MACD lead by Rahul Chaudhary

lakshmanan c (6/26/2010 8:07:23 PM): conf just started ,i think,sir
dhanvarshagrp (6/26/2010 8:08:05 PM): u r the first visitor ... i invited all om ur demand
dhanvarshagrp (6/26/2010 8:08:36 PM): sending sms to Join for off line members
David S (6/26/2010 8:09:23 PM): hello
dhanvarshagrp (6/26/2010 8:09:34 PM): hi david
lakshmanan c (6/26/2010 8:10:01 PM): suzlon fut jul which i bought @58.05 i have sold @58.75 and again i bought it @58.05 and i am still holding on
dhanvarshagrp (6/26/2010 8:10:28 PM): gr8
lakshmanan c (6/26/2010 8:14:58 PM): sir, mondays strategy due to oil price hike
dhanvarshagrp (6/26/2010 8:16:33 PM): see we will discuss it let reactions of maximum big economists may come on air
lakshmanan c (6/26/2010 8:16:48 PM): o,k.sir
David S (6/26/2010 8:16:57 PM): ok sir
dhanvarshagrp (6/26/2010 8:17:05 PM): what is ur view on it
lakshmanan c (6/26/2010 8:18:12 PM): oil stocks may rise again and weakness in reality
David S (6/26/2010 8:18:43 PM): if nifty moves up suzlon may touch 91-95 by this year end
dhanvarshagrp (6/26/2010 8:19:14 PM): ya i too seeing that dlf came down slightly
David S (6/26/2010 8:20:27 PM): did suzlon had a stock split or bonus in last 3 years??
lakshmanan c (6/26/2010 8:20:38 PM): it may be for a short period,i think sir
dhanvarshagrp (6/26/2010 8:21:21 PM): ya but suzlon was at 144
David S (6/26/2010 8:22:06 PM): if not then may cross 200 by 2013
dhanvarshagrp (6/26/2010 8:22:47 PM): but what is the base of ur prediction
David S (6/26/2010 8:23:36 PM): suzlon had losses & infra hickups in last 3 years
David S (6/26/2010 8:23:58 PM): now if alternative power is encouraged
David S (6/26/2010 8:24:21 PM): & incentives provided at current rate
David S (6/26/2010 8:24:58 PM): it might go back to the highs of last 3 years
dhanvarshagrp (6/26/2010 8:25:29 PM): is there any news on it ?
David S (6/26/2010 8:25:33 PM): which is 1225
dhanvarshagrp (6/26/2010 8:29:17 PM): ye david please carry on
David S (6/26/2010 8:30:12 PM): is the other room active sir??
David S (6/26/2010 8:30:38 PM): i should i past all here??
David S (6/26/2010 8:31:02 PM): aneedavid22 (26/06/2010 8:18:20 PM): if nifty moves up suzlon may touch 91-95 by this year end aneedavid22 (26/06/2010 8:18:21 PM): if nifty moves up suzlon may touch 91-95 by this year end dhanvarshagrp (26/06/2010 8:18:52 PM): ya i too seeing that dlf came down slightly aneedavid22 (26/06/2010 8:20:04 PM): did suzlon had a stock split or bonus in last 3 years?? aneedavid22 (26/06/2010 8:20:05 PM): did suzlon had a stock split or bonus in last 3 years?? laxman_jkl (26/06/2010 8:20:15 PM): it may be for a short period,i think sir dhanvarshagrp (26/06/2010 8:20:59 PM): ya but suzlon was at 144 aneedavid22 (26/06/2010 8:21:44 PM): if not then may cross 200 by 2013 aneedavid22 (26/06/2010 8:21:44 PM): if not then may cross 200 by 2013 dhanvarshagrp (26/06/2010 8:22:25 PM): but what is the
