Questions Answered, Buy/Sell Signals Shown For My Averages

Hi,

As I had promised earlier today, I am presenting the answers to the questions that arise from y earlier post.

I am showing the charts with signals. A green ellipse indicates a buy signal whereas a red ellipse indicates a sell signal.

Please remember that I have shown the signals for important trend reversals only.

Apart from these signals, there are some other small and insignificant signals also. Some of these insignificant signals are correct and are going to result into your profits. However, there are some other signals also which are false. They are definitely going to result into your losses, which you can minimize by using the stop loss.

he main reason for not showing these insignificant signals in my answers is not that some of them are false. It is the non-availability of enough chart space. You would not have understood the significant signals correctly had I shown the insignificant signals also in the charts.

I hope you understand my motive.

Anyway, Let us now see the answers. Do let me know about your comments on the same, which you can share here on my blog provided you have a Google Account.

I hope that you find these answers helpful and interesting.

Do give me your feedback on this blog.

I wish you all a successful trading in stock markets.

Thanks and regards,

Hemant Kanade

Sample Charts For My Own Methods (Own Averages)

Now I am going to present you the sample charts for my own methods. These are the charts, in which, there are two lines. A blue line for close values and a red line for my own average instead of DMA. I have several methods of calculating averages. It can be any one of them.

The basics remain the same. If the close line (blue) intersects the average line (red line) from below, you get a buy signal. On the contrary, if the close line (blue) intersects the average line (red line) from above, you get a sell signal

Study these charts to find out how powerful these signals are.

I want you to study these charts in detail and to find out where the buy/sell signals ar generated. I also want you to find out what happens thereafter. If you take a long position on the basis of a buy signal, whether the close value really goes up or not, if yes, to what extent and within hou much period of time.

In short, I want you to find out what are your chances of successful trading if you use my averages.

By the way, I will be presenting the answers to these questions in my next post.

Please share your views and comments on my blog. 

Till then, I wish you all successful trading in stock markets.

Thanks and regards,

Hemant Kanade