2024. 11. 10. 08:37ㆍU.S. Economic Stock Market Outlook
Caution: I'm studying trend follow-up for 2 months. I'm recording what I'm studying. It's not an event recommendation.
ChatGPT Description:
This chart is the stock's weekly chart showing a long-term upward trend. Let's analyze this chart based on a trend follow-up strategy.
Longer-term Rising Trends: Overall, the stock trend has maintained a steady upward trend, especially with the 200-week moving average (red line) looking upward. This indicates a long-term upward trend continues.
The 30-week moving average (pink line): The stock is trading above the 30-week moving average. Generally, in a trend follow-up strategy, it is considered an uptrend when the stock is above the 30-week moving average, and it is advantageous to maintain a buy position above it.
Recent attempt to break through resistance: In the upper right corner of the chart, the stock is seeing resistance near its past high, and an attempt to break through this resistance has recently emerged. In a trend follow-up strategy, the moment to break through this resistance may be interpreted as an additional buying opportunity. However, if a solid breakthrough is not made, there is a possibility that it will fall from the resistance level, so a cautious approach is needed.
Adjustment Section: The stock has been going through a sideways and adjustment section since 2022 and has lost direction over a period of time. The stock is attempting a new upward trend during this period as it moves down near the 200-week moving average and then rebounds. In the trend follow-up strategy, it is important to observe these adjustment sections to see if new trends are forming.
Trading Volume Analysis: Volume is a factor that can be seen as a strong buying trend when the stock is up or breaking through. There is no noticeable increase in volume on this chart, but if volume increases when it crosses resistance strongly in the future, this could be interpreted as a strong bullish signal.
Risk Management: If the stock falls below the pivot (-10%) and the trend shows a break, the trend follow-up strategy can determine when to clean up or cut off the position.
The chart illustrates a long-term uptrend, and the trend follow-up strategy allows you to follow the trend and take buy and risk management based on the time of the resistance break and the key moving averages.