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Moving average to uptrend
Moving
Average A tool
used to smooth fluctuations, allowing you to
better determine price trends.
Optimization A
test performed on historical data to determine what
would have resulted in the maximum profit during a given period
of time.
Point and Figure Chart
Records price activity
without reference to time
and volume.
Pullback When
a security or the overall market falls back from a
previous advance.
Resistance Level
The price at which sellers
tend to sell in sufficient
volume to lower the price of a security.
Selling Climax A
sharp price decline followed by extremely high volume
created by panic stricken investors dumping securities.
Short Covering The
process of buying stock to close out a short sale.
Support Level The
price at which buyers tend to buy in sufficient
volume to raise the price of a security.
Technician One
who uses technical analysis as the basis for making
investment decisions.
Top A
high for a security or the overall market.
Trend The
trend is the direction of the price movement.
Trend-line A
straight line on a chart that connects consecutive tops or
consecutive bottoms of prices.
Uptrend When
the price of a security or the overall market is rising.
Volume Number
of shares traded in a security or market
in a given time.
Whipsaw Occurs
when a trading technique
produces many buy and
sell
signals in a small range that do not follow-thru in the predicted
direction.
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