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Moving Averages

SWING TUTORIAL - RALLISIn this tutorial, we analyzes the reversal of NSE:RALLIS 's 50% decline, identifying key technical indicators that signaled a buying opportunity. We'll explore how to recognize bullish momentum and optimal entry points using chart analysis. NSE:RALLIS reached its all-time high at 362 before experiencing a significant downturn. However, the stock began forming support levels near 200 in June 2022 and retested this level again in May 2023. Key Observations: 1. Support Levels: The stock consistently found support at ₹200, indicating a potential reversal. 2. MACD Indicator: The Moving Average Convergence Divergence (MACD) line showed steady upward momentum, signaling increasing bullish pressure. 3. MACD Crossover: The successful crossover in June 2023 confirmed the bullish trend, creating an entry opportunity. Trading Strategy and Results: Based on this analysis, our entry point was established at the MACD crossover. The stock subsequently rose to its swing high levels, yielding approximately 85% returns in just 57 weeks. Note: This case study demonstrates the effectiveness of combining technical indicators to identify bullish momentum. By recognizing support levels, MACD movements, and consolidation patterns, traders can pinpoint potential entry points. Would you like to explore more technical analysis concepts or case studies? Share your feedback and suggestions in the comments section below.
NSE:RALLISEducation
by thepranam
11
New strategy based on 50/200 EMASaw this strategy on Reddit and tweaked some things to what I am showing to you now with a 80-85% win rate. You wait for the 50 EMA to cross over the 200 EMA either the same day or post/pre market before. After the crossover, you wait for the pullback and when a wick hits the 50 EMA and reverses, you enter a long trade until either the trading day is over or the RSI shows overbought. Anybody have any changes that would make it better or that I’m missing? I’ve noticed it works best on 15m.
NASDAQ:AAPLEducation
by bengoesballistic
50 SMA Rising- Positional TradeDisclaimer: I am not a Sebi registered adviser. This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser. Its 50 SMA Rising Strategy. Suitable for Positional Trading Initial Stop loss lowest of last 2 candles and keep trailing with 50 days SMA if price close below 50 SMA then Exit or be in the trade some time trade can go for several months. Be Discipline because discipline is the Key to Success in the STOCK Market. Trade What you see not what you Think
NSE:RAMCOCEM
by AnsariTV
50 SMA Rising- Positional TradeDisclaimer: I am not a Sebi registered adviser. This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser. Its 50 SMA Rising Strategy. Suitable for Positional Trading Initial Stop loss lowest of last 2 candles and keep trailing with 50 days SMA if price close below 50 SMA then Exit or be in the trade some time trade can go for several months. Be Discipline because discipline is the Key to Success in the STOCK Market. Trade What you see not what you Think
NSE:MOTHERSON
by AnsariTV
50 SMA Rising- Positional TradeDisclaimer: I am not a Sebi registered adviser. This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser. Its 50 SMA Rising Strategy. Suitable for Positional Trading Initial Stop loss lowest of last 2 candles and keep trailing with 50 days SMA if price close below 50 SMA then Exit or be in the trade some time trade can go for several months. Be Discipline because discipline is the Key to Success in the STOCK Market. Trade What you see not what you Think
NSE:JSWSTEEL
by AnsariTV
50 SMA Rising- Positional TradeDisclaimer: I am not a Sebi registered adviser. This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser. Its 50 SMA Rising Strategy. Suitable for Positional Trading Initial Stop loss lowest of last 2 candles and keep trailing with 50 days SMA if price close below 50 SMA then Exit or be in the trade some time trade can go for several months. Be Discipline because discipline is the Key to Success in the STOCK Market. Trade What you see not what you Think
NSE:CHALET
by AnsariTV
50 SMA Rising- Positional TradeDisclaimer: I am not a Sebi registered adviser. This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser. Its 50 SMA Rising Strategy. Suitable for Positional Trading Initial Stop loss lowest of last 2 candles and keep trailing with 50 days SMA if price close below 50 SMA then Exit or be in the trade some time trade can go for several months. Be Discipline because discipline is the Key to Success in the STOCK Market. Trade What you see not what you Think
NSE:ASTERDM
by AnsariTV
Steel Dynamics: Trendline BrokenSteel Dynamics slid in recent quarters, but now it may be going the other way. The first pattern on today’s chart is the series of lower highs between April and September. The steelmaker began October by pushing above that falling trendline, which may suggest its intermediate-term decline has ceased. The rebound also returned STLD back above its 200-day simple moving average. That may be consistent with a longer-term uptrend. The shares next proceeded to consolidate between roughly $126 and $131. Strong earnings pushed them above that range on Thursday. Will potential buyers look for retests near the top of the recent price zone? Finally, MACD has remained positive and started expanding again. TradeStation has, for decades, advanced the trading industry, providing access to stocks, options and futures. If you're born to trade, we could be for you. See our Overview for more. Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at www.TradeStation.com . Before trading any asset class, customers must read the relevant risk disclosure statements on www.TradeStation.com . System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors. Securities and futures trading is offered to self-directed customers by TradeStation Securities, Inc., a broker-dealer registered with the Securities and Exchange Commission and a futures commission merchant licensed with the Commodity Futures Trading Commission). TradeStation Securities is a member of the Financial Industry Regulatory Authority, the National Futures Association, and a number of exchanges. TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit www.TradeStation.com for further important information explaining what this means.
