Stock Screener
Volatility Ratio (Schwager)
- The Volatility Ratio identifies days with exceptionally wide trading ranges (the distance between High and Low) and is used to signal likely reversal days.
- Details of the indicator can be found at Volatility Ratio (Schwager).
- This stock screen combines well with Volume Spikes.
Signals
- Volatility Ratio (Schwager) > 2.0
The indicator gives a reading greater than 2 when the true range is more than double its 14-day exponential moving average.
To Set the Volatility Ratio screen:
- Select the Volatility Ratio (Schwager) filter
- Select the amount the Volatility Ratio would be greater or less than, using the drop down menu
- Enter the number of days within which the signal must have occurred or excluded
- Click on the Add button to add the filter.
Author: Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He co-founded Incredible Charts and writes the popular Trading Diary and Patient Investor newsletters.
Using a top-down approach, Colin identifies key macro trends in the global economy before evaluating selected opportunities using a combination of fundamental and technical analysis.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
He founded PVT Capital (AFSL No. 546090) in May 2023, which offers investment strategy and advice to wholesale clients.