Technical Indicator Discussion of the RSI, FullSto
Post# of 2559
There are quite a few members of this board who have become trading and investor friends of mine. I've even had the pleasure of meeting a few of you over the last three years. For the most part, we invest and accumulate in a few OTC and small cap listed companies while swing trading stocks on both the big boards and OTC.
I tend to incorporate a lot of fundamentals with my investments but also lean heavily on technical indicators to better follow momentum shifts for our swing trades, especially in OTC plays. As strong as fundamental news can be, should a stock price begin falling in the face of such news, there's typically a reason for it. Unfortunately, in most cases, those reasons are not understood or seen for days, weeks or even months. They could anything including unknown dilution, a slowing of growth, contracts that have been cancelled, legal issues, or even outright lies by management teams. Yes, imagine that, management actually lying to their shareholders. As everyone knows, information always leaks, sometimes good, sometimes bad. Another reason can simply be due to more sellers than buyers. Either way, when an stock investor uses charting and technicals along with fundamental analysis, the odds of increasing one's gains begins to heavily fall into the investor's favor. Using charts and technicals absolutely assists an investor in limiting their losses.
Initially, I was going to share a number of charts showing Big Boards and OTC stocks. I'll only be posting charts on the S&P, Gold, and a couple of stocks on the OTC that we have been swing trading. There's little use to post a large number of stocks. If you have been following along for a while, you have a good understanding of a few of the indicators that are shared here. If you are new to the board and just beginning to read along, you understand quickly. Should anyone wish to further learn and truly understand technicals, I have a link in the 'Show Board Information' to a free chart school which is very detailed. If one were to read, study and learn what's within that chart school, you would know more about charts and technicals than probably 99.5% of all stock market investors. Learn to spot those momentum shifts, understand and calcite your entries and exits, and you will find yourself on the right side of a trade more often than not. Charts and technicals are not guarantees but rather great tools. GLTA
Here's the link:
http://stockcharts.com/school/doku.php?id=chart_school