Charts, and the News, Can Help Traders Win...READ MORE
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| Charts, and the News, Can Help Traders Win | | Many traders use charts to make trading decisions. Others find charts to be worthless. Some find a middle ground and use charts along with other factors to determine whether a trade is worth taking. One way to implement a strategy based on the middle ground is to start with a review of the news. On any given day, a number of stocks will be in the news. A trader can then look at a chart to develop a trading strategy. If the news and the chart both point to a bullish or bearish outlook, the trade could have a higher probability of success than trades based on just one factor.
We apply that approach in our latest article where we start with the news and find that analysts are generally bullish. But, as is typical on Wall Street, the bullish analysis contains some seeds of bearishness. This is typical because analysts are rarely outright bearish.
Then we look at the stock charts in our article using both a daily and weekly view to develop a strategy for which way the stock is likely to move. Finally, with both the news and the chart in agreement, we consider a trading strategy and identify a trading opportunity.
The complete details of this strategy and the trade are in our free educational article, right here.
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Not sure the best way to get started? Follow these simple steps to hit the ground running. | | | |
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