All About 200 DMA. How to use it to take Mid/Long term trade.
1)What is 200DMA?
It is simple technical analysis tool that is an average of daily close price of last 200days/candles. It is used to smooth out the price and it will remove the intraday fluctuation noise.
200DMA == 200 Daily Moving Average
2)200DMA is the one of the main...
Look for Low risk, High reward, and High Probability setups. – Richard Weissman
Many traders get destroyed by fighting the trend, insisting that the market is due to reverse itself or they try to chase the market. They may try to catch short-term countermoves in hopes of making a few quick points, or they may always look to catch tops and bottoms in...
This is the monthly chart. Recently Biocon broke the support levels of 360-365 and this resulted in a major 10% fall upto 330 levels.
For long term investors, the question that arises here is - Where is the next buying zone? From which price levels the stock will show a bounce back?
Here we will learn the use of EMA or Exponential Moving Average. Every stock...
Two important sma 44 and 200
Things you need to keep in mind:-
1.select stocks where the 44 and 200 ma is rising
2.note the crossover (golden crossover)
3.when it takes the nearest support from the 44 ma after the crossover buy abv that.
SEE IN THEE CHARTS WE CAN EASILY BUY AT 44 MA SUPPORT AFTER THE CROSSOVER AFTER THAT SEE THE UPTREND OF THE STOCK
The 200-day simple moving average (SMA) is considered a key indicator by traders and market analysts for determining overall long-term market trends. The indicator appears as a line on a chart and meanders higher and lower along with the longer-term price moves in the stock, commodity, or whatever instrument that is being charted. The 200-day SMA seems, at times,...
Moving Average (MA) is a widely used technical indicator that smooth's out price trends by filtering out the “noise” from random short-term price fluctuations. The most common applications of moving averages are to identify trend direction and to determine support and resistance levels.
When asset prices cross over their moving averages, it may generate a trading...
Moving average is the most common indicator in technical analysis also be the most important indicator, as it serves as the foundation of countless others.
1) What is a moving average?
Moving average (MA) is a simple technical analysis tool that smooths out price data by creating a constantly updated average price. The average is taken over a specific period of...
LICH has given a breakout of trendline and also 10-day exponential moving average crossing upward of 20-day exponential moving average if the stock trade above 424.70 and sustain then buy for the level of 463 (target)
EMA full form is *Exponential moving average*. you can google this for detailed explaination and formula.
I use 30 week EMA for my stoploss that means, the length chosen is last 30 week on weekly timeframe.
if you are using daily timeframe you can use 150 Day EMA (as 5 working days for week * 3o weeks).
NOTE- The length choosen is not an fix and not compulsory...
200 DMA is a great simple strategy which provides good RR trades such as this one.
The idea here is simple. Markets tend to be range bound 80% of the time, which is called the contraction phase. The other 20% of the time the market is breaking out, called the expansion phase.
To win the game, it is important to understand the probabilities and play the...
Moving averages work quite well in strong trending conditions but poorly in choppy or ranging conditions.
use this indicator along with Price action theory and not alone.
Moving average crossovers are a popular strategy for both entries and exits.
MAs can also highlight areas of potential support or resistance