Sample TradeStation code (ver. 2000i)

SMH is a bit unique in its reliable cycle and support/resistance behavior.  This is a simple mean reversion system that has performed rather nicely over the past 16 months (about 1 Long trade / month).  The short side is less spectacular but with these metrics any risk conscious trader would do well to focus on the Long side only. Note that the anticipated excursion for Long trades is 6 days and the current Long signal is on day 4. We use the equity curve stop on this setup set for 1.5% so we may be out of the trade before day’s end. 

An interesting note from Peter Worden today (www.worden.com) for those confounded by current market dynamics:

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