Jack Hershey Method

Discussion in 'Technical Analysis' started by xioxxio, May 9, 2025.

  1. demoncore

    demoncore

    #81     May 10, 2025
  2. svrz

    svrz

    What you have posted is just a fraction of Jack's equities methodology.

    Firstly, the universe of stocks is created off of the list of all NASADAQ and NYSE listings by filtering for the following criteria which has more items than what you listed:
    • Price between 10 and 50
    • Float between 5,000,000 and 60,000,000
    • Average 65 day volume greater than 200,000
    • EPS greater than 0
    • Percent held by institutions equal to or greater than 25%
    • Percent held by insiders equal to or greater than 25%
    Secondly, the resultant stocks from the above filter must each have at least 5 cycles of 20% or greater increase in price. If so, then Dry Up volume (DU), First Rising volume (FRV) and Peak Volume (PV) for each 20% cycle must be obtained and then averaged. The simplest entry rule is to buy the stock when the daily volume exceeds average DU and today's intraday or closing price is greater than yesterday's closing price. The stock is then monitored daily to ensure that its daily volume is greater than its average FRV. Various exit strategies can be employed if average FRV is not reached. Finally, the stock is sold when the daily volume reaches average PV or exceeds it.

    Spydertrader who highly successfully traded this methodology and journaled all of his trades for a period of one year, added Stochastics and MACD requirements to the entry rule. Furthermore, he added lower and upper bands for all three volume indicators. However, these added items are not required.
     
    #82     May 10, 2025
  3. themickey

    themickey

    Jack probably did a disservice to himself rambling for hundreds of pages in what could have all been done in a handful.
     
    #83     May 10, 2025
  4. Why is this even a Thread if the Guy was an unsuccessful Trader?
    Plenty of proven successful Stock Traders to learn from.
     
    #84     May 10, 2025
    beginner66 and MarkBrown like this.
  5. schizo

    schizo

    So obviously there's more to Hershey's method than bunch of squiggly lines. Are those parameters you mention suffice? If not, why don't you tell me as much as you can about it, since I ain't gonna read over 200 pages of that other thread you referenced.
     
    #85     May 11, 2025
  6. svrz

    svrz

    I did! What more do you want? I disclosed all the fundamental screening parameters and then I detailed how to obtain the average DU, PRV and PV parameters. The additional entry criteria that Spyder added was for Stochastic 5,3 be in the 75 zone and MACD 5,13,6 to have a bullish crossover. The bands for the volume parameters were just one +- standard deviation. As I stated, these additional rules were not required.

    The reference to Spyder's original journal is for folks who want a detailed record of which stocks were bought, sold and when. Otherwise, proof. :)
     
    #86     May 11, 2025
    HawaiianIceberg likes this.
  7. xioxxio

    xioxxio


    No worries, I have so much to go through.
     
    #87     May 11, 2025
  8. Having studied the top Stock traders and their Strategies I can tell you there are better "Systems" out there. Let's say old Jack only got half the picture.
     
    #88     May 11, 2025
    MarkBrown likes this.
  9. Sprout

    Sprout

    There are nuances but as a single post go @svrz post is a good distillation. You could substitute RSI for A/D.

    Many attempts at backrests over the years missed key parameters and made pre-mature pronouncements. In general, they also didn’t reveal their methods for performing them so they were more a ‘glass is half-full’ type.


    Cool, start your own thread. I’m sure it will be popular.

    Unless your goal is to simply troll and derail this thread, read the OP again about what this one is about.
     
    #89     May 11, 2025
  10. MarkBrown

    MarkBrown

    LOVE THIS - THANK YOU - I am a newb at Python so I appreciate seeing other projects. I hope to migrate all my stuff eventually to python when they release MultiCharts python edition. It's in beta right now.

    Again much thanks for sharing!

    [​IMG]
     
    #90     May 11, 2025
    schizo likes this.