Quick 2 BaggersSS

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Q2B QUIZ


1. Define an "oscillator".

2. What does "overbought" mean? What does "oversold" mean?

3. What does "RSI" stand for? What does it measure?

4. Say you're swing trading a stock and have been holding the
position for five days. The stock price makes a new high but
its RSI, which is in the overbought position, hooks down. What
action will you consider taking?

5. When you're viewing the Stochastics Oscillator on a
chart,readings ______ ___ are considered overbought, and
readings ______ ___ are considered oversold.

6. You're using Stochastics as a decision support tool for entry
into a long position. At the moment, both lines are below 20
and are hooked to the upside. The faster %K line just crossed
above the slower %D line. What does that tell you?

7. Define the MACD.

8. How does the MACD-H (histogram) give BUY & SELL signals?

Tune in tomorrow @ Q2B for the answers