2006-08-10 21:42:51 · 2 answers · asked by Madhavandhanya 1 in Business & Finance ➔ Investing
People often using moving averages to see if a trend is in progress.
The distance between the price and the moving average expressed as a percentage is a measure of the strenght of the trend.
A refinement of that is the MACD, which stands for Moving Average Convergence / Divergence:
http://en.wikipedia.org/wiki/MACD
2006-08-11 01:46:46 · answer #1 · answered by cordefr 7 · 0⤊ 0⤋
use tcehnical and fundamental analysis
technical using charts and indicators
fundamental analysis using economic data like GDP,ISM manufacture, industrial production,, durable good orders, most important is EMPLOYMENT REPORTS AND CPI,PPI( inflation). And THE FED, do not forget the fed, they are importtant
2006-08-11 05:26:33 · answer #2 · answered by Hoa N 6 · 0⤊ 0⤋