NASDAQ:STLD
by TradeStation
New long term position LRCXAfter careful consideration I have added a new stock to my long-term fidelity account. I am very picky about what I allow into this account. I have started a position in Lam research on this basing of the 100 EMA. I note a rising stochastic RSI on the weekly and a pickup of volume. Given that this market is cyclical, I believe this entrance point is poised for strong gains over the coming few years. Looking back at revenue cycles the stock usually has a moderate red year followed by multiple years of huge growth. Similar to my other energy plays, I believe this is a next level play on the fact that the market overhypes GPU makers. Lam is a play on memory chips, they also have a strong service segment. Memory will need to expand exponentially in order for energy and Ai to expand, this is my thesis. I have been waiting to add semiconductor exposure to my investment portfolio but I have been wanting to avoid egregiously overpriced hot stocks like NVDA etc. I believe this correction is an opportunity for me to expand my portfolio a bit.
NASDAQ:LRCXLong
by Apollo_21mil
2
XPT Surges as EMAs Align with Bullish Chart PatternH ello! XPT broke out from a falling wedge (See green trendlines!) formation with strong bull power, as the MACD shows. It wasn't against expectations since falling wedge chart patterns usually break upward. It's often a bullish formation. Thus, MACD and chart patterns align with a bullish outlook. Furthermore, the price is above EMAs (20/50/100/200). EMAs crossed upward on the 24th of September. Seemingly, nothing stands in the path of bulls until the green target circles. However, stay vigilant and don't go all in. Regards, Ely
CAPITALCOM:PLATINUMLong
by Elysian_Mind
Mastering Moving AveragesMastering Moving Averages: A Statistical Approach to Enhancing Your Trading Strategy Moving averages (MAs) are one of the most popular tools used by traders and investors to smooth out price data and identify trends in the financial markets. While they may seem simple on the surface, moving averages are rooted in statistical analysis and offer powerful insights into price behavior over time. In this article, we will break down the concept of moving averages from a statistical viewpoint, explore different types of MAs and their benefits, and discuss how they can be effectively used in trading and market analysis. ⯁What is a Moving Average from a Statistical Standpoint? A moving average is a statistical calculation that smooths out data points by creating a series of averages over a specific period. In trading, it is applied to price data, where it helps remove short-term fluctuations and highlight longer-term trends. The core idea behind a moving average is to capture the central tendency of a price over time, providing a clearer picture of the market’s overall direction. By averaging the price over a period, it helps traders see the general trend without being distracted by the noise of daily market volatility. Mathematically, a simple moving average (SMA) can be expressed as: SMA = (P1 + P2 + ... + Pn) / n Where: P1, P2, ..., Pn represent the price points for each period. n represents the number of periods over which the average is taken. The moving average "moves" because as new prices are added to the calculation, older prices drop off, creating a rolling average that continually updates. Types of Moving Averages and How They Are Calculated Different types of moving averages use varying methods to calculate the average, each offering a unique perspective on price trends. Simple Moving Average (SMA) : The SMA is the most basic type of moving average and is calculated by taking the arithmetic mean of the prices over a specified period. Every data point within the period carries equal weight. SMA = (P1 + P2 + ... + Pn) / n For example, a 5-day SMA of a stock’s closing prices would be the sum of the last five closing prices divided by 5. Exponential Moving Average (EMA) : The EMA gives more weight to recent price data, making it more responsive to price changes. The EMA calculation involves a smoothing factor (also called the multiplier) that increases the weight of the most recent prices. The formula for the multiplier is: //Where n is the number of periods. The EMA calculation follows: Multiplier = 2 / (n + 1) EMA = (Closing price - Previous EMA) × Multiplier + Previous EMA For example, for a 10-period EMA, the multiplier would be 2 / (10 + 1) = 0.1818. This value is then applied to smooth the recent prices more aggressively. Weighted Moving Average (WMA) : The WMA assigns different weights to each data point in the series, with more recent data given greater weight. The formula for WMA is: WMA = (P1 × 1 + P2 × 2 + ... + Pn × n) / (1 + 2 + ... + n) Where n is the number of periods. Each price is multiplied by its period's number (most recent data gets the highest weight), and then the total is divided by the sum of the weights. For example, a 3-period WMA would assign a weight of 3 to the most recent price, 2 to the price before that, and 1 to the earliest price in the period. Smoothed Moving Average (SMMA) : The SMMA is similar to the EMA but smooths the price