Bullish Indicators: Part 1
I believe it is important to point out some bullish indicators that can help you make more sound trading and investment decisions, especially when it comes to buying a stock.
Arguably, one of the best indicators of a stocks performance are the moving averages. These data points which are plotted as lines, outline a stocks expected course of movement. In addition, they provide clues to a stocks support levels as well. Many traders and investors use the 50day MA, 10 day MA (for quick changes in a stocks direction-perfect for day and swing trade) and 200 day MA.
The first bullish indicator that I will talk about is the phenomenon of when the 50day Ma crosses over the 200 day MA. I have included a chart to show illustrate this point.
Novavax Inc (NVAX) 6 month chart
As you can see, the point in which the 50 day MA crossed over the 200 Day Ma is marked with a huge increase in volume and a rise in stock price. In this way, it is a good idea to buy a stock that crosses its 200day Ma, as it signals a bullish reversal. In addition, many analysts and brokerage firms post new upgrades for stocks that have begun this bullish reversal.
chart courtesy of StockCharts.com
posted by Nick M. @ 2:05 PM
2 Comments:
hey whats up Dave!
I posted up at the parrot post, but incase you didn't see it, here it is....
Glad you checked in! I have a dilema in choosing a parrot! I'm glad you like those parrots, cause those were the cheapest I could find! All the others were like $500 and up! I agree those Quaker parrots hit a soft spot in me as well, but I also like the Conures. The only problem is that the Conures are too high in price (they need to trade 12x earnings, lol). Thats funny though, lol I was thinking of it in stock terms as well-as making an investment! Lol! Thats too funny! Yeah getting a parrot would definatly be a bullish trade for me right now! So far I looked in some pet stores, but they are overpriced! I will look into some breeders for better prices- I still have about a week so its all good! I'll definatly post picks when I get them!
On the bad side of the road, I have a ton of HW to do (for this coming week) and all I can think of is doing more research, lol! Geez, I need to invest more time in the HW dept and less in the stock departmnt! Oh well I have some more time tonight and all tomm!
I agree, tech is looking favorable again! I will try to post a tech special sometime in the upcoming weeks. Of course bio-tech is running nicely, while we consolidate with the oil and gas! Gold should come for a little as well! Anyways Dave, thanks for checking in and sharing your thoughts! I gotta get back to some hw! Great talking to you, I'll talk to you later! Take care!
-Nick
Oh Dave, by the way
I wanted to ask you how to place an RSS feeder (or whatever its called) on the blog! I heard its a great way to increase traffic so I figured I'd give it a try! I figured you may know, so that why I am asking! ANy help would be greatly appreciated!
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