Trading Indicators » Swing Trading Indicators

When charting a Security as a Swing Trader what are the best time periods to use on your charts?

admin — Tue, 04 Jan 2011 09:44:24 +0000

I am learning to swing trade and I would like to know what the general opinion is on what time frame iI should set my charts to so That I can optimize my ability to read my indicators.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about swing trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

This question was about swing trading indicators and there have been some pretty good answers that should help in your trading, and especially in relation to swing trading indicators, the answer has been posted in the categories listed below:

I need help on my econ study guide?

admin — Mon, 20 Dec 2010 00:09:02 +0000

1) If a deficit is financed by issuing new money, the:
A) government is using its accumulated surplus to issue the new money B) government will be competing with private borrowers for the funds c) increased demand for funds will drive up the interest rate D) crowding out of investment can probably be avoided

2)Which policy to use a government budget surplus to reduce inflation might at the same time offset the contractionary effect?
A) cutting tax rates B) impounding the funds C) using the funds to retire outstanding government debt D) increasing government spending on social programs

3)One advantage of automatic fiscal policy over discretionary fiscal policy is that automatic fiscal policy:
A) makes the actual budget a better reflection of the condition of the economy that the full-employment budget. B) does not produce a cyclical deficit as discretionary policy does. C) is not subject to the timing problems of discretionary policy D) has a greater multiplier effect than discretionary policy.

4) proponents of the notion of a "political business cycle" suggest that:
A) the full employment budget is a better indicator of the state of the economy than the actual budget. B) cyclical swings in the economy are produced by the inherent instability found in capitalist economics. C) a possible cause of economic fluctuations is due to the use of fiscal policy for political purposes. D) there is a trade off among goals that tends to make the economic policies of state and local governments procyclical

5)If nominal GDP decreases this will:
A) increase the transactions demand and total demand for money. B)decrease the transactions demand and total demand for money. C) increase the transactions demand for money but decrease the total demand for money. D) decrease the transactions demand for money but increase the total demand for money

6) In the chain of cause and effect between changes in the excess reserves of commercial banks and the resulting changes in output and employment in the country:
A) a decrease in aggregate demand will increase output and employment B) a decrease in the rate of interest will decrease aggregate demand. C) an increase in the money supply will decrease the rate of interest. D) an increase in excess reserves will decrease the money supply.

7)An increase in nominal GDP will:
A) increase the transactions demand and total demand for money. B)decrease the transactions demand and total demand for money. C) increase the transactions demand for money but decrease the total demand for money. D) decrease the transactions demand for money but increase the total demand for money

a decrease in the rate of interest would:
A) decrease the opportunity cost of holding money B)increase the transactions demand for money c) increase the asset demand for money D) decrease the price of bonds

9) When the interest rate falls, the :
A) asset demand for money decreases B) transactions demand for money increases C) total amount of money demand increases. D) total amount of money demand decreases.

10)if Inventories are rising unexpectedly, this indicates:
A) unintended inventory investment will cause GDP to fall. B) Unintended inventory disinvestment will cause GDP to rise. C) That GPD isn’t adequate to generate full employment. D) the beginning of an inflationary spiral.

Need help with SMA, EMA, and MACD?

admin — Wed, 13 Oct 2010 19:13:08 +0000

Hello. May I ask if i wanna participate in short term swing trading, which period of SMA, EMA, MACD should I use?? Because these are trend indicators and they are lagging indicators; therefore, causing me to enter the market late. Is there a particular period which can solve my problem? thanks.

what are your favorite indicators to use in short term or swing trading?

admin — Fri, 01 Oct 2010 04:48:27 +0000

Is this the end of the road for America ?

admin — Wed, 04 Aug 2010 19:36:43 +0000

By Ambrose Evans-Pilchard, International Business Editor
Published: 8:52PM BST 15 Jul 2010 for UK-Telegraph
C/P
The euro rocketed to a two-month high of .29 and sterling jumped two cents to almost .54 after the Fed confessed that the US economy may not recover for five or six years. Far from winding down emergency stimulus, the bank may need a fresh blast of bond purchases or quantitative easing.

Usually the dollar serves as a safe haven whenever the world takes fright, and there was plenty of sobering news from China and other quarters on Thursday. Not this time. The US itself has become the problem.
"The worm is turning," said David Bloom, currency chief at HSBC. "We’re in a world of rotating sovereign crises. The market seems to become obsessed with one idea at a time, then violently swings towards another. People thought the euro would break-up. Now we’re moving into a new phase because we’re hearing alarm bells of a US double dip."

