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Strategies & Market Trends : Technical Analysis - Beginners

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To: Daniel Miller who wrote (8471)7/17/1998 10:20:00 PM
From: CatLady  Read Replies (2) of 12039
 
Daniel -

I think you've fallen into a trap that TA beginners sometimes stumble into. That is putting too much weight on short term indicators when the medium and long term show a different picture.

Try using a couple of moving averages, maybe a 40 and 80 day EMA on the AIJ chart, that'll show you the trend, which is DOWN. Don't fight the trend.

I'd suggest getting a good book or two on TA, it's going to take some study and practice to get good at this. One book for newbies that I've heard good things about is 'Visual Investor' by John Murphy.
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