HISTORY AND CREDITS––––––––––––––––––––––––––––––––––––––––––––––––––––––– The script is created based on lessons and interviews from Stan Weinstein. The Alert Index is being used by Stan and his team to gauge the general markets.
WHAT IT DOES––––––––––––––––––––––––––––––––––––––––––––––––––––––– This is an internal fundamental indicator that Stan and its team uses, that gauges the relationship between the 3 month T bill yield and the AAA bonds. The indicator uses the 3 colored system to determine favorable trading conditions in the market. 🟨 Yellow – OK conditions 🟩 Green – Great conditions 🟥 Red – Unfavorable conditions
Remember this is a fundamentals indicator and looks at the market from a much more macro picture.
HOW TO USE IT––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––– The indicator is to be used in order to determine the agressiveness of the position sizing in the market. Green conditions show very favorable market for long positions and yellow show ok conditions. However, during red condition the trader is advised not to be aggressively exposed in the market