Calculation

The BarrosM Contratrend Scan uses a number of criteria from 3 separate tools available in Market Analyst 4.1 –

Criteria 1

Hart Swings

The scan compares the current Hart Swing line, with that of the previous Hart Swing Top / bottom (depending on whether you are looking for Higher or Lower movements in the market). For information on the Hart Swing scans click here.

Criteria 2

MIDOS SI

The scan checks that the last 3 trading bars are above the 95 line (in the MIDOS SI window), then, ensures the 3 trading days prior to the last Hart Swing top were also above the 95 line. For information on the MIDOS SI tool click here.

Criteria 3

Value Chart

If scanning for a Higher High, the scan checks the last 3 trading days of the value chart to determine which bar reached the highest value. The same check is then performed on the 2 bars before and after the previous Hart Swing Top (totaling 5 bars). These 2 bars are then compared with each other. The highest bar (current) must be lower than the highest bar (previous to last Hart Swing top) for the criteria to be met.

If in the Scanning Manager you select to scan for a lower low, the scan will check the last 3 trading
days of the value chart to determine which bar reached the lowest value. The same check is then performed on the 2 bars before and after the previous Hart Swing Top (totaling 5 bars). These 2 bars are then compared with each other. The Lowest bar (current) must be higher than the lowest bar (previous to last Hart Swing bottom) for the criteria to be met. For more information on the Value Chart click here.

The below illustration highlights how each criteria would look on an actual chart.

Creating the Scan

Before following this process please familiarise yourself with the Scanning manager by clicking here.

1. Open the Scanning Manager
2. Click on the ‘New Scan’ button (located in the Saved Scans section).
3. The Create New Scan window will be displayed. (Image below).

4. Once you have added the scan criteria, and adjusted the properties to your desired settings, click on the ‘Next’ button.
5. Select the Date Range to scan.
6. Select a Data Group to scan.
7. Enter in a Name for the Scan. (By default the scan will be called BarrosM Contratrend Scan).

The scan will then be made available in the Saved Scans section of the scanning manager. For information on running a scan click here.