Predict Stock Market Direction Each Day. The stock market is the most unpredictable platform for investment. The investors come here to invest in the long term or for the short term. Investors find more quick earnings from trading than investments. Investment is a long process but trading is the quickest process. Investors invest their money for the long term and the traders invest their money for the short term. The trading could be one trading session or 15 min too. Trading is the quickest way to earn profits.
Traders who trade every day during the whole trading session they need the skill to Predict Stock Market Direction Each Day. The market movements depends on many things. There could be political relations, economic situations or global eco-political matters. So you need to understand the market momentums. The market directions are not always on the same that you predicted, it may also behaves to your oppose. There you need a accurate indicator which can give you the perfect market direction strategy. In this article we will guide you with the perfect indicators with example. This theory is totally based upon our experience that we got from 10 years of trading experience.
Predict Stock Market Direction Each Day
The stock market is the most undecidable investment option. It is almost impossible for any experienced trader to predict the stock market 100% accurately. But they can give a brief experience depending upon their experience. Here we will share the same experience and what they use to predict market movement as the indicator. We are mentioning the must factors for the market prediction.
Put Call Ratio (PCR)
PCR or Put Call Ratio is the perfect indicator of the market emotions. It shows the trader’s interest or their open traded orders for any stock, security, ETFs, or indexes. In the picture, you can see that there are a lot of put and call orders for a specific strike price. It shows that how the traders are putting their orders for the stock on a strike point. If you take any stock or any indices, you will see
The PCR is calculated by the put and call order numbers. The total call orders will be divided by the put orders. If the value comes over 1 then you can buy the stock or the derivative. Or if the value comes under 1 then you can sell the stock or do short selling.
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15 Min Charting
Predict Stock Market Direction Each Day is the most efforted and skilled work. You can do it by 15 chart analysis. Chart analysis can give you the current view of the market. Traders hold their position for a short time and they doesn’t wait for any long term. They look for the short timings trade. So 15 min chart analysis is the best indicator for Predict Stock Market Direction Each Day.
Open Interest (OI)
Open interest is the numbers of the orders placed by the traders. They have placed their bid to any certain position. To Predict Stock Market Direction Each Day open interest can give you the details of the levels and how the traders have guesses the market direction. The option seller pre decided the price of the option and the traders placed their orders of Open interest. These open interests predict market movement, as it shows the market resistance or the directional movement.
The stock markets always moves depending on some factors. These might be economical, political or global factors. So always keep an eye on the global markets or the local political news also. There are good news and bad news which will impact on the market movement such as the economic results, GDP, unemployment etc.
Predict Market Movement
The stock market movement is predicted by using some indicator. These are used and analysed by the traders. They are used to use it. The professional and experienced traders use the tools to predict market movement and invest their money according to it. We have already discussed all the best methods and tools that helped you. There are other indicators that many traders use. It are in purchase. But the best recommendation is to make the prediction by your self and invest according to it.
Protect from Market Crash
Herer we have described how you can predict stock market direction each day. But there is a risk factors also that effects on the market. To manage these factors you need to get the risk managing factors. Because these will protect you from the market crash. Traders initially do not use the protecting methods, but after they got experience they started using it. Before you get lose any money I will give you the best ways to protect your self from the market crash, because predict stock market direction each day does not go to your way every day.
Use Stop Loss
Stop loss is the best protector for you r money while you do trading. When you place a sell order this might not go as to your prediction. The market can move in the very opposite direction. If you place a stop loss it will help you to exit at the right point and you can save your self from the crash.
Never Do Over Trade
Patience is the key of become successful in stock market. Some times people do or try to over trade in a volatile market. When they face any quick loss then they try to do over trade t recover their loss. But this is wrong way. As the day wouldn’t be yours so doing over trade doesn’t make your recovery. Try to prevent your self from the over trading. Predict stock market direction each day is not so easy, because market movements regularly changes. Predict market movement will never be 100% accurate.
Stock market is not a cup of tea for every one. You need to be very skilled and knowledgeable. Keep in mind always that stock market is always away from our reach. So just be patient and make your investment in a consistence manner. While you trade never take over risk. Taking over risk is not the smartest way to trade. Understanding the market and then make your trade is the best way for trading. Always remember, “Buy when your are sure and sell when you are confused”. This means that when you are sure for your trade buy it and sell it when you are not sure. Never take risk for 5 -6 points.
1. Is it possible to predict market movement?
Yes, it is possible but not for 100%. You can partially predict the stock market by using some indicators.
2. Which direction is best for trading?
There is no perfect answer for this. But if you belief in the astrology then they say seat and facing to North while trading is best.
3. Can AI be used to predict stock market?
Some advanced AI have produced some immensely stock market prediction. But it is to be advised that depending on AI, invest in stock market is never be a great option.
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