data more gradually, making it less sensitive to short-term fluctuations. The SMMA is calculated using this formula: SMMA = (Previous SMMA × (n - 1) + Current Price) / n Where n is the number of periods. The first period's SMMA is an SMA, and subsequent SMMAs apply the formula to smooth the prices more gradually than the EMA. ⯁Comparing Benefits of Different MAs SMA : Best for identifying long-term trends due to its stability but can be slow to react. EMA : More sensitive to recent price action, making it valuable for shorter-term traders looking for quicker signals. WMA : Offers a middle ground between the EMA’s sensitivity and the SMA’s stability, good for balanced strategies. SMMA : Ideal for longer-term traders who prefer a smoother, less reactive average to reduce noise in the trend. ⯁How to Use Moving Averages in Trading Moving averages can be used in several ways to enhance trading strategies and provide valuable insights into market trends. Here are some of the most common ways they are utilized: 1. Identifying Trend Direction One of the primary uses of moving averages is to identify the direction of the trend. If the price is consistently above a moving average, the market is generally considered to be in an uptrend. Conversely, if the price is below the moving average, it signals a downtrend. By applying different moving averages (e.g., 50-day and 200-day), traders can distinguish between short-term and long-term trends. 2. Crossovers Moving average crossovers are a popular method for generating trading signals. A "bullish crossover" occurs when a shorter-term moving average (e.g., 50-day) crosses above a longer-term moving average (e.g., 200-day), signaling that the trend is turning upward. A "bearish crossover" happens when the shorter-term average crosses below the longer-term average, indicating a downtrend. 3. Dynamic Support and Resistance Levels Moving averages can also act as dynamic support or resistance levels. In an uptrend, the price may pull back to a moving average and then bounce off it, continuing the upward trend. In this case, the moving average acts as support. Similarly, in a downtrend, a moving average can act as resistance. 4. Filtering Market Noise Moving averages are also used to filter out short-term price fluctuations or "noise" in the market. By averaging out price movements over a set period, they help traders focus on the more important trend and avoid reacting to insignificant price changes. 5. Combining with Other Indicators Moving averages are often combined with other indicators, such as the Relative Strength Index (RSI) or MACD, to provide additional confirmation for trades. For example, close above of two moving averages, combined with an RSI above 50, can be a stronger signal to buy than either indicator used on its own. ⯁Using Moving Averages for Market Analysis Moving averages are not just for individual trades; they can also provide valuable insight into broader market trends. Traders and investors use moving averages to gauge the overall market sentiment. For example, if a major index like the S&P 500 is trading above its 200-day moving average, it is often considered a sign of a strong market. On the contrary, if the index breaks below its 200-day moving average, it can signal potential weakness ahead. This is why long-term investors pay close attention to moving averages as part of their overall market analysis. ⯁Conclusion Moving averages are simple yet powerful tools that can provide invaluable insights for traders and investors alike. Whether you are identifying trends, using crossovers for trade signals, or analyzing market sentiment, mastering the different types of moving averages and understanding how they work can significantly enhance your trading strategy. By integrating moving averages into your analysis, you’ll gain a clearer understanding of the market’s direction and have the tools necessary to make more informed trading decisions.
Education
by ChartPrime
3
Two weeks of bullish momentum ahead?I entered a long position in the NASDAQ:QQQ ETF a few days ago after the price pulled back to the previous high. It was a slightly premature entry, as the price continued to pull back to the 50% retracement level of the last bullish move. 😉 The overall chart looks a bit exhausted from the bullish run following the August low, but I still expect the NASDAQ to rise until the US election. Statistically, since the 1950s, there has been over an 80% chance that the stock index rises before the election. Additionally, we're supported by the SMAs, and there’s still some room left until the ATH is reached. Good trades, folks!
NASDAQ:QQQLong
by p4917
2nd try in QCOMI’ve entered a second LONG position in NASDAQ:QCOM after the first one was stopped out. See the chart for details. The price retraced back to the entry level yesterday, but now it seems like the bullish move could begin. After breaking through the resistance area (marked by the red rectangle), I expect bullish momentum to increase. By then, the SMAs should be perfectly aligned. I plan to hold this position for about two weeks, as the upcoming US election could cause market spikes in either direction. Good trade!
