ShmoopTube
Where Monty Python meets your 10th grade teacher.
Search Thousands of Shmoop Videos
Muni Bonds Videos 71 videos
Maturity is, quite simply, the date when a debt becomes due. As for our maturity, well... we're still giggling about the word "due."
What are Freddie Mac and Fannie Mae? They sound like snack cakes to us, so, uh...maybe we should watch this video.
What are Bond Anticipation Notes (BANS), Revenue Anticipation Notes (RANS), and Tax Anticipation Notes (TANS)? BANS, RANS and TANS are all short-te...
Finance: What is the Arms Short Term Trading Index? 13 Views
Share It!
Description:
What is the Arms Short Term Trading Index? The Arms Index is used to predict future market behavior. It gives investors an idea of what may happen in the market on a very short-term basis, typically within a day or the span of a few days. Its predictions come from an analysis of trading volumes of stocks but are meant to reflect the market as a whole.
- Social Studies / Finance
- Finance / Financial Responsibility
- College and Career / Personal Finance
- Life Skills / Personal Finance
- Finance / Finance Definitions
- Life Skills / Finance Definitions
- Finance / Personal Finance
- Courses / Finance Concepts
- Subjects / Finance and Economics
- Finance and Economics / Terms and Concepts
- Terms and Concepts / Accounting
- Terms and Concepts / Banking
- Terms and Concepts / Bonds
- Terms and Concepts / Company Management
- Terms and Concepts / Derivatives
- Terms and Concepts / Econ
- Terms and Concepts / Ethics/Morals
- Terms and Concepts / Marketing
- Terms and Concepts / Metrics
- Terms and Concepts / Mortgage
- Terms and Concepts / Muni Bonds
- Terms and Concepts / Stocks
- Terms and Concepts / Tax
- Terms and Concepts / Trading
Transcript
- 00:00
finance a la shmoop what is the Arms Short Term Trading Index not to be
- 00:08
confused with the short arms term trading index a run by this guy all [Man with dinosaur for a head sitting at a desk]
- 00:13
right Richard Arms invented it in the 70s and then a journalist cleverly
- 00:18
renamed it Trin.... short for trading index very clever
- 00:24
yeah well Trin as in Rin Tin is just an index for the advanced decline ratio in
Full Transcript
- 00:31
the stock market and if you haven't seen our video on it oh well you should we've
- 00:35
had George Clooney of fortune so directed the computation of the Trin [George Clooney directing a show]
- 00:39
looks like this Trin equals advanced issues divided by declining issues all
- 00:44
over advanced volume divided by declining volume....
- 00:49
So note that this equation maps volume as an element of the computation so it's
- 00:54
meaningfully more useful than just the vanilla advanced decline ratio and hey [Man discussing equation]
- 00:59
just keeping it real their advanced decline ratio we love you but you're [Advanced decline ratio laying on sofa eating doughnuts]
- 01:03
just not as good all right well so if we compute things we get a value of 1 and
- 01:08
well that's good or rather a bullish sign that the market "wants to go
- 01:13
up" above one is bearish and at premiums of 30 40 50 percent ie [Bear walking by a river]
- 01:18
calculations of 0.5 very bullish to 1.5 very bearish well those are signs that
- 01:26
have been validated by actual market performance over time well why would we
- 01:31
care about this calculation in the first place, well if we get the answer right as [Man staring at a crystal ball]
- 01:36
to where the markets going well you know we can make a fortune
- 01:39
yeah ask Warren Buffett... [Warren eating dinner]
Related Videos
What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...
What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...
GED Social Studies 1.1 Civics and Government
How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...