TICK AND TICKI Explanation

[cpatte7372]

Hello,

Can someone please explain the difference between TICK & TICKI?

Thanks

Carlton

[ScottJ]

Hi,

$TICK is the NYSE Cumulative Tick Index while $TICKI is the Dow Jones Tick Index. Both represent snapshot indications of the combined # of up, down and unchanged issues. Since $TICKI is for the Dow, the # will always range between -30 and +30 ( the # of stocks in the Dow ).

Hope that answers your question.

Thanks.

[cpatte7372]

Scott,

Great explanation.

Thanks mate.

Carlton

[melteye]

How would $tick be useful to a trader? (sorry, newbie)

[ScottJ]

Hi,

We don't tend to get into "strategies" from a support perspective but I can say that $TICK is a market statistic designed to reflect the current direction of the NYSE. $TICKI is for the Dow and $TICKQ reflects Nasdaq. Much the same goal as these other market statistics.

If you've got some time to read, here's the results of a search for the term $TICK within these Forums.

Perhaps other users will chime in with their thoughts as well.

Thanks and welcome!

[cpatte7372]

Scott,

You've got me thinking.

Can you tell me what the extremes and neutral ranges are for $TICKQ? I know that the extremes for $TICK are +/- 1000 and the neutral ranges for $TICK are +/-300, but I don't what they are for $TICKQ.

Cheers mate.

Carlton

[ScottJ]

Hi Carlton,

I believe there's close to 3000 stocks trading on NASD. In theory then, $TICKQ could range between +3000 and -3000. In application though, those ranges are highly unlikely. If you open up a standard chart for $TICKQ and select daily tabular display, you can quickly peruse back 10 years and see the fluctuation first-hand.

Thanks.

[arbifox]

TICK Strategy

Just was looking over this thread, and the question is poised how can TICK help with a strategy? I just so happen to be working on this, and what I can tell you from my experience is that if you combine the movement of the TICK between extremes for the day, and general direction, you can have a very sensitive daytrader for trading the underlying E-Mini futures.

The only thing that is important is signal validation and good stop management. It is work in progress, but promising.

Thomas

[cpatte7372]

Thomas,

Thanks for your comments.

Cheers

Carlton