Chart – Normality Q-Q
It’s called Normality Q-Q is used to evaluate whether the z-Score Spread has moved with normality during the 1500 historical bars or has had some changes.
If the Z-Score goes in the opposite direction to the “0” is used to evaluate the current value of the Z-Score and check if it is a value that the couple has already had.
If it has already had it, it is normal and therefore we wait with confidence the return to normal values.
Perfection would be that all the red rings were “threaded” into the central half-line. Impossible with stock charts!
We are satisfied that this set resembles to a snake that wraps around the white half-line and has few rings beyond the values of 2 and -2.
What I have to observe: The two curves (red and white) overlap: A homogeneous overlap is an index of reliability of the variable under consideration. The more the difference between the two curves is marked the more the trend of the variable under consideration will be unpredictable.