David S (6/26/2010 8:31:35 PM): aneedavid22 (26/06/2010 8:23:14 PM): suzlon had losses & infra hickups in last 3 years aneedavid22 (26/06/2010 8:23:14 PM): suzlon had losses & infra hickups in last 3 years aneedavid22 (26/06/2010 8:23:36 PM): now if alternative power is encouraged aneedavid22 (26/06/2010 8:23:36 PM): now if alternative power is encouraged aneedavid22 (26/06/2010 8:23:59 PM): & incentives provided at current rate aneedavid22 (26/06/2010 8:23:59 PM): & incentives provided at current rate aneedavid22 (26/06/2010 8:24:36 PM): it might go back to the highs of last 3 years aneedavid22 (26/06/2010 8:24:36 PM): it might go back to the highs of last 3 years dhanvarshagrp (26/06/2010 8:25:07 PM): is there any news on it ? aneedavid22 (26/06/2010 8:25:10 PM): which is 1225
David S (6/26/2010 8:32:00 PM): which is 1225 aneedavid22 (26/06/2010 8:25:44 PM): so i asked if there was stock split r bonus issue aneedavid22 (26/06/2010 8:25:44 PM): so i asked if there was stock split r bonus issue aneedavid22 (26/06/2010 8:26:16 PM): sorry, 1225 was dlf aneedavid22 (26/06/2010 8:26:17 PM): sorry, 1225 was dlf aneedavid22 (26/06/2010 8:26:37 PM): suzlon was 410 aneedavid22 (26/06/2010 8:26:38 PM): suzlon was 410 aneedavid22 (26/06/2010 8:27:15 PM): so over 2+ years it might gain atleast hsalf.. aneedavid22 (26/06/2010 8:27:15 PM): so over 2+ years it might gain atleast hsalf.. aneedavid22 (26/06/2010 8:27:32 PM): its down 30+rs since jan aneedavid22 (26/06/2010 8:27:33 PM): its down 30+rs since jan aneedavid22 (26/06/2010 8:28:03 PM): This is absoluthy pure guess work
Dhanvarsha Group (6/26/2010 8:32:03 PM): it is the same just msgr shifted to laptop
David S (6/26/2010 8:32:17 PM): ok
David S (6/26/2010 8:32:30 PM): This is absoluthy pure guess work aneedavid22 (26/06/2010 8:28:03 PM): This is absoluthy pure guess work aneedavid22 (26/06/2010 8:28:29 PM): nothing aneedavid22 (26/06/2010 8:28:29 PM): nothing aneedavid22 (26/06/2010 8:28:51 PM): technica r fundamantle here aneedavid22 (26/06/2010 8:28:52 PM): technica r fundamantle here aneedavid22 (26/06/2010 8:29:21 PM): i think this is how the tv annalysts do it aneedavid22 (26/06/2010 8:29:21 PM): i think this is how the tv annalysts do it
lakshmanan c (6/26/2010 8:32:31 PM): o,k,sir
David S (6/26/2010 8:33:10 PM): For any meaningfull analsys i will turn to Guruji to make gains
Dhanvarsha Group (6/26/2010 8:33:33 PM): but guess work not work in the mkt na
dhanvarshagrp (6/26/2010 8:34:21 PM): yes mr ritendra
David S (6/26/2010 8:34:34 PM): Watching tv all this days i have percived this is how the tv bigshots communicate & we simple small timmers fall for the big talk
Ritendra Goel (6/26/2010 8:35:02 PM): fine sir
dhanvarshagrp (6/26/2010 8:35:27 PM): what is ur view on the suzlon
David S (6/26/2010 8:35:27 PM): I would rather be happy to Just follow sirs Guidance & make some Profit.
Ritendra Goel (6/26/2010 8:35:53 PM): I have not started anything now but I am trying to find out meaning from the conference
Arvind Gandhi (6/26/2010 8:36:42 PM): hello
Ritendra Goel (6/26/2010 8:36:56 PM): I think suzlon must gain as the need of time for power sector
dhanvarshagrp (6/26/2010 8:37:01 PM): hi mr Gandhi welcome here
David S (6/26/2010 8:37:04 PM): Wishing Uall a great time.
Arvind Gandhi (6/26/2010 8:37:14 PM): ys
David S (6/26/2010 8:37:52 PM): My bro is come from bangalore, going out for supper, Will Take leave. Have a great weelend all.
dhanvarshagrp (6/26/2010 8:38:12 PM): thanks
David S (6/26/2010 8:38:13 PM): Pls read it as :-- weekend all.
