When to use the SP-500 for Trading and when to use it only for technical analysis!
Technical analysis and chart pattern formation is the core of our business and what we do best at Stock Market Strategy.
If you have been following from the start we hope these daily market updates are beneficial to you and you have started to use some of our analysis’s in your own trading style.
Most people when starting to trade the stock market think they are going to hit the jackpot on every trade they make but the reality is, this is not the case and it’s all about having an edge in your trading strategy. Just because the internet has allowed us to have more sophisticated software’s which allow us to trade lower time frames with more indicators than you can get in a computer screen, does not mean that you can trade like a maniac! This will only make your broker rich!
Todays Technical Analysis Video
Philip takes a closer look at how trend following strategies need to be identified on the chart. He runs through how he terms a confirmed trending stock and how it can be traded once identified.
Gold and silver have featured a few times in the last few videos and Philip runs though the chart pattern analysis to point out the trend strategy and what to look for, for example respecting MA’s (Moving Averages) stair step pattern and observing the Relative Strength against the overall markets.
RKT – Rock Tenn Co – Trending
HOG – Harley Davidson Inc – Trending
If you have any questions relating to this Market Update or wish for us to talk about a trading subject that you’re interested in, please don’t hesitate to contact us.