I currently am using a combination of the 50,100 and 200 day moving averages, using bollinger bands as well as RSI and MACD which has generally helped me see trends in stocks but hasn’t provided me much help in short term situations it seems to help me predict where stocks will be in a month rather than in a few days. Are there any recommended indicators or short term trends I should learn as a beginning trader? Although I’m not looking for stocks with huge volatility and trying to make hundreds a day trading, however it would be nice to have a better idea of when stocks really are about to pop. I know there’s more to it than just technical analysis and a lot of pops in stocks due to news and current events but sometimes winning 1-2% vs losing it on a stock can determine if you’re up or down for the day and we all want to see gains no matter the size so any help or suggestions are appreciated! First time here by the way so hopefully I am posting in the right place. Thanks and happy trading!! CrockStocks
What program are you using for charts? For short term trading you want to find something that has momentum imo. And then hope it lasts for a month. Look at PLTR and APPN last month. I like the RSI indicator. Heading into last month, both PLTR and APPN had RSI below 60. Then when momentum got going, it had a lot of room to run. If you buy something with RSI nearer 70 or even 80 currently (can find quite a few of these lol), then it doesn't seem likely to keep going the whole month.... ...now I'm not saying to take a shot at all stocks with RSI below 60 right now. But see in a couple days which ones start moving up (one possible source https://www.barchart.com/stocks/signals/top-bottom/top?viewName=main ). You can create a free account there, then create a view that has RSI so it is available at a glance. When momentum starts going of course such stocks will hold above the 50 sma, even in short time frames like 15-minutes.
This is exactly how I’ve been using my strategies and it’s not like they haven’t planned out, I’m just always looking for more effective strategies and my concern being with stocks being so volatile and there being so much uncertainty in the market, I’m wondering if RSI and MACD are less effective than another short term indicator that would allow me to make more decision on the fly I guess. Normally I like to stay in on stocks just like you’re saying until RSI and MACD seem to peak, and hop off then after it’s run for a solid week or two, but with stocks being super volatile / up and down by the day, I’m wondering if there were other good ideas to manage this more efficiently on a day to day basis than my week to week strategy. Thank you for your insight! It seems we have the same strategy using RSI.
