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Re: m_winston post# 6082

Saturday, 04/17/2004 11:28:52 PM

Saturday, April 17, 2004 11:28:52 PM

Post# of 12022
m_winston...

I've never used FA. As my interests in the markets has evolved, I've grown to only trade via TA.

This is not to say I won't ever make a bad trade(case in point, my current underwater 401k trade). However, I will say the denmo6 did not fail me. I was on vacation when the latest buy signal triggered. My late entry is what has me underwater. The trade is still open, so let's see how it ends come the next denmo6 sell signal. The denmo6 buy signal was triggered at SPX1127.

As for TA only good for short term trading, I don't agree with that. It all depends on the time frame of the charts in question. I can use a 5 minute chart for a day trade, using the CCI, MACD, ADX and RSI, or I can use the 30/60 minute charts for swinging using just the MACD neg/pos divergences.

The chart below shows the last 1 year worth of denmo6 buy and sell signals and they are done using a "daily" time frame:

http://stockcharts.com/def/servlet/SC.web?c=$SPX,uu[w,a]daclyiay[dd][p][vc60][J17828600,Y]&pr...

While I understand that some people have success trading moving average crossovers, I don't trade the crossovers. I do have ma's on my main denmo6 chart, but they're on there to show me support and resistance:

http://stockcharts.com/def/servlet/SC.web?c=$spx,uu[h,a]daclyiay[db][pc13!c20!c50!c200!d20,2][vc60][...

My NOVT was strictly because of the positive divergence between the MACD and price.

Stockcharts has a great tutorial and the MACD has 4 parts to it. A must read/study for anyone interested in trading via TA.

http://stockcharts.com/education/IndicatorAnalysis/indic_MACD1.html

I can go on and on 'cause this is my passion. I'll have to stop here.





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