I only took a quick look at this, and MA20 (moving average 20) is part of my “standard set” because, in the stocks I follow, I believe it has worked better. I didn’t start adjusting the parameters more precisely for this specific case since it hasn’t been under my active observation.
So, that EMA26 (exponential moving average 26) is definitely a good observation, and it can indeed offer support at current levels
What Ballard looks like now. It’s been between the MA50 and MA100 for a while. Mostly I’m timing the moment to buy Ballard, would it still possibly visit around 15 dollars.
What does Citycon look like from a TA perspective?
I’d like to exit my position, and with the RSI hovering above 70, now might be a good opportunity. What does the situation look like based on other indicators? Thanks in advance!
What does Palantir (PLTR) look like? Does TA work for companies that have been on the stock exchange for such a short time, and now after a rapid rise? Thanks
Zaptec
I checked Investing.com, the RSI(14) is 83.91.
It’s been going up steeply, and I’ve been watching 10% daily gains from the sidelines, hard to jump in.
Are there signs of cooling down, or should I throw in my opening funds at risk?
Could someone more experienced comment on Alibaba’s situation? @DayTraderXL, you probably follow it, as you actively update Alibaba’s thread. I’m speculating that there might be more support from the old bottoms and EMA200 and MA200 from the 250-240 range. RSI14 is also already quite low, around 32. So I’m looking for a suitable place to add for a longer hold.
The nearest support level is 250.09, followed by 246.10. We are also at those levels daily OB, so this is probably just due to some bigger whale emptying their worm jar. Daily bear volume has been decreasing. Black Friday, Christmas sales are coming.
Here are some pictures of a couple of Aston’s radar pairs, Smart Eye and Evolution Gaming Group. What do you think of these? Let’s take SE first.
Smart Eye, 1D
It’s hovering around the MA20 level on a daily basis, and that triangle should close soon. Considering the hype surrounding the company, and RedEye’s bullish analyses, the direction is likely upwards, isn’t it?
1H trend change (regular hours), but it still needs to continue so it doesn’t drop down again. But a clear signal again that the bottoms are starting to strengthen.
A comment related to this that’s worth keeping in mind permanently. Falling knife, how bottoms are usually found, how people dare to trust in it and what happens - bull volume will increase because others also notice that now is the time to open the wallet. Even though today is a rather downbeat day on average, BABA keeps climbing upwards.
By observing volume in different time windows, you should look for an entry after a big drop, no matter what stock it is. In general, it’s good to monitor volume for entries, and checking RSI bottoms is a good indicator for a reversal.
Volume always moves in waves, peaking at the start of a decline, and once volume starts to fade, it’s a good time to start looking for an entry. When trading volume begins to increase and the price starts to rise, it’s a good time to jump in.
In the case of BABA, you can clearly see volume spikes from the crossings of moving averages, where the price cuts the moving average. For example, today’s open on TF15min MA200 was a gap up crossing with significant volume. One can indeed say that these moving averages are carefully watched, and volume intensifies further on crossings. A rise feeds a rise, and the same applies in reverse: a fall feeds a fall.
I personally entered BABA the day before yesterday, on the 18th, at the $255 level for a long-term portfolio, of course, and it seems to have been a pretty good buying moment.
BABA is offering a magnificent rise today, now already +4.5% at the moment!
Have a nice weekend everyone, traders!
A couple of illustrative images (Tradingview charts would be better )
Of course, you can fine-tune all sorts of things in bottom fishing. The more you trade and the longer the swing horizon, the more the so-called success rate comes into play. Every attempt that ends in a stop-loss costs money. Sometimes the stop trigger doesn’t even work, and you have to monitor it to get out at market price. The smaller the TF (time frame) you use to look for a bottom, the more attempts you will face.
In practice, however, it’s always worth looking for a trend reversal: 1min, 2min, or 5min. That already has better chances of success than directly guessing the bottom.
In fact, experienced traders always look for a “volume climax” on the 2min/5min TF, for example, if they are looking for a scalp/short intraday trade. The longer the falling knife, the more often a successful attempt is only good on the 1H. Often, you only lose 1-2% relative to the lowest price, and if your time horizon is a week/weeks, it gets lost in the background noise. Not to mention when buying for a long-term portfolio, as most of you probably do here.
It’s true that as we get closer to a trend reversal, smaller timeframes should be included to confirm the change of direction, and to ensure that the direction changes for larger time windows as well. I only took one perspective on how to generally look for a trend reversal.
Guessing only leads to unnecessary stop losses, as you said
I saw a TA presentation from this company somewhere. I could also buy into this view of a future rise. The July gap is starting to close, and the volume looks green. Are there any other good/bad signs from a TA perspective here?
The MA200 on a daily level has been resisting for the past couple of years. It’s advisable to wait for it to cross over for a couple of days and ensure it doesn’t bounce back down again, as has happened before, if you’re holding for a longer period. There’s a nice upward trend in the short term, but it’s overbought, which also supports the idea that it might bounce down for a moment when it hits the MA200. It’s recommended to wait for a change in the daily downtrend before adding it to your portfolio for a longer period, which in this case practically means the MA200 crossing over. I hope this answered your question.