analysis

moving-average
Charts

Moving Averages for Trading The Swings

Choosing a moving average for swing trading can be tricky. Many swing traders prefer using a higher period setting because the higher it is, the later it will be – so the lower it is, the earlier it will be, and vice versa. You can also use a lower period setting to confirm trend changes – but remember, the higher the period, the later it will be. So, you can’t depend solely on a moving average to be successful at swing trading. The best way to use a moving average for swing trading is to follow a trend. Traders can use this indicator to confirm their trades, as it smooths out price fluctuations and incorporates older data. However, the first and most important thing to remember is that past performance is no guarantee of future performance. A better way to determine a trend is to use the longer-term chart. However, if you’re a new trader, you can also use the short-term chart as a guide. In swing trading, a moving average can be a powerful tool, but it must be […]

SwingTrader
day-trading-charts
Analysis

Swing Trading for Dummies Because We All Start Somewhere Right?

If you’re new to the world of swing trading, you may be wondering, “What is swing trading?” Here’s a quick guide to what swing trading is. As its name implies, it involves trading stocks and options on a swing basis. Swing traders look at the chart of an asset to determine its entry point, set a stop-loss level, and anticipate when they want to exit. This allows them to maximize profits and minimize risks. Price action is often a daily fluctuation, bouncing around a range or not getting too close to a specific value. The swing trader might believe that the stock’s price will be fluctuating daily, but a long-term hold will probably not yield much profit. In other words, if you’re able to pick a stock that will fluctuate every day, you’ll profit. The key to swing trading is learning how to interpret charts and use technical analysis tools to make smart decisions. Technical analysis tools such as moving averages are essential for swing trading. Moving averages allow swing traders to use a moving average to smooth out price […]

SwingTrader
stock-earnings
Stocks

Trading Earnings on Stocks – The Do’s and Don’ts

If you’ve ever wondered how to make money trading earnings on stocks, you may be wondering what factors influence their prices. Earnings are often a major factor in the price movement, but the relationship between the actual results and the resulting price move is not always straightforward. For example, while Walmart’s earnings were well above analysts’ expectations, the company’s shares were not immediately affected by its news. This is because analysts focus on the firm’s future earnings rather than its current results. However, analysts’ attention to future earnings is often more influential than the resulting price movement. Before making trades during earnings release, you should analyze a company’s reports before placing your trades. You can find out the exact time the report is released by visiting the company’s website. You can also review previous reports and get the full report when it comes out. This way, you can take advantage of the earnings release to make profits. The earnings report is just as important as any other market event. Traders should remain calm and patient during earnings reports, as this […]

SwingTrader
swing-trading
Charts

So You Want To Swing Trade Stocks?

The first thing you should know about swing trading stocks is that you shouldn’t trade in the middle of the day. If you’re tempted to, you should know that you’re putting yourself at risk. Swing trading stocks are best when they’re at a high point in their uptrend and have a profit target of. You can also use candlesticks to determine trends and patterns and reduce your risk. You should also know how to follow the news in the market. The RSI (relative strength index) is a helpful indicator when swing trading stocks. This tool shows whether a particular security has reached a point of overbought or oversold. When a security crosses over the overbought zone, it is more likely to reverse into a downtrend than to rise again. Therefore, using RSI when swing trading stocks can be very effective. Traders can use this tool to find the best time to enter a position. Another helpful indicator for swing traders is the moving average. The moving average is a graph of the price of a stock over a given period […]

SwingTrader
chart
Analysis

When Stocks Suck – It’s Time to Run Your Analysis

There were quite a few bullish chart setups on individual stocks. After pulling back to the 50 day moving averages, stocks bounced hard two Fridays ago and the S&P and Nasdaq looked like they were done with a slight, normal pullback. So what did we get this past week??? You guessed it. In hindsight, I should have known the ball was going to pulled out again by this market. That is what it is best at right now – tricking and confusing all traders, bulls and bears alike. It has done it so many times now that we should all be expecting it. Trading it however is a lot easier said than done because what we see with our eyes is certainly telling us one thing, whereas the market seems to just keep throwing curveballs at us that our eyes can’t judge correctly. To be perfectly honest, this market sucks but there is nothing we can do about it except accept it and try to not let it affect our returns too much in a negative way. That’s easier said […]

SwingTrader
swingtrading
Analysis

A Dull Day on the Markets

Friday was a day much like other days this week, with the stock market moving higher and many individual stocks acting very well. Something happened around 1:30 however and changed things greatly – an approximate 65 point drop in the Nasdaq in about an hour followed by a thirty point rally back up in the final hour is not something you see everyday. Supposedly this drop had to do with the situation in Ukraine and actions taken by Russia. Whatever it was, a lot of individual stocks were hit (at least temporarily) and look a lot uglier than they did the night before. Ever since February 5, the market has been grinding along with very little rest but since it continues to hold its short-term nine day exponential moving average, it is hard to get very bearish here. Since Friday’s sell-off seemed news-driven, it is even more difficult to put a lot of importance in it. However, if Friday’s lows are broken on Monday or Tuesday, then traders should reassess their outlook and give more credence to that sell-off Friday […]

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