I saw a comment below about a stock but I am not understanding What does SMA mean? What is a fib replacement? ------------------ The 5 day SMA is over the 10 day and about to take out the 20 day. Today's closing was nicely above the 20 day. The 50 day is coming into range to cross the 200, but still has a bit of time. Gonna have a couple of pullbacks along the way... We shouldn't see the $33's again. It tried to test the fib replacement at $34.15 and failed with volume. This is screaming buy... I saw the dip coming today, but who knew it would bump to $35 first, creating a sweet spike through the bollinger band with that fib fail volume spike at closing! ------------------------------- So what is he trying to say here?
I think "fib replacement" should read Fib Retracement...as in %50 Fib retracement, .382 Fib retracement....etc. Some people type/ say strange things when they mean something else. Before he died, my Father In Law, knowing I play Scottish Highland Bagpipes, asked me very seriously if I would play "Amazing Glove" at his funeral. Now it's a family joke.
nothing wrong with that, it might just be his advantage. nobody needs a silly calculation based on historical price data. its not how the market works. but yes, i do agree it is rare never to have come across the term after a few years
Takes a humble man to admit he doesn't know what an SMA is. No worries my friend, but, for future reference, google holds the key to unlocking many mysteries. Fib stands for Fibonacci. That's a theory in market movements that the market moves in uniform scales like the increasingly larger circles around a snail's shell as it spirals around. It's hogwash, but people use it to trade. So a Fibonacci retracement is a retracement of a certain percentage of the previous run.