provides a future prediction of about 1,083,000 shares.

Now look at EAGL-2.CSV which provides a time update (about a month and a half later).  Dont change the S and C points, yet.  Note that EAGL is still following the script.  We might want to move C slightly to the right to accommodate the very slight penetration of the price in the 25 range, but leave it the way it is for now.  The new volume needed to reach the peak is 50,908 or 7 days with a cum volume of about 1,070,000, very close to the 1,083,000 given a month and a half earlier.  Now note that the price prediction has moved higher, to the 27-28 range.  This is typical behavior since the later data points have confirmed the price movement.  Please note that we have not changed anything.

Now look at really happened by viewing EAGL.CSV.  The top happened very much on schedule.  If we had moved the C point on EAGL-2 slightly to the right, we would have a slightly better top prediction.  Note the cum volume of 1,060,000 is very, very close to our prediction a couple of months earlier.  Then note what happens.  Classic Top Finder results...the price drops back to the support level from which it was launched.  Ignore the S2 level which has been significantly penetrated and should have been removed.

See also

Top Finder

No Top Finder Expansion

Numerous examples are provided in the Users Manual.  Examples also are provided at the http://www.winmidas.com website.  See the MIDAS Speaks articles.


Hot Keys

You should print this ection to enable you to sample the key board functions.  A concise summary of the Hot Keys is provided in the HELP pull down menu.

PAGE UP:

Use this key to zoom in on data.  The last date is always on the left hand side of the figure.

PAGE DOWN:

Use this key to zoom out (examine more data).  The last date is always on the left hand side of the figure.

LEFT ARROW:

Moves the Top Finder "C" date to the left by one day (see Top Finder)

RIGHT ARROW:

Moves the Top Finder "C" date to the right by one day (see Top Finder)

UP ARROW:

When a HOT LIST is running, the use of the up arrow will cause the next stock in the list to be displayed.

DOWN ARROW:

When a HOT LIST is running, the use of the down arrow will cause the previous stock to be displayed.

F1

Prints the current graph.

F2

Add the currently displayed stock to the active Hot List.

F3

Deletes the currently displayed stock from the active Hot List.

F4:

Provides a convenient method for switching between a Price vs Cumulative Volume display and a Price vs Time display.

F5:

Toggles between Price vs Cumulative Volume display and Price vs On Balance Volume display.

F6:

Toggles the Daily Volume display on and off in the lower chart if the data contain no Open interest.  If the data base contains Open interest then the toggle becomes>> Daily Volume alone, Open interest alone, Open interest plus Daily Volume

F7:

Toggles, in sequence,  the On Balance Volume display alone, then the indicator results alone and finally both the indicator results and the OBV .

F8:

Turns the Buy/Sell arrows on and off..

F9:

Changes the size of the OBV display.


Mouse Commands

The buttons on the mouse have their usual functions of menu selection, etc.  WinMidas 2.1 also uses the buttons for special functions to be accessed from the display.

Left Button	Left button functions

Right Button	Right button functions


Left Button

You should print this section to enable you to have a ready reference for the mouse functions.

The left mouse has all the conventional uses such as clicking on the pull down menus and placing the cursor at a desired screen location.  The left button has many additional duties in WinMidas:

Changing the initiation date for the S/R levels and Top Finder:

Place the cursor on the appropriate color coded vertical line (called the slide line) on the separator line between OBV and Price graphs and slide the mark to a new location.  While the mouse is sliding, the changing date and price indicated in the lower left corner of the display.  When released the new launch date is displayed in the appropriate S/R window.

Launching a New Support Level:

The left button also can be used to launch a new support level.  Simply place the cursor on the appropriate spot on the Price curve and click.  A new support level will be launched starting at that point.  Please note that the cursor must be above the S/R and Top Finder slide lines for this option to work.

Top Finder

The left button may initiate and delete the Top Finder analysis through clicking in the Top Finder box on the left of the screen.

Hot List Operation:

Place the cursor on the word Hot List in the upper right hand corner (or on the actual hot list name) and click.  WinMidas proceeds to the next stock in the hot list.

Indicator Operation:

Place the cursor in the indicator box on the initials of the desired indicator and click.  The indicator curve will be initiated (or terminated).  The LTA and STA initials become RED when initiated, while the other initials take on the color of the curve displayed in the graph.

Displaying Indicators:

Place the cursor on the word INDICATOR in the indicator box and left click and the display in the OBV window will change.  This is a three position toggle which moves from OBV display alone (when INDICATOR is blue) to indicators alone (red INDICATOR) and indicators plus OBV (red INDICATOR).

Zooming in on Data

Place the cursor on the dates displayed in the upper left hand corner and click.  WinMidas will zoom in on the data (displaying less data) always retaining the final data point.

Changing OBV Window Size:

Place the cursor on the labels on the left of the OBV display and click.  The OBV window will get smaller.  After multiple repeats of this feature, the OBV reverts to its original value and you can begin anew.

Changing X-Axis:

Place the cursor on the X-Axis caption and click.  If the axis is in cumulative volume, it will change to time and vice versa.

Daily Volume and Open Interest

The default condition is No Daily Volume display.  Simply click in the OBV window (but below the S/R slide lines) and you will display the Daily Volume and average daily volume.  If open interest is contained in the data base the toggle sequence is Daily Volume, Open Interest, Daily Volume plus Open Interest.


Right Button

You should print this section to enable you to have a ready reference for the mouse functions.

The right mouse button has several functions in WinMidas 2.1 which are described below.

Launching a New Resistance Level:

The right button can be used to launch a new resistance level from the price display .  Simply place the cursor on the appropriate spot on the Price curve and click.  A new resistance level will be launched starting at that point.  Please note that the cursor must be above the S/R and Top Finder slide lines for this option to work.

Launching Top Finder;

Place the cursor in the Date or Price box in the area opposite the S or C in the S/R box area and click.  Top Finder will be initiated.  Click again and Top Finder is terminated.

Alternate Launch or Delete of a S/R Level

Place the cursor in the Date or Price box in the area opposite the appropriate S or R level in the S/R box area and click.  The S/R level will be initiated.  Click again and the S/R level is terminated.

Hot List Operation:

Place the cursor on the word Hot List in the upper right hand corner (or on the actual hot list name) and click.  WinMidas displays the previous stock in the hot list.

Zooming out on Data

Place the cursor on the dates displayed in the upper left hand corner and click.  WinMidas will zoom out on the data (displaying more data) always retaining the final data point.


WinMidas 2.1 Working Directory

The default working directory for WinMidas 2.1 is DRIVE:\WM21.  This directory stores all the ancillary data files which contain the S/R dates, Top Finder dates, indicator settings, screen display information, etc.  You must use the default directory name but you can specify the drive.


