What is a simple moving average? A simple moving average of the price is a mathematical method by taking the sum of the price in the timeframe you decided to use and then divide that by the total number of the price you decided to use. An exponential moving average of price places more weight on recent price.
What is a Golden Cross? A Golden Cross is when the 50 units moving average crosses above the 200 units moving average.
Predictability of a Golden Cross? Usually Bullish
What is a Death Cross? A Death Cross is when the 50 units moving average crosses below the 200 units moving average.
Predictability of a Death Cross? Usually Bearish
Thank you for reading!
Greenfield
Disclosure: I am not a financial advisor. This is not a recommendation, not a representation, and not a solicitation. You should do your research and come to your own decision. Investment involves significant risks. You need to understand that you may lose your money. Past performance is not an indication of future performance. Chart reading is subjective information.
Thanks, much apprecitated :)
but we can conclude that a Golden cross wil always lead towards a Death cross , and a Death cross will always lead to a Golden cross.
So for any startup company which starts with below 5 dollar will quickly start with a Golden cross, till there is a moment in time that the market decides to slow it down for any kind of reason. This will follow then up with a Death cross.
If the startup company then brings on success on success i would guess that this would result in a quick turn arround to a golden cross, this due to the growth of the company/ Or it needs to go bankrupt, then its ofcourse a different story.
So in this example, for Nio the bearish moment would be shorter compared to the bullish time it was due to the growth of the company.
GreenfieldAnalysis
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@Xand3r_, Thank you for the comment on the Golden Cross and the Death Cross! Please avoid mentioning the stock or the stock symbol because this is labeled as an educational tutorial article. Not a market idea article. Thank you! Have a nice weekend!
but we can conclude that a Golden cross wil always lead towards a Death cross , and a Death cross will always lead to a Golden cross.
So for any startup company which starts with below 5 dollar will quickly start with a Golden cross, till there is a moment in time that the market decides to slow it down for any kind of reason. This will follow then up with a Death cross.
If the startup company then brings on success on success i would guess that this would result in a quick turn arround to a golden cross, this due to the growth of the company/ Or it needs to go bankrupt, then its ofcourse a different story.
So in this example, for Nio the bearish moment would be shorter compared to the bullish time it was due to the growth of the company.