While trading, I usually use MA-20 as a sell signal for stocks which already started running from a long base.
It doesn't mean that the stock will go down further. When I sell a stock, I have absolutely no idea about what it will do after. It may indeed goes down further, or it may consolidates somewhere forming a new base.
CELH
broke out of a long forming base on Feb 29 after earnings. That was a buy signal.
After a month running up from a buy point the stock was sold down on higher than average volume today, crossing down its MA-21 and closed at the lowest.
That is, at least for me, a sell signal.
The longer-term trend? Still uptrend! I am looking for opportunities to enter it again.
It doesn't mean that the stock will go down further. When I sell a stock, I have absolutely no idea about what it will do after. It may indeed goes down further, or it may consolidates somewhere forming a new base.
CELH
broke out of a long forming base on Feb 29 after earnings. That was a buy signal. After a month running up from a buy point the stock was sold down on higher than average volume today, crossing down its MA-21 and closed at the lowest.
That is, at least for me, a sell signal.
The longer-term trend? Still uptrend! I am looking for opportunities to enter it again.