Day trading strategy, Stock trading rules for investing in the market
Breakout Penny investing | Day trading  Stock
Skip Navigation Links
    Home
    •   About US
    Market Activity
    World Indices
    Market Watch
    Customer Service
    Learning Center
    Economic Event
    Login


Join Now




Advertise 2 ۩  Daily market forecast

Moving Average - day trading | Stock trading system

Moving Average - day trading | Stock trading system - 
               stock investing Moving averages helps to know the direction and strength of existing market trends for trading and can help to determine when a market trend change has taken place. The most popular moving averages are the 10- and 50-day averages.

For long term Stock investing strategy 100 days and 200 days moving averages working good to know long term market trend and also it working as a good resistance | support. A price close below a moving average line is a warning of a potential trend change.


If price is above its 10- and 50-day moving averages, that many technical analysts considering as a strong buy member for investing in the Stock market.

Moving average as a curving trend line providing support during sell offs in an up trend and resistance to bounces in a downtrend and the breaking of a moving average line can carry the same meaning as the breaking of a trend line - a change in short-term trend. Some of the longest, strongest up trends and down trends are established when the 10-Day Moving Average crosses up through the 50-Day Moving Average. This is a proven Stock trading system to picks security so many trader giving more weightage on moving average for day trading and investing in the Stock market.

Day Trader need to use smaller time frame like 10 and 50 hour for day trading. Long term investor or 401k investing 3 MA and 10 MA of weekly data are the good indicator.

It's a good idea to use some another technical indicator like: Average Directional Movement Index (ADX) | On Balance Volume (OBV) | Percentage Price Oscillators (PPO) | Relative Strength Index (RSI) | Stockhastic Oscillator (STO) | Commodity Channel Index (CCI) | Chaikin Money Flow oscillator (CMF). | Rate Of Change (ROC) with Moving Average (MA) to know market in oversold or overbought condition. When we use two or three technical indicators and in case of positive divergence and negative divergence it giving real good result on investing, only you need to change time span and find out which is a better pair for you. This is a very effective and rewording strategy for Stock trading or investing in the Stock market.



Related Reading

Moving Average - day trading | Stock trading system
Moving average convergence divergence (MACD) Stock trading system
Breakout Stock investing | day trading
Peak Plays
Sell the losers and let the winners run
Gap Plays
 
 
3
  



Home for ۩ Day Trading | Breakout Stock trading system | Penny Stock Investing | Market Research

Contact Us | Affiliate | Disclaimer | Feedback | Help | Site Map | RSS  RSS

All Rights Reserved © 2000-2006 Flyingstock.com