SMAs are the most used tools by Smart Investors to understand and track the trends.
The following is a list of the same with trend indicators
Moving Average Roadmap!👇
5 Day EMA- Strong Momentum
9 Day EMA- Trailing Stop Loss
10 Day EMA- Short Term Trend
20 Day EMA- Pullback Support
30 Day WEMA- Stage Analysis
50 Day EMA- Uptrend Defence Line
100 Day EMA- Big Price Dip
250 Day EMA- Value Zone
200
Day EMA- Long Term
It will be a good idea to look at shares which are above 100, 50, 20 EMA which indicates bullishness in the scrip.
While analyzing a stock we must have a method by looking at the above technical indicators.
The best metric to follow moving averages is VWAP which takes into consideration daily volumes, high low and closing prices.
Technical analysis will also help investors to understand the resistance and support levels.
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