Sunday, May 29, 2011

Signal entry into the crossover

One last point to remember is that all actions are unique, and while 39 period Stochastic is a useful technical indicator, you should always map the performance against your specific stock.
Recently, most Tech stocks have confirmed a tendency to signal entry into the crossover K over 40% sold with K crossing below 60%. But in a volatile stock price or a second mood indicator along with a volume indicator provides the best confirmation.

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