When looking at stock charts, when do you know to look at a 1 day, 10 day, 6 month, yearly, etc. chart?
Use the chart time frame that best describes the amount of time you are looking to stay in a position. The information in that chart would be your best as charts are used to identify entry and exit points for many traders.
Therefore, a day trader would look at daily charts – even in minute increments. A long term investor would look at 1 to 5 year charts, possibly in weekly or even monthly time increments. A swing trader may look at 1 to 3 month charts, in daily time increments.
Good luck.
February 23rd, 2010 at 6:49 am
Depends on what you are looking for in the stock. How long you are going to hold it.
References :
February 23rd, 2010 at 7:26 am
Use the chart time frame that best describes the amount of time you are looking to stay in a position. The information in that chart would be your best as charts are used to identify entry and exit points for many traders.
Therefore, a day trader would look at daily charts – even in minute increments. A long term investor would look at 1 to 5 year charts, possibly in weekly or even monthly time increments. A swing trader may look at 1 to 3 month charts, in daily time increments.
Good luck.
References :
Experience.
February 23rd, 2010 at 7:52 am
What type of time frame are you looking to invest in? Are you looking to buy and hold over an extended period of time? Or are you looking to make a quick trade to get in and get out.
If your looking to invest long term look at a longer time frame and if you’re looking for a short term play look at 1-day charts or even 60minute charts.
References :