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Alias Born 01/08/2003

Re: None

Wednesday, 01/19/2011 2:22:02 AM

Wednesday, January 19, 2011 2:22:02 AM

Post# of 115
$SPX started moving higher around early March 2009. Here's a weekly chart of price action during the preceding 2.5 years.

http://stockcharts.com/h-sc/ui?s=$SPX&p=W&st=2006-07-01&en=2009-03-31&id=p22618706981&a=220756428

My impression is that the indicators most useful to me are the 20 SMA and Stochastic. Other indicators don't add much if anything on a chart this size, but may, in some cases, offer additional useful information on alternative size time frame, etc. charts.

The most important indicators are price action itself in combination with the 20 SMA.

One can begin by asking:

What is the slope of the 20 SMA? Up, Flat, or Down.

Then, for example, use the Sto (turning up) to enter long trades at times of strength (20 SMA slope is Up) and the opposite, or short trades, during times of weakness, when the 20 SMA slope is Down. And so on. . .

Lisa


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