Short and Intermediate-Term Know Sure Thing (KST)s

The Know Sure Thing (KST) concept was originally derived for long-term trends, but the idea of four smoothed summed ROCes can just as easily be applied to short, intermediate, and even intraday trends.

It is possible to program all KST formula into MetaStock charting software. Readers may experiment with different formulas for any of the time frames and may well come up with superior results. When experimenting, strive for consistency, never perfection, for there is no such thing in technical analysis.

A short-term Know Sure Thing (KST) suitable for use with daily data. The degree of success for any of these time frames will depend on the character of the market being monitored and the nature of the trend. By its very construction, the formula assumes that markets are influenced by the usual 4-year business cycle. Whenever that time frame is unduly shortened or lengthened, the monthly Know Sure Thing (KST) suffers in its performance.