Using a Single Data Type

WinMidas 2.1 provides the capability to read Worden Brother, Inc. data (TeleChart 2000),  Equis International data (MetaStock), and ASCII files. You may wish to mix different data bases.  However, it only one particular data base is to be used for examining many stocks then you will find it convenient to specify the type of data.  When the Single Data Source option is selected you will have the option to select

All Stocks

TC2000 Only

TC2000CD Only

MetaStock Only

ASCII Only

If All Stocks is selected, you will be required to select the type of stock when you use the File|Open menu.  However, if you use TC2000 exclusively (for instance) then selecting this option will bypass the stock type query when you use the File|Open menu.  This selection skips the normal input window which requests the user to select a data type.


Stock File Directories

TC2000 Directory:  If you use TC2000 data you must provide the complete path to the TC2000 data base supplied by Worden Brothers.  This directory path must be \TC2000\DATA plus the drive (i.e., C:\TC2000\DATA).

TC2000CD Directory:  If you also use the Worden Brothers CD-ROM , which stores a large data base of historical information, then you must provide the complete path to the TC2000CD ROM supplied by the Worden Brothers TC2000 Professional software. The path must be D:\TC2000CD or E:\TC2000CD or whatever as long  the path is \TC2000CD plus the drive.

MetaStock Directory:  If you use MetaStock data then must provide the complete path to the MASTER file which contains the names of the MetaStock files.  The MASTER file and the stock data bases must be in the same directory (i.e., \EQUIS\DATA\GROUP1).  You may mix stocks from multiple master files in your user generated hot lists.

ASCII Data Directory:  If you plan to use ASCII data then you should provide the complete path to the ASCII files.


Export to ASCII (CSV) File
 Export to ASCII (CSV) Files

This selection allows you to read in a data file (from TC2000, MetaStock, etc.) and export the information in ASCII format to a CSV file for potential use in a spreadsheet.  You have two options: you may export the entire data file for the displayed stock or you may export only the data displayed in the graph.  The file will be placed in the ASCII specified directory.  The data will be in the same form (5, 6, or 7 fields) as the original file.


Printer Setup

You may set up the printer as in any other Windows application.  WinMidas 2.1 uses the default printer.  If a different printer is desired it should be selected prior to running WinMidas.  You may select either the landscape mode or portrait mode for printing.  The landscape mode provides superior results.  Depending on the printer employed, part of the Top Finder or indicator results may be omitted if the portrait mode is selected.

You may employ the F1 key or the Print command to print the current graph.


Display On Balance Volume

The On Balance Volume (OBV) is simply the running sum of the daily volume since the first day displayed in the chart.  If the day to day price increases, then the daily volume is added to the OBV.  If the day to day price decreases, then the daily volume is subtracted from the OBV.  Generally, an increasing OBV confirms the upward trend in price.  A decreasing OBV confirms a downward trend in price.

You may turn the On Balance Volume display off, if desired, to examine the daily volume or the various indicator outputs.  The On Balance Volume displayed in the lower graph has been normalized to the maximum value within the span of data examined.  You may alternate the OBV display with the indicator results through the use of the F7 key or by left clicking on the word Indicator. (Default = Display OBV)

See also

Price vs OnBalanceVolume


Display Time on X-axis

You may wish to toggle between time on the X-axis (quarters, months or weeks) and cumulative volume.  This may also be accomplished with the F4 key, clicking the left mouse button on the X-axis title, or the pull down menu. (Default = Display Cumulative Volume).


Display Daily Volume

You may select this option to display the daily volume in the lower graph.  The daily volume has been normalized to the maximum daily volume within the span of data examined.  This function also may be accomplished using the F6 key or left clicking in the OBV window.  When the daily volume is displayed with the cumulative volume as the x-axis, the daily volume surges are dramatically indicated by both the width and height of the bar. (Default = No)

Note that the moving average also is displayed as the blue line.

If open interest data are available, the use of the F6 key and left clicking in the OBV window will toggle the daily volume, open interest, and daily volume plus open interest


Display Data Points

This option allows you to specify whether the actual data points should be displayed or simply use the data curve.  For many applications it is useful to see the actual data points.  When selected the data points produce the bar charts which show the daily high, daily low and the average daily price (or closing price).  Plotting the individual bars takes time and, hence, may not be desired if you have a significant amount of data to be examined. (Default = No)


No Top Finder Expansion

When Top Finder is used and projected into the future, the x axis adjusts such that the projected results are displayed.  Frequently, it is desirable to have a closer examination of the fit of the Top Finder curve to the data.  Selecting this option does not allow the Top Finder curve to be displayed into the future and, hence, allows the current data to be displayed in greater detail. (Default = No)


Stock Hot List
Run Hot List

WinMidas 2.1 allows you to select from a number of user designated hot lists.  Each Hot List can contain a maximum of 100 stocks. This feature allows you to examine all stocks of immediate interest or groups of stocks without using OPEN or the SKIP feature.  When Hot List is running, the name of the Hot List will be displayed in upper right hand corner of the screen.  Stocks can be added and deleted through the pull down menu or the F2 and F3 keys.  The SKIP mode also may be employed while running the Hot List.  When new stocks are added to the Hot List,  they are placed at the end.  You can, at any time, select to  alphabetize the Hot List.

The paths to stocks may be mixed (i.e., C:\TC2000\Data etc., CSV..., D:\TC2000CD..., several MetaStock directories, etc.) but it gets tricky to use the SKIP window since the SKIP input window will use the path of the current displayed stock as indicated by the symbol next to the SKIP window (TC = TC2000, CD = TC2000CD, MTA = MetaStock, CSV = ASCII (CSV files), HTM = ASCII (HTM files).

To activate the HOTLIST mode you must select Run Hot List.  You may select any of the available  hot lists.  Running a particular hot list will automatically terminate the current hot list when you select a new hot list or select End Hot List Mode.

See also

Add Stock

Delete Stock

Alphabetize Hot List

Create New Hot List

Philosophy of Hot Lists

Select Primary Hot List

Fix Hot List


Add Stock to Hot List
Add Stock

Adding the displayed stock to a hot list may be accomplished through the pull down menu or the F2 key.  Note, the displayed stock will be added to the active hot list.


Delete Stock from Hot List
Delete Stock

Deleting the displayed stock from the active hot list may be accomplished through the pull down menu or with the F3 key.  If you wish to delete a stock which you have already manually deleted from your data base but not from the hot lists then use the Fix Hot List option.


Alphabetize Hot List

You may alphabetize any selected hot list through the Alphabetize Hot List command from the pull down menu.  Note that symbols starting with weird characters (i.e., @) will be placed at the bottom of the hot list. The previous version of the selected Hot List (prior to alphabetizing) is saved in the file hotlistname.SAV.


Create New Hot List

You may create a new hot list through the Create New Hot List command from the pull down menu.  Note that the first stock in the new hot list will be the one currently displayed on the screen.

To create a new hot list, open the data file of a stock, index or mutual fund which you want to have in the hot list. Once this stock is displayed, then select Hot List|Utilities|Create.......  Then insert a name, under 8 characters, such as TECH, MEDICAL, etc.  Select OK and the new hot list wil be established.  Now, to add to this new hot list, use the Run Hot List command and select this new hot list.  Once this hot list is running, you can add stocks.  So, open a new stock file and once it is displayed  press the F2 key which will add the displayed stock to the hot list.  Repeat this operation to add other stocks.


SKIP Input Window

The SKIP window is one of the most important features of WinMidas for selecting stocks.  The use of this window allows you to input the stock symbol and WinMidas will find the stock and display it on the screen.  This is a very fast way of examining many stocks.  HOWEVER, it must be used properly.  All symbols must be continuous, that is, no spaces between the letters.  So the symbol for the Dow Jones 30 Industrials must be DJ-30 or DJ_30 and not DJ 30.  The symbol is used to name the *.DAT file which contains the ancillary S/R settings, Top Finder settings, etc.

WinMidas assumes that the path to the stock placed in the SKIP window is the same as the current stock displayed on the screen.  To remind you of the current path to the data base, a symbol is displayed next to the SKIP window (TC = TC2000, CD = TC2000CD, MTA = MetaStock, CSV = ASCII (CSV)).  For instance, assume the displayed stock, let's say QCOM, has been accessed from the C:\TC2000\DATA\Q directory.  If the symbol MRK is placed in the SKIP window then WinMidas assumes the path C:\TC2000\DATA and will determine that the next subdirectory is M so it accesses the file C:\TC2000\DATA\M\MRK.NDX.

A word of caution about MetaStock files.  WinMidas 2.1 has the ability to mix data bases from various MetaStock master files.  Each of these master files resides in a unique directory.  Obviously, when you input a symbol in the SKIP window and WinMidas is expecting a MetaStock file, WinMidas must have a directory path.  The path which will be used is that which you designate when you specify the MetaStock directory.

Through use, you will find that the SKIP window is the most convenient manner to examine a wide variety of stocks.


Long Term Average (LTA)

The long term average is represented by the dark gray line in the Price graph.  The LTA is computed using the daily average price, (High + Low)/2 (default condition) or the closing price (you select which to use), over the past 100-300 days (user selected).

For implementation in COMBINATION of Indicators a buy signal is generated when the current average price moves from below to above the LTA curve, vice versa for the sell signal.

When the LTA is displayed in the OBV window (when it is the only indicator selected), the chart which is displayed represents the percent difference between the LTA and the price.  The maximum value is 50% and the minimum is -50%.

You may implement the LTA by clicking with the left button on the LTA symbol in the Indicator box.  You may select the time period through the pull down menu (Indicators|LTA,STA........).


Short Term Average (STA)

The short term average is represented by the thin gray line in the upper graph.  The STA is computed using the daily average price over the past 25-100 days (user selected), or the closing price (you select which to use),.

For implementation in the COMBINATION of IndicatorCOMB buy signal is generated when the current average price moves from below to above the STA, vice versa for the sell signal.

When the STA is displayed in the OBV window (when it is the only indicator selected), the chart which is displayed represents the percent difference between the STA and the price.  The maximum value is 50% and the minimum is -50%.

You may implement the STA by clicking with the left button on the STA symbol in the Indicator box. You may change the time period by using the pull down menu (Indicators|LTA,STA........).


Stochastics (STO)

The stochastic technique employed in WinMidas 2.1 is based on three parameters %k, %D and %D-slow. In WinMidas 2.1, %k can be selected between 5 and 35 trading days.  The %D parameter is a running average of the %k parameter and may be set between 3 and 15  trading days.  The %D-slow parameter is a moving average of the %D parameter and may be set between 3 and 50 days.  These values may be set by using the Indicators|Stochastics Settings pull down menu (Setting Indicator Values).

Typically, %k computes the relative position of the closing price with respect to the lowest low and the highest high over the last %k days.  In WinMidas 2.1, %k computes either (user selected) the relative position of the TODAY'S CLOSING AVERAGE PRICE,  (HIGH + LOW)/2,  with respect to the lowest CLOSING AVERAGE PRICE and highest CLOSING AVERAGE PRICE over the last user specified days. OR you may select to use the closing price.

When you select only the stochastics indicator, all three parameter curves can be observed in the OBV window.  The %k parameter curve is blue, %D is green and the %D-slow is red.

For the COMBINATION Indicator, you may select to use either the %k, %D, or the %D-slow as the primary trigger.  Only one average may be used.  When the selected signal moves from above the sell trigger (levels are user selected) a sell signal is generated.  When it moves from below to above the buy trigger level (user selected) a buy signal is given.


Bollinger Bands (BOL)

The Bollinger bands are represented by the green line in the lower graph. This computation implements a N day running average of the average daily price or the closing price (user selected) for the standard deviation.  The Bollinger band analysis typically employs two standard deviations as the criterion.  When the price is equal to or greater than 2 standard deviations above the running average the Bollinger indicator is 1.  Likewise, when the price is equal to or greater than 2 standard deviations below the running average, the indicator is 0.

For the COMBINATION Indicator, when the measure moves from below to above a user selected level (between 2 and 50) a buy signal is given and when it moves from above to below a user selected level (between 50 and 98) a sell signal is generated.

You may implement the Bollinger bands by clicking with the left button on the BOL symbol in the Indicator box.  The time period and buy/sell triggers may be selected through the pull down menu (Indicators|LTA,STA........).  If only the Bollinger bands have been selected, the indicator can be displayed in the OBV window.


Relative Strength Indicator (RSI)

The relative strength indicator is represented by a red line in the lower graph.  This computation uses the average daily price or the closing price (user selected).  RSI measures the relative number of ups vs downs over N day periods (user selected).  Obviously RSI can go from 0 to 1.0.

For the COMBINATION Indicator, buy signals are generated when RSI moves from below to above a user selected trigger level (between 2 and 50) and sell signals are generated when it moves from above to below a user selected trigger level (between 50 and 98).

You may implement the Relative Strength Indicator by clicking with the left button on the RSI symbol in the Indicator box.  You may select the time period and buy/sell trigger levels through the use of the pull down menu (Indicators|LTA,STA........).  If only the RSI indicator has been selected, you may display the indicator values in the OBV window by clicking on the word Indicator.


