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Strategies & Market Trends : DAYTRADING Fundamentals

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To: - who wrote (302)6/8/1999 4:15:00 PM
From: Dave O.  Read Replies (1) of 18137
 
< Beside the moving averages, I don't believe in most indicators >

Steve,

You noted that when price moves above a certain MA (i.e. 10 period) that it tends to pullback. Rather than using MA's, as you do, I use Bollinger Bands to look for overbought (oversold) conditions. When I see a stock jump outside the upper band I look to sell, if long (or go short) and if it falls below the lower band I look to go long (or cover a short). Do you not think Bollingers would further validate your MA analysis? I tend to use stochastics and/or RSI to confirm what I might see with Bollingers.

Dave

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