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Strategies & Market Trends : Technical Analysis - Beginners -- Ignore unavailable to you. Want to Upgrade?

To: TA2K who wrote (9747)	3/5/1999 12:18:00 PM
From: Michael Watkins	Read Replies (1) \| Respond to of 12039

Nicolas, You do persist in asking questions that you can answer. I'm wondering at present about MACD, and if for the most part people here still recommend the standard MACD parameters 12,26,9 for entering long on short-term position trading? I think its fine to ask such questions, but... I'm curious if some different parameters seem to be working better these days due to shifts in trading patterns, trading technology, etc. The key thing remains - whatever 'works' needs to work for you. Fire up that Metastock and try a bunch. What works for a short term trader will not work for a trend follower. You've got the tools - go back test some theories over the time frame you are interested in. That's my comment.

To: TA2K who wrote (9747)	3/5/1999 12:59:00 PM
From: David R. Evans	Read Replies (2) \| Respond to of 12039

I use three MACDs, (8-17-9), (12 or 13-26-9), and (13-34-89). Each will give you a different entry and exit so it depends on your desired time frame for the trade..... I use (8-17-9) and one of my entry signals along with StochRSI(14). The MACD(12-26-9) will usually turn long a day or so later. I then wait for the (13-34-89) which usually takes a week or so to join the party. Now I can use any one of the three MACD's as my exit. The (8-17-9) will turn down first most of the time so I can then check my other indicators to see if I want to jump ship right then or give it a day or so to turn back up. Next will come the (12-26-9) or the (13-26-9) as they are just about the same and I use them interchangeably. Now I have a stronger sense that at least for the shorter term, this stock is turning down........ If I like the general climate of the Market and really want to give this stock plenty of room to turn, I will stay in and wait for the (13-34-89)...... There are very few times I will ever stay in a stock once the (13-34-89) has turned south.. Dave Evans