David S (6/26/2010 8:38:18 PM): bye
Arvind Gandhi (6/26/2010 8:38:24 PM): bye
dhanvarshagrp (6/26/2010 8:44:27 PM): now mr gandhi please share ur experiance with us if u dont mind
Arvind Gandhi (6/26/2010 8:45:04 PM): i first used your opion in tatasteel
dhanvarshagrp (6/26/2010 8:45:10 PM): sorry Gandhi
Arvind Gandhi (6/26/2010 8:45:22 PM): i basically trading in optiosn
Arvind Gandhi (6/26/2010 8:45:34 PM): only buy and then sell
dhanvarshagrp (6/26/2010 8:45:41 PM): ok
Arvind Gandhi (6/26/2010 8:46:28 PM): and started earning but always setteling forr small profits
Arvind Gandhi (6/26/2010 8:47:12 PM): because opition are time sensitive
Dhanvarsha Group (6/26/2010 8:47:13 PM): ok
Dhanvarsha Group (6/26/2010 8:47:23 PM): true
Arvind Gandhi (6/26/2010 8:47:36 PM): i can not hold for long time
Arvind Gandhi (6/26/2010 8:48:29 PM): and as trading capital is small taking out of money options
Dhanvarsha Group (6/26/2010 8:49:00 PM): ya
Arvind Gandhi (6/26/2010 8:49:15 PM): but now i am getting better returns
Dhanvarsha Group (6/26/2010 8:49:30 PM): now means ?
Arvind Gandhi (6/26/2010 8:50:14 PM): more profitable trades.
Arvind Gandhi (6/26/2010 8:50:25 PM): and less losing trades
Arvind Gandhi (6/26/2010 8:51:13 PM): it was your advice to get out of rel cap option which saved nme from huge loss
Arvind Gandhi (6/26/2010 8:52:05 PM): though rel cap was going down put option was going down
dhanvarshagrp (6/26/2010 8:52:24 PM): ya i was shoked when i saw only three lots traded in three hrs
dhanvarshagrp (6/26/2010 8:52:55 PM): and we paid 40 rs premium
dhanvarshagrp (6/26/2010 8:53:16 PM): means break even 721
Arvind Gandhi (6/26/2010 8:53:20 PM): under normal situatiobn i could have hold the option and lost. but thanks sirji you saved me
Arvind Gandhi (6/26/2010 8:53:41 PM): ys
dhanvarshagrp (6/26/2010 8:54:29 PM): but i feel it was gr8 decision of both of us
dhanvarshagrp (6/26/2010 8:54:58 PM): and todays scene it was a boon
Arvind Gandhi (6/26/2010 8:55:00 PM): in morning you said about a article.
Arvind Gandhi (6/26/2010 8:55:07 PM): where can get it
dhanvarshagrp (6/26/2010 8:55:11 PM): coz rcap is above 780
Arvind Gandhi (6/26/2010 8:55:27 PM): ys
dhanvarshagrp (6/26/2010 8:56:18 PM): so some times a small loss can save our huge capital
Arvind Gandhi (6/26/2010 8:56:28 PM): ys
Arvind Gandhi (6/26/2010 8:56:39 PM): that i understood now
dhanvarshagrp (6/26/2010 8:57:14 PM): but my advice to all of u is avoid cash and options trading
dhanvarshagrp (6/26/2010 8:57:54 PM): means please do not buy options till we r not seeing a fast move in intraday
dhanvarshagrp (6/26/2010 8:58:22 PM): trade in futures only
dhanvarshagrp (6/26/2010 8:59:02 PM): select small lots
dhanvarshagrp (6/26/2010 8:59:37 PM): fut futures are best for gr8 returns
Arvind Gandhi (6/26/2010 9:01:34 PM): but i cannot do it right now
dhanvarshagrp (6/26/2010 9:02:37 PM): yes we will plan trades for u
Arvind Gandhi (6/26/2010 9:02:43 PM): futures are easy to operate