Mr Bloom said a deep change is under way in investor psychology as funds and central banks respond to the blizzard of shocking US data and again focus on the fragility of an economy where public debt is surging towards 100pc of GDP, not helped by the malaise enveloping the Obama White House. "The Europeans have aired their dirty debt in public and taken some measures to address it, whilst the US has not," he said.

The Fed minutes warned of "significant downside risks" and a possible slide into deflation, an admission that zero interest rates, .75 trillion of QE, and a fiscal deficit above 10pc of GDP have so far failed to lift the economy out of a structural slump.

"The Committee would need to consider whether further policy stimulus might become appropriate if the outlook were to worsen appreciably," it said. The economy might not regain its "longer-run path" until 2016.

"The Fed is throwing in the towel," said Gabriel Stein, of Lombard Street Research. "They are preparing to start QE again. This was predictable because the M3 broad money supply has been contracting for months."

The Fed minutes amount to a policy thunderbolt, evidence of how quickly the recovery has lost steam. Just weeks ago the Fed was mapping out withdrawal of stimulus.

Goldman Sachs said it expects the euro to rise to .35 by the end of the year. The yen will appreciate to ¥83, through the pain barrier for most of Japan’s big exporters. The new twist is that SAFE, China’s .4 trillion fund, has begun buying record amounts of Japanese bonds, a shift in reserve allocation away from the dollar.

The signs of a deep and sudden slowdown in the US are becoming ever clearer as the "sugar rush" from the Obama fiscal stimulus wears off and the inventory boost fades. California, Illinois and other states are cutting spending, tightening US fiscal policy by 0.8pc of GDP.

Thursday’s plunge in the Philadelphia Fed’s July index of new manufacturing orders to –4.3 suggests that the economy may have buckled abruptly, as it did in mid-2008. The Economic Cycle Research Institute’s ECRI leading indicator has tumbled, reaching –8.3pc last week. This points to a sharp slowdown or recession within three months.

While US port data looked buoyant in June, the details were troubling. Outbound traffic from Long Beach fell from 139,000 containers in May to 116,000 in June. Shipments from Los Angeles fell from 161,000 to 155,000. This drop in exports is worsening the US trade deficit, eroding the dollar.

The US workforce has shrunk by a 1m over the past two months as discouraged jobless give up the hunt. Retail sales have fallen for the past two months. New homes sales crashed to 300,000 in May after tax credits ran out, the lowest since records began in 1963. Mortgage applications have fallen by 42pc to 13-year low since April. Paul Dales at Capital Economics said the "shadow inventory" of unsold properties has risen to 7.8m. "The double dip in housing has begun," he said.

Alcoa, CSX, Intel, and JP Morgan have reported good earnings, but they mostly did so in July 2008 just before their shares collapsed. Such earnings rarely catch turning points and can be a lagging indicator. Profits have been boosted in this cycle by cost-cutting, which is self-defeating for the economy as a whole.

The minutes confirm the Fed is split down the middle over QE. Fed watchers say the Board in Washington wants to be ready to launch another round of bond purchases if necessary, pushing the banks balance sheet from .4 trillion towards trillion, but hawks at the regional banks are highly sceptical.

A study by the San Francisco Fed said the interest rates need to be –4.5pc to stabilise the economy under the Fed’s "rule of thumb". Since this is impossible, massive QE needs to make up the difference.

Tim Congdon from International Monetary Re

What is the SEC standard for pricing (OTC) stocks in my broker acct? H/L Bid, Ask, Last Close?

admin — Wed, 07 Jul 2010 19:22:42 +0000

An OTC stock (very stable, 100yo company) in my portfolio has suffered massive swings in price "most recent price" in the last week or so. I am not concerned about the stock, or the price. I want to be clear.

My issue is how my brokerage is pricing the stock.

Since its purchase, the stock appeared stable and matched the last sale price. That price was visible on otcmarkets and otcbb as well as a host of other sites.

A few days ago, the price was down 40%+/-. I called the brokerage and was informed that the price is based on "the lowest active bid". It took the trading rep 20++ mins to get back to me on this.

Today, the stock is up 47% which matches the highest active bid on otcbb and otcmarkets.

On their website, in my portfolio it states basically that securities are priced at days close and if that is not available, the last price traded – or something to that affect.

So, I am mystified at how this (all stocks, all OTC stocks??) are priced (by my brokerage).

What is the industry standard and SEC guidelines in this regard?

Why would a stock priced be based on a bid anyway? At least the ask is far closer indicator of price. When the stock is thinly traded is not the best price the price the stock last sold/traded at?