NASDAQ:QCOMLong
by p4917
#1 Forexpair EURAUD is Down Trending Am about to soak the rice for about 10mins before I boil it for another 7 mins.. This is what the instructions say on how to cook rice on the rice packet Will this work?🤔 I don't know. Is this the exact instructions? No it's not. The method of how to cook the rice is based on my tolerance level Meaning how much time am I willing to wait for it to cook plus the amount of gas that is needed to cook it. Risk Management in trading is very similar to cooking rice on a gas stove You need to calculate the best strategy to save on gas or firewood or charcoal to cook your rice In this chart FX_IDC:EURAUD The following 3 Steps have happened: 👉the price is below the 50 EMA 👉the price is below the 200 EMA 👉the price has gapped down on a down trend These 3 Steps confirm a down trend market price. 🚀 Rocket boost this Content to learn more ⚠️Discliamer: Trading is risky please learn risk management and profit taking strategies because you will lose money wether you like it or not.
Short
by lubosi
ZYDUSWELL NSE RBC&H 2Y6M BO DTF/WTF SWING/POSITIONALZYDUS WELLNESS STOCK Analysis TRADE PLAN (DTF Close Price for SWING /POSITIONAL) ENTRY -2025 25 to 50% Qty, Add 50% qty 2320 DTF Close SL -1890 TARGET -SWING 2476, 01-3130 , TGT02--3600 Hold For a 1-2 Year or TGT 2 Chart Pattern : STOCK Completed a RBC of 2Y 6M touching the previous ATH, with 4.5Month Streak to Touch an ATH of 2484, after retracing its showing signs of Recovery from the or 3months it a, Retracing in Equal time to 50% FIBO Level forming a Bullish Flag Pattern. INDICATORS EMA : The Price is Currently Trading above 200EMA, and 20EMa below 50EMA in DTF. STOCK EMAs are currently in Transitional stage of alignment, indicating early start of a bullish reversal Trend on DTF/WTF. FIBO/E : Currently the price has leveled above 50% FIBO Retracement Level, Early Entry can be take as per your risk ability. Safe Investors Enter above 2085. Volumes: There is a uptrend in Volume on the Weekly Charts for1 Weeks after the 11 weeks Pullback. Keep in your Priority Watch List Disclaimer: For Education/Reference Purpose Only, Trade at your Own Risk with correct position sizing and SL based on your Risk appetite (Exit when price closes 7to8% below your Entry).and re enter when trend reverses in the direction of your POV... Trail Your SL progressively. Learn/Know and Review the Stock trading Technical Terminology. Check Verify the Financial fundamentals of the Stock and Seek Advice from a Certified Financial Advisor prior to Investing. Prefer Entry with 25% quantity, Add in Tranches of 25%-50% as prices moves upwards recommended. MTFA- Multiple Time Frame Analysis DTF -Daily Time Frame WTF-Weekly Time Frame MTF- Monthly Time Frame ATH-All Time High LTH -LifeTime High RBC&H-Rounding Bottom Cup/Handle BO- Breakout Close EMA -Exponential Moving Average FIBO R/E -Trend based Fibonacci Retracement/Extension SL Stop Loss TBD- To be Decided CHoCH- Change of Character Bullish/Bearish MSB/BOS -Break Out Structure FVG Fair Value Gap 20VMA -20Volume Moving Average SWING/POSITIONAL Trade
NSE:ZYDUSWELLLong
by billpramod
NFTX Stock:Using The 3 Step Rocket Booster StrategyAm from taking a warm bath, because I need it in order to release the stress from watching the stock market - Also yesterday I was dealing with some teenagers who just didn't seem to listen to discipline. - Very hard to be stress-free and disciplined in this market but that's why we follow systems. - Trading systems put the child in us in a discipline, mode to stay put and wait - for the market to react You need to learn how to hold your position especially in this stock NASDAQ:NFLX - So for this chart I have decided to show you a trend analysis tool - I call the rocket booster strategy which enables you to tell wether a stock price is in an uptrend or not. - If its not in an uptrend then you are buying against the crowd. - Thats how powerful this message is. So what is the rocket booster strategy? - It has the following 3 steps: - Step#1:The price has to be above the 50 EMA Step#2:The price has to be above the 200 EMA Step#3:The 50 EMA should cross above the 200 EMA - When these 3 things happen it means the price is in an uptrend. - If you want to continue guessing and not know the price direction then don't follow this strategy. - But if you want to learn more about trend analysis rocket boost this content. - Disclaimer:Trading is risky because you will lose money wether you like it or not...am sorry.Please learn risk management and profit taking strategies.
NASDAQ:NFLXLong
by lubosi