Arvind Gandhi (6/26/2010 9:03:06 PM): thanks
dhanvarshagrp (6/26/2010 9:03:28 PM): boost ur capital then shift to futures trading
Arvind Gandhi (6/26/2010 9:03:31 PM): now i have tow postions
dhanvarshagrp (6/26/2010 9:03:46 PM): what r they
dhanvarshagrp (6/26/2010 9:03:55 PM): r com and
Arvind Gandhi (6/26/2010 9:04:03 PM): rcom put 180 at 6.90 and 5300 call at 115
dhanvarshagrp (6/26/2010 9:04:10 PM): ok
dhanvarshagrp (6/26/2010 9:05:04 PM): i feel both will give u nice gains on monday
Arvind Gandhi (6/26/2010 9:06:20 PM): ys i am sure they will
dhanvarshagrp (6/26/2010 9:08:14 PM): i think both news are digested by ppl in two days
Arvind Gandhi (6/26/2010 9:08:35 PM): ys
Arvind Gandhi (6/26/2010 9:08:52 PM): FII very positive last one week
dhanvarshagrp (6/26/2010 9:09:34 PM): my experiance is old news always went in depth in 2 to 3 days
Arvind Gandhi (6/26/2010 9:09:35 PM): i will back in few min
dhanvarshagrp (6/26/2010 9:09:44 PM): k
dhanvarshagrp (6/26/2010 9:09:58 PM): mr goel
Ritendra Goel (6/26/2010 9:10:22 PM): yes
dhanvarshagrp (6/26/2010 9:10:51 PM): is chart nexus workng on ur pc
Arvind Gandhi (6/26/2010 9:11:29 PM): ys
Arvind Gandhi (6/26/2010 9:11:43 PM): i have meta stock on my pc
lakshmanan c (6/26/2010 9:11:49 PM): i have downloaded yesterday
dhanvarshagrp (6/26/2010 9:11:55 PM): r u back ?
Ritendra Goel (6/26/2010 9:12:08 PM): sirji, it is still creating problem. I am trying to load it on another pc
lakshmanan c (6/26/2010 9:12:12 PM): chartnexus
Ritendra Goel (6/26/2010 9:12:18 PM): inform u in a minute
dhanvarshagrp (6/26/2010 9:12:25 PM): ok
dhanvarshagrp (6/26/2010 9:12:33 PM): laxmanji
dhanvarshagrp (6/26/2010 9:12:47 PM): ur sw is ok
lakshmanan c (6/26/2010 9:13:04 PM): ys
dhanvarshagrp (6/26/2010 9:13:27 PM): is it updated till 25 th june
lakshmanan c (6/26/2010 9:13:48 PM): ys today i made it
dhanvarshagrp (6/26/2010 9:14:16 PM): gr8 . u too interested in learning na
lakshmanan c (6/26/2010 9:14:26 PM): ys,sir
dhanvarshagrp (6/26/2010 9:14:32 PM): ok
dhanvarshagrp (6/26/2010 9:15:11 PM): so mr gandhi will u please tell us how u read the stock charts
Arvind Gandhi (6/26/2010 9:20:10 PM): i am back
Arvind Gandhi (6/26/2010 9:21:21 PM): i put macd RSI amd 13day ema and 21day ema
dhanvarshagrp (6/26/2010 9:21:43 PM): on eod charts
Arvind Gandhi (6/26/2010 9:21:51 PM): ys
dhanvarshagrp (6/26/2010 9:22:05 PM): and
Arvind Gandhi (6/26/2010 9:22:21 PM): for intraday i use trade-tiger from share khan
Arvind Gandhi (6/26/2010 9:24:15 PM): your are a indicator gmm what it is
dhanvarshagrp (6/26/2010 9:24:20 PM): please teach all of us ... coz the matter i will upload at aangan and i think lot of trader will be benefited in future
Arvind Gandhi (6/26/2010 9:25:03 PM): oh no
Arvind Gandhi (6/26/2010 9:25:14 PM): i am no good at that
Arvind Gandhi (6/26/2010 9:26:12 PM): i know some buying selling signals but no confidance in own analysis
dhanvarshagrp (6/26/2010 9:27:00 PM): true but here we will improve it
