October 8, 2016
We have use IBM as an example to illustrate MACD signal. The following is just another way to analyse the stock. See chart for more.
International Business Machines Corporation, IBM Charting
October 7, 2016 IBM Weekly Chart
Look Left and Think Right
All trader read chart differently, however, most of the trader read from left to right. Look left and plan right.
After MACD Signal
MACD signal provide you a hint that stock might move. In additions, the signal also provides you with the direction of where will the price move. With the MACD signal, we open the chart and study the price action more closely. Look left and think right.
Professional Trade Retracement
Last posting, using IBM as example on MACD signal, “MACD Cross-Down ZeroLine“, bearish. We should look for opportunity to sell high. There are many ways to sell. I have trader friend will jump the moment he got the clue. This is a JUMP strategy. Others will trade breakout, the moment the price breakout at certain level, the trade will trigger the trade. The professionals, I am told will wait for the price to retrace and test the breakout level. This can be consider to sell high. Because the price has breakout and move south, but the trader believe the price will pull back to test the level. This will probably the lower risk way to trade.
Have fun!
Moses US Stock Analysis
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