Market Timing The stock market operates just like any other business you can think of. It opens its doors everyday & takes the odd holiday too. However market timing is very important when deciding to make a trade, it could mean the difference of making a fortune or losing your shirt. Below we’ve listed the [...]
Archive for the ‘Charts’ Category
Posted in 
Tags: 
Relative Strength Explained
December 14th, 2010 
Stock Trader Relative Strength When we use RSI, we use it to compare upward movement in closing price to downward movements over a certain period of time. The original RSI charting technique used a 14 day period, but 7 & 9 days are more commonly used today to trade a short cycle & 21 to 25 for [...]
Moving Average
December 14th, 2010 Stock Trader Moving Average Definition Moving averages give us a different view of the trend of the market by smoothing out the price data. It’s usually calculated by using the closing prices. Using short length moving averages can give many false alarms so its imperative that we use these in conjunction with other indicators like Bollinger Bands. [...]
Moving Average Convergence Divergence – MACD Explained
December 14th, 2010 Stock Trader Moving Average Convergence Divergence The Moving Average Convergence Divergence (MACD) first came to light during the sixties. It works by using the difference between two exponential moving averages in different periods, this is known as an Oscillator. A signal is when the Moving Average Convergence Divergence crosses the signal line which is calculated as a [...]
Bollinger Bands Made Easy
December 14th, 2010 Stock Trader Bollinger Bands Explained Bollinger Bands are generally plotted as two standard points away from a simple moving average (SMA). Bollinger Bands can adjust themselves to current market conditions as standard deviation is measured by volatility. Bollinger Bands contract during less volatile periods & widen during volatile periods. Most of the time you’ll see Bollinger Bands [...]