MACD
Moving Average Convergence Divergence (MACD)

The MACD indicator is composed of three running averages.  The short term average is determined over a N business day cycle (user selected) using the average price for each day.  The long term average is computed over a M business day cycle (user selected). Then the difference is obtained between these two running averages - which we will call MACD.  Finally, a S day running average (user selected) is computed for MACD to provide a signal line.  The value of MACD is plotted as the red line in the OBV window.  A blue line represents the values for the signal line.

MACD parameter settings make be selected using the Indicators|MACD Settings options.  The first selection is for the short term moving average.  The selected number of days may be varied between 5 and 15.  The second selection is for the long term average and you can select values between 10 and 30.  The signal line is a longer term average and can accept values between 9 and 75 days.

You also have the option of using the default values or setting the display values as the new system default values.  Please note that values selected outside of the range specified will be replaced by the default values.  If you try to replace the default values with time periods outside the specified range WinMidas 2.1 will reset the default values to 12, 26, and 20 for the short term, long term and signal line, respectively.

You may select one of three options to generate buy/sell signals: 1) the zero crossing of the MACD (plus to minus = sell, minus to plus = buy),  2) the zero crossing of the signal line (plus to minus = sell, minus to plus = buy), and 3) a custom WinMidas 2.1 which generates a sell signal whenever MACD generates a sell signal and generates a buy signal only under those conditions in which the signal line is positive and MACD moves from minus to positive. The MACD buy and sell signals are incorporated in the COMBINATION Indicator.

You may implement MACD through clicking on the MACD symbol with the left button in the indicator box.  The results of the MACD analysis can be displayed in the OBV window.


Combination of Indicators (COM)
Combination (COM)

The COMBINATION indicator is represented by the red line in the lower graph.  The display may be turned on and off by clicking on the word Indicator in the indicator box.  When the combination indicator is selected the outputs from the other selected indicators are not plotted unless only one indicator has been selected.  The combination indicator combines (simple addition) the buy and sell signals generated by the selected indicators.  When none of the selected indicators is sending a buy or sell signal then the COMBINATION value is 0.5 (neutral), when all are sent sell signals then it is zero.  When all have sent buy signals it is 1.0.

You may employ the combination of indicators by selecting COM from the Indicator box. The buy/sell trigger levels for the combination indicator can be selected  (Setting Indicator Values) through the pull down menu (Indicators|LTA,STA........).  Note that the combination of indicators function will not work if no other indicator is selected (LTA, STA, BOL, STO, RSI, MACD).

The selection of the combination indicator also enables green up and red down arrows to be displayed on the price graph indicating the buy and sell recommendations produced by the combination of indicators (F9 key turns the arrows on/off).  Arrows are not displayed for the individual indicators.  You can determine how an individual indicator might provide buy and sell recommendations by selecting only that indicator and the combination of indicators.  The graphical output of the combination analysis can be displayed in the OBV window.


TeleChart 2000 Data Base

WinMidas 2.1 can access TC2000 data supplied by Worden Brothers, Inc. These directories have the form:

\TC2000\DATA\A\  symbols starting in A

\TC2000\DATA\B\  symbols starting in B

\TC2000\DATA\C\  symbols starting in C

You are provided the option to specify a directory for the TC2000 data but is strongly urged to follow the directory setup established by Worden Brothers.  The user may, however, wish for the files to reside on a drive other than the drive which contains WinMidas 2.1 (Stock File Directories). The default condition is C:\TC2000\DATA.

WinMidas 2.1 also can access historical data for stock and index data files contained on the CD which comes with the TC2000 Professional setup.  The default condition for these files is D:\TC2000CD.  If you have the CD on a drive other than D the path to the data may be changed (Stock File Directories).


MetaStock Data Base

WinMidas 2.1 has the capability of reading MetaStock (Equis International) historical daily data files.  You must specify the complete path to the directory containing the master MetaStock data base (Stock File Directories).  Please note that WinMidas 2.1 can read only the data contained in the MetaStock master files which have a limit of 255 stocks.  (MetaStock Version 6 has these master files as well as the super master files in which the data format is different.  Equis International has not released the format of the super files at the time of WinMidas 2.1 release.) You may wish to combine stocks from various master files into selected hot lists.  Please do so very carefully.

WinMidas 2.1 expects the data to be in either 5 fields (DHLCV), 6 fields (DOHLCV), or 7 fields (DOHLCV plus open interest).  WinMidas 2.1 will not except 4 field data since values are required for date, high, low, close, and volume by the WinMidas algorithms.  Traps have been provided to catch 4 field data but these are not foolproof.


ASCII (CSV) Data Base
ASCII Data Base

Stock/index/mutual fund price data may be provided in appropriate ASCII files with each value separated by a comma.  You must inform WinMidas if the first line in the data is a file header.  You may select from the pull down menu Setup|Header in ASCII File.  The check means that the first line is expected to be a header.  No check means that the first line contains data.  The default condition assumes a header is present.

WinMidas 2.1 automatically recognizes three sets of data - 5, 6, and 7 field data.

The 5 field data must be in the form DATE (i.e., YYMMDD or MM/DD/YY), HIGH (i.e., 25.125), LOW (24.50), CLOSE (24.875), and Volume (3400). The data start in the first column and the subsequent values are separated by commas as indicated below

950222,25.125,24.50,24.875,3400

950223,25.25,24.50,24.75.3750

The 6 field data must be in the form DATE (i.e., YYMMDD or MM/DD/YY), OPEN(i.e., 24.875), HIGH (i.e., 25.125), LOW (24.50), CLOSE (24.875), and Volume (3400). The data start in the first column and the subsequent values are separated by commas as indicated below

950222,25.0,25.125,24.50,24.875,3400

950223,25.125,25.25,24.50,24.75.3750

The 7 field data must be in the form DATE (i.e., YYMMDD or MM/DD/YY), OPEN(i.e., 24.875), HIGH (i.e., 25.125), LOW (24.50), CLOSE (24.875), Volume (3400), and Open Interest (12500). The data start in the first column and the subsequent values are separated by commas as indicated below

950222,25.0,25.125,24.50,24.875,3400,12470

950223,25.125,25.25,24.50,24.75.3750,13589

The date must YYMMDD (i.e., 941226) or MM/DD/YY (i.e., 12/26/94)  A date in any other form simply will not work.

Please note that WinMidas 2.1 does not use either the Open price or the Open Interest.

Although the ASCII data may have any extension when first read, WinMidas 2.1 would like to see a CSV (or .HTM) extension.  The data in a file without the CSV (or .HTM) extension will be displayed on the screen but will not function properly if you expect to save the file in a Hot List or use the SKIP Input Window.