Arvind Gandhi (6/26/2010 9:27:11 PM): ys
Arvind Gandhi (6/26/2010 9:29:55 PM): for instance rcom analyis i could not have taken any decesion
dhanvarshagrp (6/26/2010 9:31:38 PM): means
Arvind Gandhi (6/26/2010 9:33:42 PM): macd has not given sell signal so no sell
Arvind Gandhi (6/26/2010 9:35:07 PM): rsi and wlliams r are no given visible signal but but have rightly pointed out
dhanvarshagrp (6/26/2010 9:37:00 PM): where
Arvind Gandhi (6/26/2010 9:37:47 PM): rsi and williams are gradually reducing
Arvind Gandhi (6/26/2010 9:38:08 PM): the momentum will increase in a day or two
Arvind Gandhi (6/26/2010 9:38:27 PM): which u pointed out
dhanvarshagrp (6/26/2010 9:40:10 PM): ok
Arvind Gandhi (6/26/2010 9:40:39 PM): this i could not notice
dhanvarshagrp (6/26/2010 9:43:44 PM): see in mkt if u want to win u must care all indicators
Arvind Gandhi (6/26/2010 9:43:45 PM): gmma is group moving average?
Arvind Gandhi (6/26/2010 9:43:57 PM): ok
dhanvarshagrp (6/26/2010 9:44:12 PM): will it rise ??

Arvind Gandhi (6/26/2010 9:45:32 PM): not sure above 5388 whcich is 61% of great fall 6300 to2200
dhanvarshagrp (6/26/2010 9:48:52 PM): ok
dhanvarshagrp (6/26/2010 9:52:41 PM): gmma
dhanvarshagrp (6/26/2010 9:53:05 PM): is guppy multiple moving average
Arvind Gandhi (6/26/2010 9:53:23 PM): ok
dhanvarshagrp (6/26/2010 9:54:50 PM): ok last 5 minutes will wind up i think
Arvind Gandhi (6/26/2010 9:55:16 PM): ys
dhanvarshagrp (6/26/2010 9:55:36 PM): any update any news
Arvind Gandhi (6/26/2010 9:55:57 PM): do you take any reference to fibbonacci level
dhanvarshagrp (6/26/2010 9:56:24 PM): means
Arvind Gandhi (6/26/2010 9:57:03 PM): while deciding lvevels
Rahul Chaudhary (6/26/2010 10:00:17 PM): Hi all
Shankar (6/26/2010 10:00:23 PM): hi
Rahul Chaudhary (6/26/2010 10:01:45 PM): Sir nice article on Moving Average and EMA on aangan'
dhanvarshagrp (6/26/2010 10:02:13 PM): is it helpful na
Rahul Chaudhary (6/26/2010 10:02:35 PM): Yes sir
Ritendra Goel (6/26/2010 10:02:51 PM): yes sir
lakshmanan c (6/26/2010 10:03:25 PM): ys
Rahul Chaudhary (6/26/2010 10:03:27 PM): I studied 3 indicators today in depth -
dhanvarshagrp (6/26/2010 10:03:37 PM): which all
Rahul Chaudhary (6/26/2010 10:03:48 PM): MACD, CCI AND RSI
Rahul Chaudhary (6/26/2010 10:04:33 PM): SIr i took a monthly data and tried a formula - I found that if we combine all 3 - it gives very good result
dhanvarshagrp (6/26/2010 10:05:04 PM): gr8
dhanvarshagrp (6/26/2010 10:05:29 PM): saari dunia ka bhala kardo fir
Rahul Chaudhary (6/26/2010 10:06:32 PM): Sir i think MACD is god for us

dhanvarshagrp (6/26/2010 10:07:19 PM): ok macd but teach relegiously
Arvind Gandhi (6/26/2010 10:07:27 PM): any particular values for Macd, CCI and RSI
Rahul Chaudhary (6/26/2010 10:07:50 PM): Formula = Buy if MACD >0 , CCI>100, and RSI>35
Rahul Chaudhary (6/26/2010 10:08:06 PM): All are and
Rahul Chaudhary (6/26/2010 10:08:14 PM): All 3 have to be met
Arvind Gandhi (6/26/2010 10:08:22 PM): ok
Arvind Gandhi (6/26/2010 10:08:40 PM): sell when?
