mahikarnam

Your market timing strategy is critical to your success as a swing trader. When the stock market rallies, 3 out of 4 stocks will move up with the market. On the other hand, when the market sells off, 3 out of 4 stocks will decline with it. Knowing this, doesn’t it make sense to time your trades to the market? YES!
Market Timing Using Moving Averages

The first thing you want to look at is a chart of the major indices. Look at the 10 sma and 30 ema to determine if you should be focusing on long positions or short positions. Here are the rules for timing your trades to the market using moving averages.

If the 10 sma is above the 30 ema, you should be focusing on long positions only.

If the 10 sma is below the 30 ema, you should be focusing on short positions only.