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Strategies & Market Trends : DAYTRADING Fundamentals

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To: Clarence Dodge who wrote (3567)9/4/1999 1:01:00 PM
From: Richard Estes  Read Replies (1) of 18137
 
I stick with fib numbers because they can't hurt and might help. A MA is an attempt to capture a cycle, if you see a three day cycle exist in a stock to capture that cycle you would want a 1.5 day MA or a 585 min MA. On a 5 min chart this would be a 117 MA, on a 60 min chart it would be a 10 MA. Now I would use an 89 or 144 and a 8 or 13 for luck or myth.

Trying to perfect it, yes. But you are really trying to find measures you trust. That you have seen as the best means of measuring exits and entries for you. It is a matter of testing, testing and testing. Once you have the combination that fits your style stick with it.

The last thing I would consider is what someone in the business uses.
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