Rahul Chaudhary (6/26/2010 10:10:06 PM): Sell if MACD<0 and CCI<-100 and RSI <70
Rahul Chaudhary (6/26/2010 10:10:59 PM): Ok guys now i will be telling you what i learnt about MACD - Sir do i have permission
Rahul Chaudhary (6/26/2010 10:11:32 PM): Check - CCI should be below - 100
dhanvarshagrp (6/26/2010 10:11:39 PM): yes
Rahul Chaudhary (6/26/2010 10:12:18 PM): MACD = Moving Average Convergence and Divergence
Rahul Chaudhary (6/26/2010 10:12:52 PM): Actually drawn by taking the difference of 12 day EMA and 26 day EMA
Rahul Chaudhary (6/26/2010 10:14:29 PM): It is better than the normal moving averages - As it gives signals faster than the normal MA
Rahul Chaudhary (6/26/2010 10:15:19 PM): MACD is drawn over a 9 day EMA - which is called the signal line
Rahul Chaudhary (6/26/2010 10:16:32 PM): EMA allready is explained in Aangan
Rahul Chaudhary (6/26/2010 10:16:54 PM): Now How to trade with MACD
Rahul Chaudhary (6/26/2010 10:17:40 PM): 1) MACD AND SIGNAL LINE CROSSOVER
Rahul Chaudhary (6/26/2010 10:18:47 PM): When the MACD crooses above the signal line - the blue line( 9 day EMA line) it is a bullish signal but during the day
Rahul Chaudhary (6/26/2010 10:19:21 PM): this is a lagging indicator so might give false signals , SO
Rahul Chaudhary (6/26/2010 10:19:44 PM): Sir aap Hon
Rahul Chaudhary (6/26/2010 10:20:14 PM): Should i continue
dhanvarshagrp (6/26/2010 10:21:29 PM): yes carry on
Arvind Gandhi (6/26/2010 10:21:33 PM): sure
Rahul Chaudhary (6/26/2010 10:21:48 PM): ok
Rahul Chaudhary (6/26/2010 10:22:17 PM): 2) MACD CROSSING ZERO LINE
Rahul Chaudhary (6/26/2010 10:23:19 PM): SO MACD crossing above the zero line will be the sure shot signal to initiate a buy - The third point is even better
Rahul Chaudhary (6/26/2010 10:23:35 PM): 3) MACD Divergence
Rahul Chaudhary (6/26/2010 10:24:47 PM): If you see that the prices are falling but MACD is flat and not declining - Then be sure for a trend reversal - The prices will definitely shoot up - The prices will follow the direction of the MACD
dhanvarshagrp (6/26/2010 10:25:36 PM): gr8
Rahul Chaudhary (6/26/2010 10:25:41 PM): The 2nd and 3rd point work wonders - But as it is a lagging indicator it has to be used in conjunction with CCI por RSI
Rahul Chaudhary (6/26/2010 10:25:58 PM): Basically to know overbought and oversold zones
Rahul Chaudhary (6/26/2010 10:26:26 PM): Developed by Gerald Appel in the late seventies, Moving Average Convergence-Divergence (MACD) is one of the simplest and most effective momentum indicators available. MACD turns two trend-following indicators, Moving averages , into a momentum oscillator by subtracting the longer moving average from the shorter moving average. As a result, MACD offers the best of both worlds: trend following and momentum. MACD fluctuates above and below the zero line as the moving averages converge, cross and diverge. Traders can look for signal line crossovers, centerline crossovers and divergences to generate signals. Because MACD is unbounded, it is not particular useful for identifying overbought and oversold levels. Standard MACD is the 12-day Exponential Moving Average (EMA) less the 26-day EMA. Closing prices are used to form the moving averages so MACD is based on closing prices. A 9-day EMA of MACD is plotted along side to act as a signal line to identify turns in the indicator. The MACD-Histogram represents the difference between MACD and its 9-day EMA, the signal line. The histogram is positive when MACD is above its 9-day EMA and negative when MACD is below its 9-day EMA.
