TC2000 Tutorial #1

1. Turn the PC on and get into TC2000
2. With the screen (picture of some stock or index) in front of you, click on the heavy J top left. This tells you to Jump to some stock. Enter the Ticker ASL and click OK.
3. On the right side of the icon bar are two magnifying glasses with a + and a - inside. Click on each a few times to see how it changes the historical snapshot of the stock. As you click on these, a white message in the top-right of the screen includes a “Zoom=8” or 4 or 9 or whatever. Click until you come to Zoom=5. Now we’ll talk about the picture.
4. ASL is a gold mining stock. This was recorded on November 5, 1998. Move the time scale so you can relate to this discussion. Not much going on, a peak the first part of October, now a little rise in early November. What you need to find in the middle window is the Stochastics. This is the red and blue sine-wave looking curves moving up & down as time moves to the right.
5. Check the Pro-fundity web site for a tutorial on Technical Analysis with an explanation of how the stochastic works, but that’s not important here now. How we use the stochastic to time our buys and sells is. The red curve is the stochastic, the blue smoother curve is its moving average. The signals shout at us when they cross; when the red crosses down through the blue at the top is a sell signal. When the red crosses up through the blue at the bottom it is a buy signal. Buy low, sell high. A novel idea.
6. Before we can us the stochastics indicator for this tutorial we need to all be on the same page. Click on the large “I” icon (for Indicator) near the top just under “Datebank.” This brings us to a screen where we can edit the indicators. Click on the line labeled Stochastic – bringing up the screen for all the stochastics parameters. Be sure the settings are thus: Period = 14, SK Period = 9, SK Drawing Color = Red, SD Period = 7, SD Drawing Color = Cyan or Blue, Drawing Style = Normal, with a Simple moving average calculation. These settings were suggested by a guy at Worden Bros. (TC-2000). Other technical guru’s use different settings. It shows nothing is in cement. This has worked well for me, you may find a set you are more comfortable with after some experimenting. At least this set will make this tutorial meaningful.
7. Lets see how it worked on this stock. Click on the “Tools” guy at the top menu bar. Then move down and click on the Pointer option. That puts a vertical line in the window you can use as a pointer to line things up. You can move it left or right with the cursor, or with the left and right arrows on the keyboard.
8. Start on the left where the red crosses up through the blue on 7/28. This is where we should buy if the theory is right. (you can see the date in the blue line at the top-left of the window) Now look at the stock price close on that date (also the blue line includes the date, the open, high, low, and close plus volume for the day. You have to add two zeros to the volume number). Anyway, the price here is $6.81.
9. Then move ahead to the point where the red crosses down through the blue on 8/24/98.
10. The stock price here is $7.38. If we sold as we should, we would have realized $0.57, or an 8.4% increase in four weeks.
11. Next step, buy again when the red crosses up through the blue, this time its on 9/9 and we buy at $6.06. Sell with the signal on 10/8 with the stock at $10.56 for a gain this time of $4.50 or 74% in another month.
12. Now, buy at the bottom for $8.63 on 10/29 and away it goes. Watch the stochastic now going forward to see if you can pick a good sell signal.