Help with a scan

MikeW

Hi. I am a newbie and would like to know how to set up a scan for the Red Dog reversal pattern by Scott Redler.
1.Stock is in a pullback or oversold condition or 2 or more down days in a row
2. Starts above prior day low
3. Trades below prior day low
4. Reclaims (Reverses) prior day low
OR worded Stock is down for multiple days. Stock goes below prior day's low. Stock trades back up through prior day's low, which triggers the entry

hank you in advance if you can help me write the formulae

markd

The syntax required is easy, the logic takes some thinking.

Probably the easiest way to tackle this is backwards - that is last condition first, then work backwards chronologically from there.

So, today's close crosses above yesterday's low

and [close x 1 day ago low]

The x operator, meaning cross above, implies that price today went below yesterday's low, but you can ask for that explicitly if it makes things clearer.

and [low < 1 day ago low]
and [close x 1 day ago low]

Then you want to check that the one day ago low was a lower low versus the day before:

and [1 day ago low < 2 days ago low]
and [low < 1 day ago low]
and [close x 1 day ago low]

And then the day before that was also lower than the previous low.

and [2 days ago low < 3 days ago low]
and [1 day ago low < 2 days ago low]
and [low < 1 day ago low]
and [close x 1 day ago low]

That wraps up the logic.

Then, you need a universe at the top of the scan - a built in group, or a description of the kinds of stocks you are looking for, in terms of say, price and or market cap

If a built in group, for example

[group is sp500] // or any other index, or sectors, like Technology, or industries, like Integrated Oil & Gas

and [2 days ago low < 3 days ago low]
and [1 day ago low < 2 days ago low]
and [low < 1 day ago low]
and [close x 1 day ago low]

Note that the first line always begins with a bracket " [ " while every other line must begin with "and" (or "or", but that's another topic).

A universe by description might be

[market cap > 100]
and [price > 10]
and [volume > 100000]

and [2 days ago low < 3 days ago low]
and [1 day ago low < 2 days ago low]
and [low < 1 day ago low]
and [close x 1 day ago low]

Both groups and "properties" - market cap, volume, price - like most other elements of a scan, can be selected from the drop downs below the scan writing window.