Yes, the monthly 10 EMA is similar to a 200-day EMA.One rule...

Yes, the monthly 10 EMA is similar to a 200-day EMA.

One rule that I always practice is to never buy or own any stocks trading under a 200-day moving average. If a stock I own gaps down below the 200-day MA, I immediately sell. I got this rule from superstar trader Paul Tudor Jones.

I also don't buy any stock trading below the 10-month moving average.

I first look at monthly charts, then weekly, then daily. I like stocks like PME and CUV that are trading in blue sky territory with no previous price overhang. The positive is that generally everyone is sitting on a profit in a strong stage 2 uptrend trading in hitherto unexplored territory. Conversely with very weak stocks attempting to break out of a stage 4 downtrend, there is often large overhang where thousands of traders are still sitting on open losses. This is why I have learnt from experience from my own trades and other traders' trades, that bottom fishing statistically has a higher failure rate.

PME this morning traded above yesterday's $14.87 high. This is a positive sign to enter. However, I like to wait until just before 4pm before buying. There is an old saying that beginners buy near the open of the day, and the professionals buy near the close.

https://ritholtz.com/2013/02/200-day-versus-10-month-moving-averages/