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Options & Moving Averages
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Old 08-17-2008, 10:13 AM
alienguru alienguru is offline
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Default Options & Moving Averages

I have been trading options on breakouts above 50, 200 day mov. day avg. If the break out with high volume I buy a call with a tight stp. (about $1.00) under mov. avg. With a tgt. price of how much the stock as moved in the last 6 months before short term correction. Also use western technicals to look for break out target price. I'll do just the opposite if it hits mov. day avg. and fails to break out above. I will say that I do buy and sell on avg. 50 options per month though. Very quick gains or loss here. Ken could you quickly explain what the ADX and % Williams track. I have been using MACD and STOCHASTIC and they seem to really lag on early entry point, move is already started which cuts down on winning trades, more stop outs. Sorry for length-newbie
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