__NEMAC__
__Net Effective__ __Market__ __Activity Components__™** ****
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Cautions
Acronyms Equations Using NEMAC
for:

__ Home:__ The
publication of NEMA in 2011 was made possible by a discovery by
Donald Iglehart, from Stanford. He developed a formula that gave the
number of closed contracts (longs and shorts that covered), given the
day's volume and the change in open interest. NEMA gives
numbers for the four types of position changes that occurred during the
day.

Trading during the day results in
c*hanges in the positions held* by
traders. There are four such changes: new longs (NL), longs that
covered (LC), new shorts (NS), and shorts that covered (SC).
The number of contracts for each, when totaled, equals the day's volume.

One of the ways the above data can be utilized is to calculate the daily trend. This increases the probability of knowing the future price. This algorithmic trend is shown on each chart as a red line.

Two popular futures contracts are shown. The
two
contracts are the** **S&P500, and GOLD ftures.

For corrections or questions, email "info@NEMAsystem.com."

Just as the Black and Scholes pricing model is the benchmark for pricing options, the use of daily market position changes (NEMAC) will become the new benchmark for technical analysis.