Standard Chattered shares (LSE:STAN) are under heavy selling
pressure, which would continue in the year 2016.
4 EMAs are used for this analysis and they are EMAs 10, 20, 50, and
200. The color that stands for each EMA is show at the top left side of the
chart. It can be seen that all the EMAs are sloping downwards, while forays
into the EMA 10 or 20 brings further southward movement.
As long as the price does not cross the EMA 200 to the upside, the
bearish outlook on the market would be valid.
Please read the long quote below, taken from www.tradingeducators.com. It shows
a great insight into what traders should be doing right now.
This forecast is ended by the quote below:
“Many long-term traders and
investors have trouble selling a losing position. It's hard to admit that you
have made a mistake. There is a natural, human tendency to deny you've made a
mistake, and thus, it is easier to leave losses on paper. When a loss is left
on paper, unless it is part of your trading plan, you can tell yourself that
circumstances will turn around. You can hope against hope that you'll end up
profitable in the end. What usually happens, though, is that you hold the
position and it loses even more money, and then the need to deny the loss and
hold it is even stronger. Behavioral economists call this ailment the 'sunk
cost effect.' When you sink enough money in a trade or an investment, you want
to believe that it was worth it. Sunk costs effects happen in everyday life as
well as in business.” – Joe Ross (Source: Tradingeducators.com)
Azeez Mustapha
Market Analyst, Trading Signals Provider and Coach
What Super Traders
Don’t Want You To Know: Super Traders
Buy and sell Neteller here; get funded quickly: www.ituglobalfx.com.ng
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