RE:Weekly charts - SimplyFacts Please commentHi Kobee, thank you for the kind words, and good to see you post here. Well, it's rather simple, a daily chart attempts to show were we could be going in the next few trading sessions, while the weekly chart is the larger trend, attempting to show where we could be going in a couple of weeks to a month.
Traders use all sorts of time frames to match their trading styles. Extreme day traders use 1 and 5 minute charts and are only in the market for minutes. Longterm investors could use monthly charts to determine cycles in the year or years to come.
For me the weekly chart works best, the timing is not too short or too long. BTW, somehow the chart I posted did not come out well last night so I will attempt again below... Always have in mind that technical analysis is not a science but an art. The success of TA also depends greatly on the experience of the person using it. In the years that I have been working with TA, I have realized the more you keep it simple the better. I use only a few tools and I always know that I'm working with probabilities of an event occuring.
Below is the chart I meant to post last night (let's hope it comes out correctly this time). We obviously had a big drop, started slowly and became a waterfall ending around .11 But look what happened this week, in light of all the selling, 30 Mil shares exchanged hands, and the result was a nice push back from .11 to .145 That is a nice candlestick for the week and the stocastics below it say we are in oversold territory, so more upside for weeks to come... Having said all this, remember that there are no guarantees what I am seeing on the chart will happen.
Hope you are enjoying your weekend,
Simply