What are alerts?
Alerts are signals of potentially important changes in the way a stock is acting. By themselves, alerts do not necessarily serve as buy or sell signals but act more as warnings to be aware that a change in trend may be occurring. Daily Alerts are based on changes in Price and Power Ratings. Weekly Alerts are based on changes in Power Ratings.Daily Alerts
- Power Rating Above or Below the 150-Day Moving Average. Positive (Green Arrow) Alerts are triggered when prices move above a 150-Day Moving Average, Negative Alerts (Red Arrow) when prices move below a 150-Day Moving Average.
- Power Rating Above or Below the 150-Day Moving Average. Signals are triggered on the same basis as Price Alerts.
- Relative Strength moves above or below the Zero Line. Positive Alerts (Green Arrow) are triggered when the Power Rating Relative Strength (the histogram on the bottom of a Power Chart-for details see How to Read Lowry's Power Charts) rises above the zero line.
- Negative Alerts (Red Arrow ) are triggered when the Relative Strength Histogram drops below the zero line.
- Short Term Trend (Buy/Sell) changes.
- Power Rating Moves Up or Down 15 points in one week. Positive Alerts (Green Arrow) are triggered when the Power Rating for a stock or index moves up 15 points in one week (5 trading days).
- Negative Alerts (Red Arrow) are triggered when the Power Rating drops 15 points in one week. Power Rating rises or drops for three consecutive weeks.
- A Positive Alert (Green Arrow) is triggered when the Power Rating for a stock or index rises for three consecutive weeks.
- A Negative Alert (Red Arrow) is triggered when the Power Rating drops for three consecutive weeks. 4-Week Power Rating Moving Average moves above or below the 30-Week Power Rating Moving Average. The 4-Week Moving Average moving Above/Below the 30-Week Moving Average can signal a longer term change in trend.
- In general terms, a 15 point increase/decrease in a Power Rating signals a burst of buying/selling enthusiasm. As such the Alert can be particularly important when it occurs soon after a stock has made a top or bottom.
- A move above or below its 150-Day Moving Average by a Power Rating can be important signal of a trend reversal. Many long-time Lowry clients regard the crossing of the 150-Day Moving Average by a Power Rating as a particularly advantageous time to enter a trade.
- Three consecutive weeks of increase/decrease in Power Rating can be a particularly important signal in the early stages of a trend as it represents a consistent pattern of buying or selling.
- Relative Strength of the Power Rating moving Above or Below Zero can be an important signal of a stock that is transitioning between outperforming and underperforming the market.