How Perspective can be crucial in Trading

I review a lot of charts each week (both as prep and as the trading week progresses) and one thing is always evident: it matters what your perspective view of a chart is. I often mention the notion of “changing the lens” when viewing charts as this is so important to ensure that you don’t have a one-dimensional view of things.

To illustrate, I bring you several Daily charts of $NMFC for your review. First up is a plain Daily with no trend lines or support/resistance lines (just moving averages):NMFCNow let’s take a look at several charts with patterns on them:

NMFC_rising wedge NMFC_TL NMFC_breakout NMFC_Asc_TriAmazing huh.



3 thoughts on “How Perspective can be crucial in Trading

  1. Appears absolutely no demand exists for this stock which the tape is being painted desperately by management buy back attempts is why no trend exists to true supply/demand pressure is being applied to price.

  2. Conspiracy much? Just trade what you see, it doesnt really matter the reasons or people behind it. Price is the final arbiter.

  3. Pingback: Best Of StockTwits Network 9-7-13 | The bclund BlogThe bclund Blog

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