The black dots are the weekly closing points during 56 weeks. Here you see the rising 8 MA and the falling 21 MA. For 5 weeks the 8 MA will likely rise and for 7 weeks the 21 MA will probably fall. Until the MA's cross or the 8 MA turns down before cross the closing points will most likely come in between these MA's. Before that happens we can see if a cross will come or not. If the 8 MA turns down after a few weeks without first crossing the 21 MA there will be a very strong fall and a long down trend. This is one example of how I use to see the next big move in advance but often together with other indicators.
No comments:
Post a Comment