Topic: Moving Average as Support & Resistance | Technical Analysis | Dhaka Stock Exchange
Long term Moving Averages can work as support and resistance for stocks. If we use 100, 150 and 200 days simple moving averages, we can have nice support and resistance zones for trading. We can use different period moving averages for support resistance determination as there is no fixed rule. But longer term the moving averages, stronger the support level. Better results can be found if we can use fundamental information along with this support and resistances determined by the moving averages. This method can be used as a supportive tool for trading stock.
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