Are Investors Losing Their Shirt over Ultrapro Short Russell 2000 Proshares (SRTY)? Mass Index in Focus
Ultrapro Short Russell 2000 Proshares (SRTY) are on trader’s watchlists today as the shares have moved below a key Mass Index level of 26.5. When Donald Dorsey developed the Mass Index indicator, his rationale was that if the prevailing trend were going to change, the price range would have to widen. Dorsey looked for “reversal bulges” to signal a trend reversal. According to Dorsey, a bulge occurs when the Mass Index moves above 27. This initial bulge does not complete the signal though. Dorsey waited for this bulge to reverse with a move back below 26.50. Once the reversal bulge is complete, traders should use other analysis techniques to determine the direction of the next move.
Active traders are typically striving to spot winning entry and exit points for trades. Following technic ...