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Registered User Joined: 9/15/2011 Posts: 1
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I have 2 questions.What is the importance of the 50 day sma being over 200 day sma when a macd buy signal is generated? Or is it?When that same macd buy signal is generated, how important or not is it for the price to be above or below the 50 day sma or above or below the 200 day sma?Is is important when the macd buy is generated for price to be above or below the 40 day ema on the weekly chart?Thanks in advance.jjj
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Registered User Joined: 1/28/2005 Posts: 6,049
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Think of swimming with the current vs. swimming against it.
The averages are not related to MACD.
(any buy signal can be used)
Long-term moving averages are simply a method to define the stocks longer-term trend is moving up.
Thanks
diceman
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Gold Customer
Joined: 1/18/2008 Posts: 209
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hi,
everytime i try to employ a buy signal that has worked since the beginning of time for a particular stock, it fails, unless i try to short it, then it rips my face off. if i short 50 shares and go long 50 shares, it sits still until the second i go to cover, then it drops 3 points before i can sell my long position. so mostly i just sit and watch others and wonder if they really make any money trading against the computers. but its still a fun way to blow a few hundred bucks every now and then. the casinos are no place for the intelligent gambler.
i hope this helps
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Registered User Joined: 6/13/2011 Posts: 88
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QUOTE (sharppolly) hi,
everytime i try to employ a buy signal that has worked since the beginning of time for a particular stock, it fails, unless i try to short it, then it rips my face off. if i short 50 shares and go long 50 shares, it sits still until the second i go to cover, then it drops 3 points before i can sell my long position. so mostly i just sit and watch others and wonder if they really make any money trading against the computers. but its still a fun way to blow a few hundred bucks every now and then. the casinos are no place for the intelligent gambler.
i hope this helps
Good comment Sharpolly. Doesn't it make you wonder? Only those who can predict the future make money in the market. We all know who they are: Senators, Congress Men, Market Makers, and Uncle Sam. Of course there are also a hand full of important folks in government and corporate who are also in the know in exchange for $. It alwas takes $ to make $.
Keep watching others and every now and them take the few hundreds and indulge yourself to something you like to do. You will profit by enhancing your life.
Good luck.
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