Do You Use Share Price Moving Averages For Buy/sell Signals?

Discussion in 'General Trading Discussion' started by longtermbull, Nov 30, 2016.

  1. longtermbull

    longtermbull Administrator Staff Member

    Nov 2016
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    In the past I have used moving averages on graphs as good buy/sell signals, crossover points, etc.

    Does anyone else use this strategy?
  2. baudwalk

    baudwalk Senior Investor

    May 2015
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    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
  3. JR Ewing

    JR Ewing Super Moderator Staff Member

    Feb 2014
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    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.

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