In the past I have used moving averages on graphs as good buy/sell signals, crossover points, etc. Does anyone else use this strategy?
I'll look at the moving addresses and the golden and death crosses but I find the RSI is a more useful indicator in my decision making. That said, TA is not my forte. I prefer to look at numbers. For some smaller caps I'll common-size 3-5 years of the balance sheet and income staremenrs as found in SEC documents
MA's don't really directly factor in much to my decisions to buy or sell. Sometimes a stock dropping below or rising above its 50 or 200 day MA or whatever may trigger more than average amounts of buying or selling - particularly by the automated systems, HFT, etc... If a stock suddenly sells off hard and looks appealing to me at the cheaper price, I may buy or buy more due to other factors (besides it's MA) I like about the stock - new cheaper price & price-related ratios, etc... Likewise, if a stock I own jumps up in price a great deal due to breaking out of its MA range, I may use that as an opportunity to take at least a little off the table.
