What's Your Favorite Technical Indicators?
For those traders who use technical analysis, what is your favorite indicator? I like the MACD and island reversals which have served me well.
For those traders who use technical analysis, what is your favorite indicator? I like the MACD and island reversals which have served me well.
Career Resources
Career Advancement Opportunities
August 2026 Investment Banking
Overall Employee Satisfaction
August 2026 Investment Banking
Professional Growth Opportunities
August 2026 Investment Banking
Total Avg Compensation
August 2026 Investment Banking
“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”
Leaderboard
| 1 | 99.2 | |
| 2 | 99.0 | |
| 3 | 99.0 | |
| 4 | 99.0 | |
| 5 | 98.9 | |
| 6 | 98.9 | |
| 7 | 98.9 | |
| 8 | 98.9 | |
| 9 | 98.9 | |
| 10 | 98.8 |
“... I believe it was the single biggest reason why I ended up with an offer...”
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
If I had to pick one, it would be ADX-DMI.
Extremely versatile.
YoungHedge, if you're comfortable with trading patters, do check out Japanese candlestick methods.
cleavage / skirt_length
this
MACD...first one I learned.
Volume and price, the only two that have any significance in my opinion...
Sometimes I would add stochastic and bollinger bands too. And fibonaccis if someone was looking at my screen, or wanted to make impression for somebody who knows nothing about technical analysis. Never got into the other ones though.
What I like to call the taxi driver index.
Credit goes to the taxi driver that drove me to an SA final round. He says that the amt of business he gets is very indicative of the future stock market level.
obviously the 10 - 50 - 300 EMA is important to look at.
Remember though, fundamental analysis tells you what to buy and technical analysis tells you when.
I'd hate to use an EMA/ SMA > 100.
Interesting comments. I use fundamentals to decide what to buy, but technical analysis is extremely helpful with finding entry points to positions.
Also ADX-DMI
ADX - DMI, Bollinger Bands, EMA's, etc.
Any of you do anything with P&F Charting? That might be a question for its own thread.
Wow, for the most part, I use the exact set-up (with an added MACD crossover alert and Stochastics).
Never really looked into Point and Figure charting.
Bollingers, Momentum, Fibonacci (for commodities), Ichimoku Cloud analysis
...
Price Action
volume
20/50/200 day moving averages (I also pay attention to their slopes)
Occasionally If i am trying to find a level to play off I will use Fibonacci's but in general I find them way too vague.
To those that think they are hocus pocus, while the idea to academics is ridiculous the truth is that too many people use levels and because so many people are playing off them it it makes them work. Self fullfiling prophecy.
Technical Indicators used in Long Term Investing? (Originally Posted: 05/26/2013)
Are there any types of long term technical analysis indicators you guys use in conjunction with long term value investing approach? Moving averages, volume, relative strength, etc.?
This. Every single technical indicator out there is derived from price action.
bump
I use RSI, stochastics, and boilinger bands to gauge when the price is attractive. To all their own, but I usually get into my postions at a 1-3% discount to the stock's price in about a week.
Now there are other things to take into account like a 50-SMA and 200-SMA crossings, and media coverage, volume levels, but I find the boilinger bands to be most useful.
Take $BITA for example from last week, looking on a chart when it was trading at $32 and change, right on the lower band, next day shoots up 8%. This company is a lot more volatile as it is a huge growth stock, but in the case of technical analysis, the charts were right.
Would be interested to hear about this from experienced investors as well. I know a few solid independent SS ER shops that incorporate TA in long-term investing, thus I was wondering how much merit does it have in the LT (outside of just picking entry/exit points).
When applying TA on a longer time frame you might want to stick with the basics: 1- Volume profiles 2- Moving averages 3- Support & resistance
Bolinger Band 20,20, MACD & Stochastic
Velit possimus corporis esse exercitationem occaecati. Possimus mollitia asperiores aut autem possimus. Ut reprehenderit quo quis quos. Dicta officia perferendis blanditiis adipisci qui. Iusto sunt neque voluptas molestiae animi recusandae. In sunt qui id rerum a.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Voluptatem voluptatibus eum veritatis. Voluptatem voluptate dolore eos quas. Est ullam magni et. Accusamus dolores minima voluptatibus. Asperiores et ullam nostrum libero enim architecto. Consequatur ut quo tempore dicta inventore. Repudiandae officiis sint dolorem ex sed id aut consequatur.
Distinctio qui ut magni ex asperiores. Ut non necessitatibus molestiae commodi voluptatibus vitae. Nemo quibusdam numquam magni eius. Et et eos rerum repellendus et.
Voluptatem excepturi harum quia assumenda nobis. Dolores eos sit vel soluta sint sequi nesciunt dolorem. Consequatur quis et nam rerum unde. Suscipit corporis consequatur est non occaecati quod eveniet non. Rerum et voluptatem et est. Doloremque nemo eaque asperiores doloremque velit.
Maiores veniam autem minus qui omnis et. Amet vitae excepturi accusantium. Nisi sunt rem qui sapiente voluptatum quasi. Rem occaecati quod et fugit doloribus ipsa.