/biz/ - Business & Finance

>>23623414
im gonna be honest with you, anon. right now, you should at best be day trading, or just staying on the sidelines in cash if you don't want to learn how to do that. there is waaaay too much uncertainty right now with the US elections taking place, and covid is still in full swing, maybe even worsening during the winter months. it's just really not that time to be trying to take on longer term positions, especially considering the actions of the FED with hyperinflating the market to new highs.

you want the easy answer? look at this chart. note how it didn't last long above the top line, nor the bottom line, before reversing? just put this on your chart. you want to get aggressive for some reason, you buy at the big red line, maybe just DCA in a bit (currently at 99.89). you want to know where the bottom is? it's probably around 43 if it crashes for some reason. but it might not get there, either for a long time or ever. but if it does, you can load the fucking boat. you could even wait for price to get above the 20 SMA if you want confirmation.

either way it's good to look at the 200 day and 200 hour SMA's, because tutes use them. see how price interacts with them, you'll note that it often bounces unless some serious change in fundamentals has occurred. note how even during the crash it bounced off almost exactly once.

so basically it depends on your risk tolerance and strategy in terms of DCA'ing or stop losses. obviously 10x the ATR below the 200 day SMA is probably the best price you'll ever get on any stock or ETF, but that's an extremely rare event. most years you'll be lucky to get in at the 200 itself. or even the 200 hour SMA itself. this is the sort of strategy i plan on incorporating either on the next crash if it happens, or if we ever get back to "normal" and life isn't so fucking insane like it is now with the pandemic and civil war on the horizon. use whatever strat you want but this is an extremely good reference point on anything.