Monday, September 15, 2014

Back to Basics Stochastics

2 year stochastic data for the stock SMPH

There's so many things to learn regarding trading that makes it more academic than just siply placing a bid and getting out of the trade as if you re just simple gambling.

There's stock charts to read so that one can be able to  decide whether it's a good time to buy or sell. Check with other indicators to confirm your analysis.

This one is regarding Stochastics 
Commonly used to identify overbought or oversold condition in the markets.

setting of 8% 3 %D 5

briefly sa  stoch kon magpass sya below sa 20 line buy signal sya kon magpass above 80 line sell signal sya

In short:
for downtrending market: trade above 80

for uptrend, trade below 20 

That's all!

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