Any chance of a TA update.Just wondering what happens when a stock closes below it's bottom trendline?Does it keep going down or do the fundamentals take over and the stock goes up. I mean at 6.8 cents based on a pe ratio of 10, undiluted, we are looking at a NPAT of over $10Million. Do you think that is achievable any time soon? By the way how accurate was the MACD indicator in this case:)
Incredible Charts gives a good interpretation of the MACD indicator.........it goes something like.."Go short when MACD crosses its signal line from above"
Goodluck.
""MACD Indicator The MACD indicator is basically a refinement of the two moving averages system and measures the distance between the two moving average lines. MACD is an acronym for Moving Average Convergence Divergence.
MACD was developed by Gerald Appel and is discussed in his book, The Moving Average Convergence Divergence Trading Method.
MACD Trading Signals The MACD indicator is primarily used to trade trends and should not be used in a ranging market. Signals are taken when MACD crosses its signal line, calculated as a 9 day exponential moving average of MACD.
Trending Market First check whether price is trending. If the MACD indicator is flat or stays close to the zero line, the market is ranging and signals are unreliable.
Go long when MACD crosses its signal line from below. Go short when MACD crosses its signal line from above. Signals are far stronger if there is either:
a divergence on the MACD indicator; or a large swing above or below the zero line. Unless there is a divergence, do not go long if the signal is above the zero line, nor go short if the signal is below zero. Place stop-losses below the last minor Low when long, or the last minor High when short.""
