Greed and Fear - Daily trading signals based on mathematics and software, no opinion, no emotion, no ego.

conditioning1First, autotrading is a great development for the trading community, both for investors as well as traders. It gets rid of all the fluff and ambiguous analysis that float around the internet, that whole crazy circus feeding the modern gold-rush.

neural networkEarly visitors of this blog have seen my daily posts for years now with the so called Greed and Fear indicator and to which direction it was pointing. This was my initial attempt to expose the indicator to the public. Along the way, the performance was measured of course, to see if it was any good and useful in trading. The most honest way to measure this performance was by counting index points 'it called right' subtracted by 'index points it called wrong', as I've explained here in more detail.

But during all those year, I never explained in some more detail what the Greed and Fear indicator really was, while this is probably one of the most fascinating subjects today: a neural network! The more widely known terminology would be machine learning, artificial intelligence etc. There are subtle differences, but it all comes down to 'intelligent software'.

questionmarkThis site is a personal blog about trading the financial markets. In my opinion, these financial markets, but in fact all markets whether small or big are driven by the very same primal emotions of greed and fear.

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Some people have asked me how to trade with these signals. The short answer is: don't trade the signals and do your own analysis!

greed and fearThe section Today -> Market updates will show you a lot of arrows. Every daily pre-market update will show an arrow to give you a quick first impression of what the Greed and Fear indicator is expecting for the next trading session. What it does is, it tries to the predict how the S&P 500 will close for that session: higher or lower.