Indicator Notes | $SHELL | Daily price above MA200 | MA200 0.02476
First, the definition: Moving averages themselves are often viewed as dynamic support and resistance. When the price is above a moving average and pulls back near it, many people watch to see whether it holds.
Next, how to read it: Many people wait for the price to move above it and then pull back without breaking below before taking the signal seriously. They also wait for a rebound to fail after a break below before taking that signal seriously.
Learning to read indicators isn’t difficult; the hard part is still following the rules when the market is at its most extreme.
The above is for informational purposes only and does not constitute investment advice.
First, the definition: Moving averages themselves are often viewed as dynamic support and resistance. When the price is above a moving average and pulls back near it, many people watch to see whether it holds.
Next, how to read it: Many people wait for the price to move above it and then pull back without breaking below before taking the signal seriously. They also wait for a rebound to fail after a break below before taking that signal seriously.
Learning to read indicators isn’t difficult; the hard part is still following the rules when the market is at its most extreme.
The above is for informational purposes only and does not constitute investment advice.