$TAO The daily chart broke below MA50 (267.292).
This data gives us a chance to talk about moving averages.
One reason long-term moving averages like MA200 attract so much attention is precisely that so many people watch them. When the price approaches one, volatility often becomes more pronounced.
A price moving above a long-term moving average is often seen as a sign that the trend is improving, while a break below it is often seen as a sign of weakness. But one crossover isn't enough to draw a firm conclusion.
Sizing your position based on your stop-loss distance is far more reliable than choosing a position size by gut feel.
#TAO
This data gives us a chance to talk about moving averages.
One reason long-term moving averages like MA200 attract so much attention is precisely that so many people watch them. When the price approaches one, volatility often becomes more pronounced.
A price moving above a long-term moving average is often seen as a sign that the trend is improving, while a break below it is often seen as a sign of weakness. But one crossover isn't enough to draw a firm conclusion.
Sizing your position based on your stop-loss distance is far more reliable than choosing a position size by gut feel.
#TAO