QUOTE(hanren @ Apr 14 2011, 07:49 PM)
Dear all,
Any sifus here can advise on how to avoid buying when the trend is too high and selling when the trend is too low? Got bitten because of this.
Any indicator can help to avoid this? Please advise.
Thanks,
Han Ren
There are no indicators that are guaranteed to work all the time, or even the majority of the time. Having said that, there are a number which gives you "indications" that are less obvious from price movements alone.Any sifus here can advise on how to avoid buying when the trend is too high and selling when the trend is too low? Got bitten because of this.
Any indicator can help to avoid this? Please advise.
Thanks,
Han Ren
The ADX gives an indication of strength of trend. If it goes up too quickly and too much, at some point it must drop. Maybe.
The Stochastic gives an indication of cycle. Similarly for Williams'. If it is near the top, it probably will fall. Maybe.
The Bollinger Band gives an indication of statistical probabilities. If it is outside the band, it will probably fall back inside the band. Maybe.
Lots of maybes in TA. Just a matter of more likely or less likely.
Then there's FA. You need to keep up to date with all the news that's going to impact the pair you are trading. But there are no guarantees, just maybes. But it is a good reason why you should only focus on a pair or two, and be familiar with it's idiosyncrasies.
What they do in a country far far away that you don't know much about may have a significant impact on the bottom line of a trader. Maybe.
That's how it works. Maybes.
Apr 14 2011, 10:00 PM

Quote
0.0457sec
0.59
7 queries
GZIP Disabled