1. One should aim to identify the long term trend or a broader trend i.e. finding the pricewise vs  timewise corelation and only than one should be able to arrive at a logical conclusion for the shorter term trend.

2. It will be advisable to use the short term trend with a caution as the same can be manipulated but it is very difficult to manipulate a long term trend say a trend spread over 180 days.

3. Thus a corollary to above facts is that one can go long when overall trend is bullish and viceversa. Only support and resistances provide correct results even for daily trend as same is mathemtically calculated whereas all other technical indicators tend to be marred with volatility.

Subscribe To Get Free Online Stock Market Technical Analysis Tips in Email Here

Enter your Email




Preview | Powered by FeedBlitz