Top 5 Technical Indicators for ETF Trading: Illustrated by Examples
Technical analysis and fundamental analysis comprise two categories with which to analyze securities and investment decision-making. Technical analysis is an imperative device for investors and traders who want to beat the general market. Technical analysis is focused on market movement, momentum, trending, and potential reversal. To execute technical analysis usually involves complex mathematics and statistics that are the hinges of the scheme of technical indicators. This eBook allows you to adopt technical analysis without mastering the formula. Instead, the readers can concentrate on interpreting the market warnings or signals to achieve their investment goals.
If you want to become a winner in the stock market, you must discern and gauge the forces that drive stock market movement and momentum. In this eBook, the authors outline the top five technical indicators which are employed by investors, and are able to effectively detect the market reversals, including Relative Strength Index (RSI), ISE Sentiment Index (ISEE), Volatility Index (VIX), Traders Index (TRIN), and Smart Money Flow Index (SMFI). Appropriately Incorporating the above five technical indicators with fundamental analysis appropriately will smooth your investing journey.
This eBook also covers the basics of ETFs, ETF trading, and the general stock market. Authors will share with you where to open brokerage accounts with low cost. Traders can even enjoy free trades regularly if their portfolio meets certain criteria.
Accompanying the explanations and mechanisms of each of the above five technical indicators, the authors use case studies, examples, charts, and figures to better illustrate how to utilize those indicators in your trading.
The challenge is that sometimes all these indicators contradict each other. Countless books have been written on this subject. Please be mindful that there is no “Holy Grail†trading mechanism available in the stock market. However, some people are more successful than others, and the reason is quite simple: No indicator is right all the time!
More important is to combine different kinds of technical indicators into a sound comprehensive investment process which will grant you the competitive trading edge. This investment process does not have to be right all the time. It just should be right a higher percentage of the time than wrong.
To improve the accuracy, you need to collect data, and analyze available information. Eventually you will come up with applicable models suitable for your trading or investing.