Signal line crossovers are the most common MACD signals. The signal line is a 9-day EMA of MACD. As a moving average of the indicator, it trails MACD and makes it easier to spot turns in MACD. A bullish crossover occurs when MACD turns up and crosses above the signal line. A bearish crossover occurs when MACD turns down and crosses below the signal line. Crossovers can last a few days or a few weeks, it all depends on the strength of the move that causes the crossover.
Centerline crossovers are the next most common MACD signals. A bullish centerline crossover occurs when MACD moves above the zero line to turn positive. This happens when the 12-day EMA of the underlying security moves above the 26-day EMA. A bearish centerline crossover occurs when MACD moves below the zero line to turn negative. This happens when the 12-day EMA moves below the 26-day EMA.

MACD is special because it brings together momentum and trend in one indicator. This means MACD will never be far removed from price action. MACD's unique blend of trend and momentum can be applied to daily, weekly or monthly charts. The standard setting for MACD is the difference between the 12 and 26-period EMAs. Chartists looking for more sensitivity may try (5,35,5). Chartists looking for less sensitivity may consider (20,50,10). A less sensitive MACD will still oscillate above/below zero, but the centerline crossovers and signal line crossovers will be less frequent.

MACD is not particularly good for identifying overbought and oversold levels. Even though it is possible to identify levels that historically represent overbought and oversold, MACD does not have any upper or lower limits to bind its movement. MACD can continue to overextend beyond historical extremes.

MACD calculates the absolute difference between two moving averages and not the percentage difference. A 20 Rs stock may have a MACD range of -1.5 to 1.5, while a 100  Rs stock may have a MACD range from -10 to +10. It is not possible to compare MACD for securities that vary in price. An alternative is to use the Percentage Price Oscillator (PPO), which shows the percentage difference between two moving averages.This is my learning today

Arvind Gandhi (6/26/2010 10:27:00 PM): thanks
Rahul Chaudhary (6/26/2010 10:27:46 PM): Say thanks to sir - he has motivated me to learn and share
Rahul Chaudhary (6/26/2010 10:27:50 PM): thanks
Arvind Gandhi (6/26/2010 10:28:41 PM): sure
Arvind Gandhi (6/26/2010 10:29:12 PM): he deserves grand salute from me
Rahul Chaudhary (6/26/2010 10:30:06 PM): Salute from me also
dhanvarshagrp (6/26/2010 10:30:25 PM): please note this all will be updated at aangan asap
Arvind Gandhi (6/26/2010 10:30:35 PM): ys
dhanvarshagrp (6/26/2010 10:31:12 PM): and i will try to add some more info with nice relevant charts
Arvind Gandhi (6/26/2010 10:31:42 PM): thats nice of you
Rahul Chaudhary (6/26/2010 10:31:43 PM): Thank You sir
dhanvarshagrp (6/26/2010 10:32:14 PM): i want please prepare some more indicaors to discuss here at free time will help u all
Rahul Chaudhary (6/26/2010 10:32:38 PM): Sure Sir
Dhanvarsha Group (6/26/2010 10:39:31 PM): it is 10.45 now ...so will close na ??
Arvind Gandhi (6/26/2010 10:40:00 PM): ys
Dhanvarsha Group (6/26/2010 10:40:01 PM): or u will chat more ?
Rahul Chaudhary (6/26/2010 10:40:21 PM): ok sir
Arvind Gandhi (6/26/2010 10:40:28 PM): It is time to think on what we learned
Dhanvarsha Group (6/26/2010 10:40:29 PM): now formal is over
Dhanvarsha Group (6/26/2010 10:41:15 PM): u can share ur where abouts
lakshmanan c (6/26/2010 10:47:29 PM): gn,sir
dhanvarshagrp (6/26/2010 10:54:15 PM): ok gn friends
Arvind Gandhi (6/26/2010 10:54:32 PM): ok bye
Arvind Gandhi (6/26/2010 10:54:39 PM)