#Market watch stock game series#

MACD Line: (12-day EMA - 26-day EMA), Signal Line: 9-day EMA of MACD Line, MACD Histogram: MACD Line - Signal Line As a result, the MACD offers the best of both worlds: trend following and momentum. The MACD turns two trend-following indicators, moving averages, into a momentum oscillator by subtracting the longer moving average from the shorter moving average. RSI = 100 - (100/1+RS) RS = Average Gain / Average Loss RSI compares the average price change of the advancing periods with the average change of the declining periods. Oscillators like RSI help identify overbought and oversold Markets. There are a number of different types of moving averages that vary in the way they are calculated, but each average is interpreted in the same way (Exponential Moving Average (EMA) is similar to SMA, just that it uses a smoothing factor to place higher weight on recent prices). Simple Moving Average SMA (15) = average of last 15 closing prices. Indicators serve three broad functions: to alert, to confirm and to predict.Ī moving average is the average price over a set period of time. Some indicators also incorporate volume and open interest. Price data includes any combination of the open, high, low or close over a period of time.

#Market watch stock game series#

Demand is synonymous with bullish, bulls and buying.Ī technical indicator is a series of data points that are derived by applying a formula to the price data of a security. Supply is synonymous with bearish, bears and selling. In the financial markets, prices are driven by excessive supply (down) and demand (up). Support and resistance represent key junctures where the forces of supply and demand meet. The general rule is that it takes two points to draw a trend line and the third point confirms the validity. Trendline is an important tool for both trend identification and confirmation.

Always trade in the direction of the trend, buy the dips if the trend is up and sell the rallies if the trend is down. The time frame can be intraday (1min, 5min, 30 min etc.) or daily, weekly, monthly etc.Ī line chart just represents the close price whereas a candlestick or a bar chart represent all the open, close, high and low prices.ĭetermine the trend and follow it (it may not always trend). The objective is to forecast the direction of the future price.Ī chart is simply a graphical depiction of price over a specific time frame. The price is the end result of the battle between the forces of supply and demand. Market price reflects the sum knowledge of all the participants. Why does the price go up? It is simple, more buyers (demand) than sellers (supply) It is applicable to any tradable instrument where the price in influenced by the forces of supply and demand.

Beat a simple buy and hold strategy with your technical expertise.īy looking at only the price movements, Technical Analysis studies the supply and demand in a market to anticipate what is likely to happen to the prices.

(If the price appreciates by 1.5 times, the game will make a 'margin call' and exit the short position). Margin Call, enabled by default helps you to limit your losses while in 'Short' position.

Transactions may run over many game days.Įnable Stop-Loss to automatically trigger an exit/sell transaction once a specified price level (stop loss % defined by you) is reached.

Take actions (Buy, Sell, Short, Exit, Next-Day) and keep moving to the next game day.

All orders placed on any day would be executed at next day's open price.

All transactions will involve a brokerage cost of 0.1%.

the only type of order possible is to buy or sell the entire position)

Your entire money will be used for transactions (i.e.

The data on the Charts is already adjusted for events like splits, bonus, dividends etc.

These Technical Charts are based on End of the Day (EOD) data.