iCharts Discussions

[pradeepgolfer]

COPPER HAS GONE UP FOR 1O DAYS WITHOUT BREAKING THE PREVIOUS DAYS LOW

So buy with a stop below yesterday 's low of 339.35

A reason for buying copper is that it is,in the 5 min chart, below the 240 period ma.The 240 period ma is the same as the 20 period ma on the 60 min chart.
I do not use the MA like everyone else does-I use it only after a trend is recognised.I do not use it to identify the trend.Many traders will think a break of the 20MA MEANS A TREND HAS ENDED: it does not mean that-I use it as a useful reference point.If it breaks the 20 period ma on the downside that is not a signal to sell.But every time it breaks 20 ma you should buy-THe trend has ended only after a Lower High AND A Lower Low, when you can use the breaks of the 20 ma on the 60 min chart, to identify shorting opportunities.

DEPENDING ON YOUR TIME FRAME you can change the period of the moving average.

[diwakar]

Dear Pradeep

My appreciation for your efforts to help fellow traders....

Unlike stocks commodities seems to be more technical....... Even though they are volatile....

Kindly let me know how to find out major trend reversals...

Could you please get me some material on support and resistance levels.... How to calculate major support and resistance ahead....

I think either we trade intraday or positional only when we start trading at major reversal we will be able to meet our stops and trend reversals... Stops in commodities are too costly than stocks...

Awaiting for your views....

Regards,
Diwakar R

[pradeepgolfer]

Diwaker
I will reply in more detail in other posts so please read all so that you will get the correct pespective.
You are right it is better to start trading at the start of trend.At the start it is not known whether a trend is major or not.
As far as major trend reversals are concerned there should be something to reverse so you should recognise a trend first.But I will inform you when there is enough evidence of trend change.
Also I will begin to track many more commodities so you can see if anything suits your risk profile.