ETFs may be diversified, but this doesn't mean that they aren't susceptible to
momentum price swings.
Not exact matches
With stocks moving more independently of one another, it's more difficult for them to gather
momentum in a particular direction, keeping
price swings subdued.
As a «sell» signal matures and becomes more confirmed by time and
price, short selling of weak stocks also becomes part of the trading plan, but for now it is still too early to enter new short positions for
momentum swing trading.
This
momentum trade has been working out well so far, as this ETF
swing trade is presently showing an unrealized share
price gain of 13.8 % (based on our July -LSB-...]
To continue building on your trader education, receive access to our proprietary market timing system, and be alerted to our exact entry and exit
prices for the top nightly stock and ETF trade picks, sign up here for your 30 - day risk - free subscription to our
momentum swing trading service.
Subscribers to our
swing trading service should note our exact entry, stop, and target
prices for this short - term
momentum trade setup in the ETF Watchlist section of today's newsletter.
In case you are new to
momentum swing trading, it's important to understand that stocks and ETFs breaking out to new 52 - week high usually provide us with our largest gains because these equities have a complete lack of overhead
price resistance (which would otherwise be created by sellers who bought a higher
price).
When you learn how to interpret subsequent
price action that follows the touch of a 20 - EMA, this stellar indicator can be used by
swing traders as the proverbial «line in the sand» for knowing whether or not a trend is maintaining very bullish
momentum.
If the bullish
momentum stays intact, the
price could even test the last
swing high of 0.0545 BTC.
Instead of entering this
swing trade setup based purely on anticipation of the pattern working, our technical trading system mandates that we first wait for
price confirmation that indicates
momentum has shifted back in favor of the bears.
This information will enable you to capitalize on market
momentum by being able to identify when a
price swing is likely to reverse or move into consolidation.
Comparing
price swings helps traders gain insight into
price momentum.
Strong
momentum is exhibited by a steep slope and a long
price swing.
The magnitude of
price momentum is measured by the length of short - term
price swings.
Price was ranging at
swing low and building
momentum.
Swing traders use technical analysis to look for stocks with short - term
price momentum.
Bitcoin
price could fall further if the upside
momentum does not sustain the gains above the 38.2 % Fib retracement level with a previous
swing high of $ 9, 854 and a low of $ 8,869.
A one - day Bitcoin
price swing above $ 8,000 isn't solid
momentum by any means.