For many reasons WinMidas 2.1 expects an ASCII file with a name composed of the stock symbol (i.e., GM) and the extension .CSV (or HTM).  The CSV extension automatically tells WinMidas that this is an ASCII file. The file name is limited to eight (8) characters plus the extension .CSV.   More than 8 characters will cause you considerable grief.  The CSV data base supplied with the installation disk is contained in the  WM21 directory.  However, you are given the option (Stock File Directories) to store data in a user defined directory.  The default condition is C:\WM21.  Please note that the HTM extension designates a stock or index with 5 fields (Date, High, Low, Close, Volume) and has been used for the analysis of Swedish stocks.


Mixing Data Bases

Caution should be exercised when examining stock files from a variety of sources.  This potential problem is associated with the *.DAT file in the WM21 directory which saves the previously set S/R and Top Finder dates and other information.  For instance, if the user has a Qualcomm (QCOM) stock file in the TC2000 data base, the MetaStock data base, and the CSV data base, they will all access the same QCOM.DAT file.  The probability is rather high that the start dates for the three files are all different.  In fact, the last data point also might be different.

The differences in the start date and possibly the end date may cause problems in using the dates stored for the S/R's and Top Finder.  For example, if the last date of the data in one data base occurs before an S/R date used by the same stock from a different data base, you are informed that this condition occurs and the offending S/R dates are eliminated.  Traps have been installed to catch possible combinations of mismatch between the saved S/R dates and the data in the historical file, but adventurous users may find a mismatch that misses the traps.  If this happens you may receive a Divide by Zero or some similar innocuous message.  If the problem persists with a particular stock then simply delete the appropriate .DAT file (i.e., QCOM.DAT) and start over with the stock.


Skip>> Window Input Error
SKIP Window Input Error

The major problems encountered with using the SKIP window can be separated into two areas:  1)  bad characters or bad file name and 2) incorrect path to stock file.

Bad characters should be caught and you will be informed that such a file does not exist.  Although the file name appears correct a hidden character or blank space before the symbol could trigger this problem.  If a problem occurs, simply reinsert the cursor, hit the BACKSPACE key, and reinsert the stock symbol.

The symbol must contain no spaces since the symbol is used to name the *.DAT ancillary files.  Thus, the Dow Jones 30 Industrials must have the symbol DJ-30 or DJ_30 and not DJ 30.  WinMidas will only recognize the letters before the space.

A bad path to the stock file is quite common when you use files in a variety of directories.  REMEMBER>>WinMidas 2.1 assumes that the correct path to the stock data file given by the symbol in the input window is represented by the path of the current stock displayed in the window (except MetaStock...see below).  The error message will display both the stock symbol and the path that it has been assigned.

Since a MetaStock symbol might be in any of several MetaStock files which are in different directories, it is virtually impossible for the user to remember which master file contained the displayed stock.  To get around this problem, the SKIP window will only recognize stock symbols contained in the current user specified MetaStock directory.  If the symbol is not contained in this master file, you will receive a message that the symbol was not found in >>master file.  In this case, WinMidas will use the last symbol in the master file.


Zero Volume Days

Zero volume days do occur in lightly traded stocks.  A problem could occur when you are sliding the color coded vertical line when changing the launch date of an S/R level.  During the slide, WinMidas continually computes the particular S/R curve.  If the launch date is moved over zero volume days then the denominator in the S/R computation will be zero...not a good idea.  In this case, to keep the code from crashing, a volume of 1 (100) shares is assumed for any day which has a zero volume.


Hot List File Names

Occasionally, you may wish to manually edit a hot list file to remove a lot of files or to add a lot of files rather than proceed through the same process within the WinMidas code.  This can cause problems if bad symbols or other errors are entered..  Although WinMidas should catch the bad file symbol File Not Found, it has been known to prevent the code from functioning properly.  This problem can be particular severe if a bad path is given for a MetaStock stock.  It is always safer to let WinMidas do it.


Technical Support

Prior to using technical support, you should check Potential Problems  for some of the more frequent problems.

Technical support can be obtained by addressing questions to support@winmidas.com.  Attempts will be made to provide answers within one day, depending on the difficulty of the problem.

Please state the type of system you are using, a concise statement of the problem and what you have tried to correct the problem.


Color Coded Messages

Color coded alert signals are provided in the ancillary data displayed around the Price graph.  These messages include

Price Change

If the price of the stock has increased by 5% then the name of the stock will be displayed in green and red if the price decreases more that 5%.

Daily price increases are provided in green lettering.  If the closing price increases more than a user specified number of standard deviation (Statistical Settings), the Change background will be green.

Daily price decreases are provided in red lettering. If the closing price decreases more than the user specified number of standard deviations, the Change background will be red.

Volume

If the daily volume increases by more than the user specified number of standard deviations for the daily volume, Volume will be displayed in green.  If the volume increase is more than 3 times the average daily volume, a separate display will be provided under the Closing Price.  This display will be a green background with black VOL UP letters.  No alerts are provided for decreases in volume.

Gap Up, Gap down

If the low of the last displayed data point is higher than the high of the previous day, the price will have had a Gap Up!.  In this case, a green background will be displayed below the Closing Price and will contain the letters GAP UP.  Obviously, if todays high is less than yesterdays low the stock will have had a Gap Down.  In this case, a red background will be displayed below the Closing Price and will contain the letters GAP DOWN.

Support/Resistance Alert

If the current stock average price ((High + Low)/2) is less than two standard deviations from the respective S/R level, the Date box for that S/R level will be highlighted.


Display Minor Price Grid

The minor price grid may be turned on or off through the Display Minor Price Grid selection from the Display menu.  The default condition is OFF to provide less confusion in the Price graph.  If you select the minor grids then WinMidas 2.1 will remember this selection the next time you select the displayed stock or index.


Pocket Tutor - Overview

You should print this section to enable you to follow the functions described below.

This very short tutorial will introduce you to the basic features of WinMidas 2.1 and show you  how to employ the point, click and drag features of the mouse to maximize your effectiveness.

Run WinMidas 2.1.  When WinMidas 2.1 is initiated, you will see a display which may or may not quite fill the screen. If not, then maximize the display (800x600 grid is preferred).  Next, you will see the names of the pull down menu selections (File, Setup, Display, Tools, Hot Lists, Help).  The first thing you must do is select the Setup option to be sure that WinMidas knows where to look for the appropriate data.  The default directories are:

WinMidas 2.1 Working Directory	C:\WM21

TC2000 Data Directory	C:\TC2000\DATA

TC2000CD ROM	D:\TC2000CD

MetaStock Data Directory	C:\WM21

CSV Data Directory	C:\WM21

If you installed WinMidas on drive C and are happy with the default directories, then WinMidas should run smoothly.  If you installed WinMidas on the D drive then change the WinMidas working directory to >>D\WM21 since all initialization data is stored in this directory.  For this tutorial, the MetaStock and CSV directories should be identical to the working directory.