Do I have an issue here? Do I have a serious issue here? I am in the process of attempting to acquire a large amount of this stock and I am panicked by he price swings and the havoc it creates in my portfolio. Is this an issue that needs to be brought "higher up the food chain"?

For reasons I don’t want to bore you with, I can’t leave the brokerage for 18mos and this imo a critical time to acquire this sock.

My last emails have gone unanswered. An email response that was returned was full of generalities that had little or nothing to do with the issue – canned pap. Email prior to that still unanswered.

Please feel free to email me from an anonymous address if you fee any way liable. I need some answers.

Any good, solid, profitable Forex strategies?

admin — Fri, 16 Apr 2010 07:15:31 +0000

I need a profitable, easy-to-follow Forex strategy. I’m a daytrader, so I need a good swing strategy. About 20 pips per trade will be good. Also, I have Meta Trader, so I’d appreciate good, custom indicators. Don’t give me MACD, RSI, Stoc, Moving Averages etc…

Thanks!

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, the market is just too random and unless risk is controlled over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Self-employed stock traders: What is your backup strategy?

admin — Tue, 13 Apr 2010 14:25:48 +0000

I mean in the even that, for whatever reason, your trading becomes less effective and less profitable. Could be emotional problems, physical, competition and trading systems increasing efficiency – whatever.

Over the short term, do you have backup strategies? For example, do you trade intraday, but understand enough to be profitable at swing? Or maybe trade on level II quotes and time reversals intraday, but know how to use candlesticks and overbought/oversold indicators?

Over the long term, do you have career backups? A college degree that would allow you to hop right back into the work place? Maybe a safe million in a standard investing account, so you wouldn’t mind living off 10% market average (or more conservatively in bonds) while you sort yourself out?

Thanks for your help!

Finding oversold stocks?

admin — Sat, 10 Apr 2010 07:13:20 +0000

Has anyone used vector vest for screening stocks? Vector Vest does not have a RSI indicator ( at least they don’t call it a RSI ).
How would I search for oversold stocks? What fields would I use in my search.
I’m trying to learn swing trading but dont know all the technical analysis tools to use. This is starting out as just a hobby and maybe a way to make a little extra money. I’m pretty new so try and keep it simple. Thanks!

swing trader can u help me.?

admin — Sun, 04 Apr 2010 07:14:11 +0000

in swing trading, i use 1 month chart macd(12,26,9), stockastic(14,3,3), rsi(14). tell me if i am using the right chart and indicators with the right numbers. if i am wrong please tell me which one should i use.

another question is how do i know when the stock will bounce on a 1month chart.

Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random

A question about Overbought Indicators?

admin — Thu, 01 Apr 2010 14:24:42 +0000

I have a pretty good understanding of trading Oversold Indicators but have been getting into Overbought trading on the short side recently. My question is from a swing trading (shorter term) stand point. When I am looking at creating a watch list based on overbought conditions (RSI and Stochastics) would it be wise to focus on currently up trending stocks that are overbought, consolidating stocks breaking down, or down trending stocks that have had a recent rally into overbought territory?

I understand there is no Holy Grail or perfect way to trade overbought but really am looking for another opinion or idea. Thanks in advance.

Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random

where can one get best margin on a stock trading account and what are charges.?

admin — Mon, 29 Mar 2010 14:31:38 +0000

looking to day trade / swing trade. Also what are best trading software indicators. Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random Related posts:Is there any stock trading company that will [...] Related posts:

what important fundamentals or indicator in swing trade.?

admin — Fri, 26 Mar 2010 07:30:20 +0000

in swing trade do i look at fundamentals of the company or just look at the indicators like macd, rsi, stockastic and support.
how do i use ema amd ma in swing trade.

Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random

what important fundamentals or indicator in swing trade.?

admin — Fri, 26 Mar 2010 07:30:20 +0000

in swing trade do i look at fundamentals of the company or just look at the indicators like macd, rsi, stockastic and support.
how do i use ema amd ma in swing trade.

Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random

which indicators to build agood swing trading system.?

admin — Tue, 23 Mar 2010 00:13:54 +0000

Please give info on the setting and use of indicators Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random Related posts:How to measure the strength of swing trading buy signals? What are [...] Related posts:

How to measure the strength of swing trading buy signals? What are the indicators to use?

admin — Mon, 22 Mar 2010 18:56:17 +0000

Trading indicators are best used along with money management and good risk control, using tesnical indicators alone will not enable you to ne a successful trader, the market is just too random Related posts:which indicators to build agood swing trading system.? Does anyone know of any good Forex Expert Advisors, Indicators and signals that I [...] Related posts: