Tuesday, February 17, 2009

Key to using indicators......

Stocks have their own personality. When you find an indicator, you simply can't just use it for every stock....as you will see. Some it just won't work for. You have to tweak it using historical data (previous chart data) until you find something that works over 60% of the time. It may require a simple tweak from your typical indicator settings to find the personality of the stock. But just remember....some stocks like to trend, some like to chop, some like to run lows and highs, and some like support and resistance (some don't.) The key is to know what you're trading and the personality it has.

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