Now, click on File and then on Primary Hot List.  Immediately the display will fill with the stock data on Cisco Systems, Inc.

Display Information

The first thing you will note is the absence of the usual Windows type buttons on a tool bar.  This omission was intentional to maximize the space available for the price graph.  You will find, however, that many point and click features are built into the operation of WinMidas 2.1,

In this display, the company name is provided in the upper left hand corner and the stock symbol directly beneath.  The company name is only included in the TeleChart 2000 data and the MetaStock data.  When ASCII files are employed the stock symbol is used in both locations.  For Cisco Systems, the name is green which means that the stock price had increased by 5% from the previous close.  The color would be red if the price had decreased by the same amount.

The information across the top of the display is rather obvious.  The StdDev is the computed standard deviation of the average stock price or the closing price (user selected) over a time period (user selected).  If the change in price is greater than 2 standard deviations then a colored box will appear behind Change (red for down, green for up) (see Color Coded Messages).  The Hot List name in the upper right hand corner indicates which of your user selected hot lists is currently running.

The daily volume will provide a color coded alert if it changes more than a user specified number of standard deviations (user selected).  The time period for the average daily volume also is user specified.  Next to the average volume is an area reserved for other color coded alerts.  If the daily volume has increased by more than a factor of 3 from the average daily volume (hard wired in WinMidas) a VOL UP alert will be shown.  Also, GAP UP and GAP DOWN alerts also are displayed in the area.

The information on the left provides the dates for the data displayed in the graphs (price on the top and On Balance Volume on the bottom).  Next is the SKIP window which allows you to input a symbol and proceed immediately to that stock.  Insert MRK and hit return.  Immediately the screen fill with data for Merck.  Nor insert CSCO and hit return to get back to Cisco Systems  Below the SKIP window are the launch dates and current values for each of the active Support or Resistance levels (S/R).  Immediately below this box is the area reserved for the Top Finder results.  Below this area are the available conventional indicators which may be used in conjunction with the support and resistance features of WinMidas.

The graph across the bottom (x-axis) is the cumulative volume (default) from the first date of the data displayed in the Price graph.  This can be changed easily to time(see below).

The price window, upper graph, plots the average price or the closing price (user selected).  In addition, you will find curves for the first support level and the first three resistance levels.  Also indicated are green up arrows and red down arrows indicating the buy/sell signals produced by the indicators.

The lower graph contains, in this example, the normalized on balance volume as a function of the cumulative volume on the x-axis. It also displays the normalized daily volume (gray bars) and the average daily volume (blue line).

Finally, press the F5 key and the screen will be filled with an unusual display.  This is a Price vs On Balance Volume.  We like to see an orderly movement along an approximately 45 degree line extending from the lower left to the upper right.  Put the symbol for Mattel (MAT) in the SKIP window and observe the very chaotic chart.  Now put CSCO back in and note the difference.  Press the F5 key to return to the usual display.

Thus far, you have been viewing stocks in MetaStock format.  Now we will check out a different format.  Select FILE|OPEN...  A window will be displayed providing several format options.  Select ASCII and click on OK.  Now you will see several files.  Click on IBM.CSV and then OK.  The graph for IBM will be displayed.  Press the F5 key to view the Price vs OBV.  Looks great!.  Now press F5 to return to the normal display.

Mouse Operations

Place the cursor on the dates in the upper left hand corner and click with the left arrow.  The display will zoom in and display fewer data points. The dates change appropriately.   Now click with the right button, the display zooms out displaying more data.  Pretty easy.   This change also can be accomplished with the horizontal scroll bar at the bottom of the display and the Page Up and Page Down keys.

Now place the cursor on the word Hot List:  or the hot list name in the upper right hand corner and click with the left button...you will move to the next stock in your user-defined hot list.  Click with the right button and you will get the previous stock in the hot list.  Hot lists provide you the ability to collect stocks of  a similar nature (tech stocks, personal portfolios, a watch list, transportation, indices, mutual funds,  etc.) and to be able to examine these stocks very quickly.  The same function is performed with the Up and Down arrows.

Now place the cursor slightly to the left of the  Y-Axis values close to the bottom of the graph  (this is the On Balance Volume window) and click with the left button.  The size of the window will move through 4 values providing you the ability to tailor the display of Price (upper graph) and On Balance Volume (lower graph) to your desires.

Now place the cursor at some point along the Price graph where you think that a support level might be generated, typically at a reversal from a downward trend to an upward trend, and click with the left button.  A new support level will be generated (along with the support curve) and the date and price associated with that level will be displayed in the S/R box on the left of the screen.  Note that the cursor should be at least approximately 10% of the screen height above the line separating the Price display from the On Balance Volume display for this option to work ( Support and Resistance levels).  Do the same thing with the right button to generate a resistance level.  To eliminate any of these levels simply click with the right button in the appropriate S/R date and price box on the left and the level disappears.  You also may click with the right button in an empty S/R date or price box and generate that level.

Click with the left button in the Top Finder box and the Top Finder analysis will be initiated.  Note the vertical S and C lines on the bar separating the Price and OBV windows.  Click again and the Top Finder analysis is turned off.  This function also can be accomplished by clicking with the right button in the S or C date or price box.

Next, place the cursor on any of the indicators in the Indicator box on the lower level and left click.  The long term average (LTA) and short term average (STA) lines appear in the Price graph and the LTA and STA change color.  The STO (stochastics), RSI (relative strength indicator),  BOL (Bollinger bands), and MACD have curves which appear in the On Balance Volume window.  The COM (combination of indicators) feature allows you to combine outputs from all other indicators into one indicator (at least one of the other indicators must be active).  Values can be set for each of the indicators by using the Indicator pull down menu.  Try clicking on these.  Now click on the word INDICATOR and the OBV display will change from on balance volume to a display of the indicator results.  Click again and you will get the combination of the indicator results and the on balance volume.  If the COM indicator has been selected then you will see red sell arrows and green buy arrows in the price display.  The location of these signals depends on the values selected for the various indicators.  Push the F8 key and the arrows go away.  Push it again and you will return to the arrows.

Place the cursor on the X-Axis label and click with the left button.  The axis changes from a Cumulative Volume display to a time display (years, quarters and months).  Click again and the axis changes to the original value.

Finally, place the cursor in the center of the On Balance Volume window and click with the left button.  The daily volume display turns off and on.

WinMidas 2.1 Remembers

All of the changes you make to the display and your generation of the various support, resistance levels and Top Finder are retained stock by stock so that the next time you examine a particular corporation you can take up exactly where you left off.


