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Showing posts with the label RSI

KPL Swing trading system

When Stock`s Price increases everyday, the stock holder becomes worried. Of course he should be worried, and before the scripts start falling he should lock his profit. But who knows when it would start falling? Nobody (but smart money sometimes knows). So we need indicators like RSI, OBV, or stochastic. The problem is, even with weak RSI, OVB, or horizontally straight stochastic a script may go up further. So taking profit in fear of falling some times becomes cause of pain, or less profit. So I would prefer a system like KPL swing to give me an exit signal first. Then I would exit. I would wait and see how much a bullish share can grow. See the Graph of Squiretextile, (data uptodated) Tips :  1. At very bottom is main chart (KPL with, adx) to follow, two others are supporting. 2. Thursday the stock opend bellow its previus day`s closing, but closed above it. Which indicates weekness. 3. Yet there is no fall signal (down arrow) and no ADX (price bar in deep green) appeared. So I w...

Build a trading System with two charts

Stock Price taming is not very hard, rather it is easy if you follow a trading system. Here i`m giving two charts that we can use regularly as trading system. One for identifying the oversold, other for tracking buy-sell signals. Top one has a red line. If stock price touches the line, it`s a dangerous moment. Most likely the stock price will fall. Mos Bottom line of the upper chart is overbought line and it is a safe line. Whenever price touches is chances are that price will jump soon. Here FINEFOOD is resting in danger line and falling might be imminent. Now the bottom chart. It uses many formulas and result are shown at left. Here we can see that for FINEFOOD it is giving signal that : MFI and TRIX waiting strong sell signal. Also the rsi is giving sell signal.  See the image