Founder and editor of Technical Analysis of Stocks & Commodities
Jack K. Hutson
Jack K. Hutson, a Boeing engineer who had traded since the late 1960s, founded the Seattle-based magazine Technical Analysis of Stocks & Commodities, whose first issue appeared in October 1982. He introduced TRIX in the magazine's first volume in 1983, crediting the idea to an anonymous full-time trader friend who called it the derivative of triple exponential smoothing.
What they argue
- Triple exponential smoothing filters out random market noise while still giving a timely signal.
- The smoothing length should be matched to the market's own cycle, which can be found with Fourier analysis.
Sources
Summaries are Be The Puck's paraphrase of public material. Be The Puck has no affiliation with the people listed.
Hutson TRIX (15) signal-line crossover
Rule and full recordMomentum · daily
TRIX is the daily percent change of a 15-day average smoothed three times over, which filters out most day-to-day noise. Hold while it is above its 9-day signal line.
Best risk-adjusted results against buy and hold: