For instructions on using The Pair Matcher, please click on the following videos.
Pair Matcher Instruction File
Input Symbols: Input your sector or pair list here. I have tested up to 90,000 pairs. It took my computer over 35 minutes to download and scan those. I tested it on 20,000 pairs after it had downloaded all of the data, it only took 1 min 30 seconds to run a scan. I have also tested up to 214842 stock pairs without any problems.
Please make sure your lists are formatted like these examples.
Generate Symbols Pairs: This feature allows you to download all symbols that meet 2 filter criteria. You can then use it to make pairs from industries and sectors by selecting them. You first choose your filter for Volume and Price, then click on Download Symbols From Web. Then make your selection in the Create Pairs by Grouping Across. If you choose industry only, it will only match up stocks within industries. If you choose sector, it will pair up stocks across industries and sectors. Make sure you check which industries you would like to create pairs from. You then click the Create Pairs from Selected Symbols and it will populate the pairs and give you the amount. After that, click Copy Pairs to Main” to import the symbols into the Input Symbols field.
Run Scan: This setting defaults to 6 months from today’s date. You can adjust it to any amount of time back. If you haven’t downloaded the data or your data is not up to date it will automatically be downloaded when you click the run scan button. When you click Run Scan it will scan back to the “starting from” date and output your results into the Scan Results window.
Filters: This is now in the Tools menu
Color: When turned on, your results will show up as red or green, green if they meet the criteria, red if they don’t.
Filter: When turned on, your results window with block out the results that don’t meet your selected value.
Co-integration: This value uses standard deviation calculated on the spread. The spread calculation is started from the look back period you provide in the “Starting From” value when you run your scan. It then will look for pull backs from both peaks and troughs. When the pullback meets the value of the standard deviation (depends on the multiplier you enter) it will then add that as a 1. It then takes the sum of all of those pullbacks that meet the criteria and displays that as your Co-integration value.
Correlation: We use the Pearson Correlation Coefficient calculation. This shows a value between -1 and 1 with 1 being highly correlated. Stock pair correlation is a powerful tool that will help you find highly useful pairs.
Crosses “Crossing Count”: This calculation starts from the date in the “Starting From” window. It normalizes the stocks based on percentage value and then proceeds to count every time the two stocks cross each other. That is then summed up and displayed at Crossing Count in the results window.
Variable Crossing Count: Looks back the amount of days you specify in “Tools” and “Formula Settings” “Lookback period”, normalizes the data, it then counts how many times the pair crosses in that time period. It then moves back one day, counts the amount of times it crosses in the lookback period and adds that to the total. It keeps moving back one day at a time and adding each count in the lookback period to your total. The result shows the cumulative count of all crosses it finds.
%Maximum Spread: Looks at the spread starting from your “Starting From” date and displays the highest spread from that time to now.
%Maximum Move: Looks for the maximum move of either stock, starting from the “Starting From” date.
1 Year Max Spread: Displays the maximum spread for 1 year of data.
6 Months Max Spread: Displays the maximum spread for 6 months of data.
3 Months Max Spread: Displays the maximum spread for 3 months of data.
1 Month Max Spread: Displays the maximum spread for 1 month of data.
Maximum Final Pair Ratio (Final Price Ratio): This will highlight pairs who’s ratio exceeds the number you enter. This only looks at the last day of data. Example: if XYZ is 50 and ABC is 10 this is a 5/1 ratio.
Main Chart: This displays the first 16 stocks, with this window you can see at a glance an estimate of how well this sector matches up. It will also display the pair you pull up from the Scan Results window. This window only shows back to the “starting from” date. It also displays the standard deviation.
Scan Results: You can sort by any column in this window by clicking on the title of the column. If you double click on the pair it will bring up a new window containing 4 charts. You are also able to add a pair to you saved list from this window by right clicking on the pair and choosing “save pair”
4 Charts Window: This shows your pair based on 4 look back periods. 1 year, 6 months 3 months and 1 month. All of the values shown at the bottom of each chart are calculated on that time period. It allows you to see at a glance if the pair matches up or has spread or is spreading in a way that would cause you to get stopped out. You also have the ability to zoom in on any of the 4 charts. You are able to add and delete symbols from your Selected Pairs list from this window. You will need to use the “Insert” or “Delete” keys in this window to add or remove the pair from your list. To display the changes to your Selected Pairs window you need to click the “Reload Pairs” button.
Selected Pairs: This is the window where new pairs are added. To add a pair to this window right click on the pair symbols in the Scan Results and choose “save pair”. You can also use the “a” (add pair) “d” (delete pair) “space” display new pair in 4 charts window. These hot keys need to be utilized from the Scan Results window, while highlighting the pair you wish to see. The “Copy To Input” button copies your list to the “Input Symbols” list. The “Save Pairs” button saves your pairs, or changes to your list. The “Reload Pairs” button refreshes the window; this is needed if you have added any pairs from the 4 charts window.
Scan Results: In this window you can sort by any column just by clicking on the column header. You are also able to move columns by dragging and dropping them were you like. To add or delete symbols from your Selected Pairs list just use the “a” or “d” key. Use “space” to load the pair into the 4 charts window. The up and down arrow keys are used to scroll through your symbols. You are also able to open the Scan Results in their own window by going to View and Scan Results in Child Window.
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