Fix Hot List

Occasionally, you may delete one of your stock or index files from your stable of data and forget to delete the stock from the hot list first.  When you next run that particular hot list you will probably be surprised that it will come to that stock and stop.  Now you have a problem.  On the one hand, you cant delete the stock using the F3 key because you cant read it in.  On the other hand, WinMidas certainly doesnt want you to manually delete the stock by editing the hot list file.  So, this selection Fix Hot List  allows you to correct your inadvertent error.

Select this option and you may delete the offending stock file name.  It is always better to let WinMidas do these house keeping chores


Select Primary Hot List

The Primary Hot List selection from the File|Primary Hot List pull down menu allows you to immediately proceed to a predetermined hot list without having to go through the Run Hot List...Select Hot List stuff.  When Primary Hot List is selected the hot list process starts immediately.

You may select which of the hot lists you wish to name as your Primary Hot List through selecting HotList|Utilities|Select Primary Hot List and simply select the hot list from those provided.


Stock Data Base

Once in a great while, you may have trouble reading in a new stock or index data base from your supplier (Worden Brothers, MetaStock, whatever).  If you receive an error message such as  Floating Point Invalid or something similar, then the problem may be with the new data base.  The suppliers of these historical data bases do an excellent job of maintaining a clean data base, but sometimes a glitch gets through.  To determine if the problem is with WinMidas or with the new stock data base, try running the data in the graphics program supplied by your source of data.  If it does not run then the problem is in the new data base.  If it runs then the problem must be elsewhere.  Whenever this problem has been encountered it generally has been traced to the data base.

Also you should be sure that you are using 5, 6, or 7 field data, especially in the MetaStock files.


Setting Indicator Values

Indicator values make be set using the Tools|Indicator Settings options.  This option presents a rather detailed set of indicator numbers (explained below) to enable you to customize the indicators to the values you desire (within limits).  The MACD settings and the stochastic settings are discussed elsewhere.

Long Term Average

The days for determining the long term average can be set between 100 and 300 days.  A selection outside this range will be changed to the default value.

Short Term Average

The days for determining the short term average can be set between 25 and 100 days.  A selection outside this range will be changed to the default value.

Relative Strength Indicator

The days for determining the RSI time period can be set between 5 and 50 days.  A selection outside this range will be changed to the default value.

Bollinger Bands

The Bollinger band time period may be set between 5 and 50 days.  A selection outside this range will be changed to the default value.

Buy and Sell Signals

Buy and Sell signals may be set for each indicator except the MACD indicator.  Nominally the buy triggers may be set between 2 and 50; the sell triggers may be set between 50 and 98 (out of a range of 100).  These triggers are used in the Combination indicator to display buy and sell arrows on the screen.  Please note:  a buy signal is generated when the indicator moves from below the buy level to above the buy level.  Likewise, a sell level is provided when the indicator moves from above the sell trigger to below the sell trigger.  Also note, the large number of buy and sell signals which may be generated over a 12 month period using the conventional indicators.


Display Indicators

The Display Indicators options under Display allows you the ability to toggle between the indicator results alone in the OBV window , the combination of the indicator results and the on balance volume, or simply the on balance volume alone..  Sometimes the OBV window gets very crowded.  If you select the indicators and also select the Combination of indicators, then by turning the Display Indicator off the buy and sell signals generated by the selection of the Combination of indicators still remain in the price window.  You may toggle between the indicator display and the OBV display by using the F7 key or by clicking on the word Indicator in the indicator box.


Statistical Settings

The statistical parameters may be set by selecting Indicators|Statistics from the pull down menu.

You have the option of selecting values for the days employed in computing the standard deviation of the average daily price (or closing price) and the color coded message alert  trigger level (a multiple of the standard deviation).  The acceptable ranges for these values are 5 to 200 days and 0.05 to 10.0 for the number of standard deviations.

You also have the option of selecting the number of days employed in computing the average daily volume and the standard deviation of the daily volume.  These values also are used in the color coded message alert.  The acceptable range of values is 5 to 200 days and 0.05 to 10.0 for the number of standard deviations.


Average Price vs Closing Price

WinMidas 2.1 allows you to specify the type of data on which the computations are to be performed,  Using the pull-down menu Indicators, select Use Closing Price and all computations and plots will be based on the closing price EXCEPT THE SUPPORT/RESISTANCE AND TOP FINDER ANALYSES WHICH USE THE AVERAGE PRICE.  When this selection is checked the closing price is used, when not checked the average price is used (default).


Display Open Interest

You can examine data on open interest by employing a data base which contains the open interest information and also consists of 7 fields of data Date, Open, High, Low, Close, Volume, Open Interest).  WinMidas does not look for open interest in 5 or 6 field data. The normalized open interest can be plotted by using the F6 key.  Toggling the F6 key will display the daily volume, then the open interest, then the daily volume plus the open interest.  The open interest is the green colored line.

Note that you also may use 7 field ASCII data and instead of using open interest in the last field you may wish to use the results of your own indicator analysis which may have been performed in a spreadsheet.  Using this field provides you the opportunity to graphically display the results of  your analysis with the S/R levels and indicators employed in WinMidas


Philosophy of Hot Lists

Hot lists provide you the opportunity to group stocks, mutual funds, etc., together for a rapid review of each set of stocks.  You do not have to use the SKIP window to review the same 20 stocks each day.  Put them in a hot list and simply click from one stock to another.  If you are looking seriously at buying one or more of 30 stocks, then group the stocks into a SERIOUS hot list.  Make a MOM hot list for reviewing your moms portfolio.

Tech stocks can be grouped as well as medical, housing, indices....In fact the number of hot lists you wish to have is endless.

When you wish to delete stocks from a particular hot list, either run the hot list, advance to the stock of interest and then use the F3 key OR simply go to the Fix Hot List option under Utilities and simply delete the stock.


Directory Problems

WinMidas was developed to provide you a lot of flexibility in where you wish to keep stock data.  The only restriction on your selection of directories is the WinMidas working directory which must be DRIVE:\WM21.

You may wish to store certain types of ASCII data in a variety of directories.  WinMidas will automatically find the correct directory for the particular stock when the hot list is used.  In this way you may combine stocks from different directories, ASCII stocks, TC2000 stocks, and MetaStock data in the same hot list.  However, you must use great care when doing this.  In particular, please use WinMidas to add stocks to the hot list and do not manually edit the hot list since wrong paths or typos are easy to generate.

When the SKIP input window is used for accessing TC2000 or TC2000CD data, WinMidas will proceed to the directory containing the displayed stock since the directory structure for the TC2000 data have been predetermined.  When the SKIP input window is used for accessing ASCII data or MetaStock data, WinMidas will proceed to the directory which you indicated in your selection of the ASCII and MetaStock data.


Display Cross Hairs

You can display movable cross hairs by clicking on the Display|Cross Hairs option.  Large cross hairs will be activated when you move the cursor to the graph area.  The cross hairs extend from top to bottom and left to right and will enable you to line up features in the Price display and in the On Balance Volume display.  When the cursor is moved around in the graph area, the corresponding date for the data and price or relative on balance volume are displayed in the lower left corner of the screen.

As the cross hairs are moved from the Price display to the OBV display, the area just above the bar separating the Price display from the OBV display cannot be used.  This area is reserved for sliding the launch dates for the S/R levels and Top Finder S and C dates.


Purchase Information

WinMidas is distributed online by DITR Marketing, Inc.  You may purchase an unlock code for WinMidas through one of the following methods:

1) By online order over the World Wide Web at DITRs software store website at http://www.ditr.com/software or through the WinMidas website at http://www.winmidas.com.

2) By email to sales@ditr.com

3) By phone at 619-259-4700 (M-F, 8am-5pm PST)

4) By fax at 619-259-5425

5) By postal mail at DITR Marketing, Inc., 11772 Sorrento Valley Road, Suite 120, San Diego, CA 92121.

IMPORTANT INFORMATION ABOUT YOUR ORDER.  To ensure timely processing of your order please include the following information:

1) Your first and last name and company name, if applicable.

2) Your postal address

3) Your phone and fax number

4) Your email address (Very Important - we will deliver your code via email)

5) Your registration number from the program (Also Very Important - we cannot issue an unlock code without this number)

6) The version of WinMidas you are registering

7) Your credit card number and expiration date.  We accept Visa, Mastercard and American Express.  Postal mail orders can be paid by either credit card or check.

After processing your order, we will email your unlock code to you.


Dialog Box Problems

If the dialog boxes do not appear (e.g., the HELP|ABOUT box cannot be displayed) then you have a problem with too many BWCC.DLL files on your computer.  These files are widely used by developers.  The most recent version should always be in the \Windows\System directory.  Some developers place their BWCC.DLL in the Windows directory.  The Windows handler will pick up the first BWCC.DLL file it finds in the path.  If this version is earlier in time than the one used by WinMidas then the dialog boxes may not work properly.

Borland (the C++ developer) recommends that all BWCC.DLL files be deleted from your system except the very last (time dated).  This file should be placed in the Windows\System directory.  Since all BWCC.DLL files are backwards compatible, all of your other applications should still work OK.  As a precaution, you might want to rename them all to BWCC.SAV until you are sure that all of your applications work successfully with the latest BWCC.DLL file in the \Windows\System directory.


Plot Price vs On Balance Volume
Price vs On Balance Volume Plot

You should print this section to try the various features provided herein.

The plot of Price vs On Balance Volume (OBV) provides a rather unconventional look at the Price-Volume movement.  Plotting Price vs OBV produces patterns which are quite distinctive.  The typical or normal behavior produces a line from the lower left to the upper right (approximately 45 degrees).  Simply put, this means that if the stock goes up a point on a daily volume of 100,000 shares then when it goes down by a point we would expect the volume to be 100,000.  But what happens if the stock goes up by 1 point on 100,000 daily volume yet on the next day it goes down by a point on 30,000 shares.  This represents a deviation from norm which may imply a shift in the investor viewpoint of the stock (or the market in general if you are examining a particular index).  If this type of action continues then the Price vs OBV display will be significantly different from the norm.

A typical non-normal pattern occurs after the stock has been behaving normally then proceeds to move to the left (in the plot) with slightly decreasing price.  This means that the downside volume has increased (otherwise the price would follow the normal curve).  After some period, the price/OBV sets up a new normal curve with the typical 45 degree movement.  So what does this mean?  Obviously, when the price is moving left in an almost horizontal pattern, this  is not a time to invest since the dynamics are not well understood,

Similar statements can be made about any non normal price vs OBV action.  Stokes Fishburne Associates and Dr. Paul Levine are actively pursuing  this line of investigation.  Updates will be placed in the MIDAS Speaks column at our website   http://www.winmidas.com.

Examples

Lets start with a good, well behaved plot.  Select FILE|Open...., ASCII,  and the open IBM.CSV.  Afte IBM is displayed, press the F5 key to display the Price vs OBV.  This plot represents a reasonably well behaved set of data points.  Now select FILE|Open..., MetaStock, and select Mattel.  This plot is disorganized.  The first three data sets (in time) looked OK but then set 4 simply destroyed the organization as the price drifted left.  Then Mattel tried to establish a new, organized plot.  Press the F5 key to display the usual price plot vs cumvolume.  The data set 5 occurred as Mattel peaked then started drifting downward.

Now open the MetaStock file for EMC Corp.  Notice how the price drifted sideways until the beginning of data set 4.  Then the price started inceasing on increasing OBV.  Press F5 and notice how the plot of price vs OBV showed disorganization until it started set 4 at which point we find a nice, almost straight line to the upper right hand corner.  EAGL-1.CSV and EAGL-2.CSV also provide a beautiful price vs OBV plot.  However, EAGL-CSV shows some slight disorganization after the price peaked.

Fully utilizing the price vs OBV plot as part of your investment decisions requires considerable practice.  You should examine this type of chart on a regular basis.


Price/OBV Data Sets

This selection enables you to see the 5 different data regions, color coded in the Price vs On Balance Volume plot, in the normal display of Price vs CumVolume.  This helps to correlate the Price/OBV movement with the Price vs CumVolume movement (normal display).  Typically, the best scenarios occur when the Price vs OBV plot resembles a line moving at approximately 45 degrees from the lower left to the upper right.  When the Price vs OBV plot deviates from this behavior it may imply a shift in the way that major investors are viewing the stocks future.

The user may wish to use the zoom features of the pageup and pagedown keys to examine regions where the stock follows the 45 degree behavior.  This is accomplished by toggling between the normal chart and the Price/OBV chart as the time scales are adjusted.


Users Manual

A Users Manual may be purchased for $25 for shipping and handling.  The Users Manual has many more examples and details than that provided in the on line HELP section.  You may purchase a Users Manual through one of the following methods:

1) By online order over the World Wide Web at DITRs software store website at http://www.ditr.com/software or through the WinMidas website at http://www.winmidas.com.

2) By email to sales@ditr.com

3) By phone at 619-259-4700 (M-F, 8am-5pm PST)

4) By fax at 619-259-5425

5) By postal mail at DITR Marketing, Inc., 11772 Sorrento Valley Road, Suite 120, San Diego, CA 92121.

IMPORTANT INFORMATION ABOUT YOUR ORDER.  To ensure timely processing of your order please include the following information:

1) Your first and last name and company name, if applicable.

2) Your postal address

3) Your phone and fax number

4) Your credit card number and expiration date.  We accept Visa, Mastercard and American Express.  Postal mail orders can be paid by either credit card or check.