Investment methods Schwartz's investment methods are mainly the following:
1. Momentum Trading Act: Grasp the abnormal rise and fall of prices and changes in stock index futures in 3 time units
2. Technical indicators: T theory, 10-day moving average, KD line, channel line, trend line, support pressure line The content of T theory is that the time it takes to rise and fall in the market is equal, but the increase and fall rates are not equal. The application of the 10-day EMA is very simple. In a period of strength or consolidation, if it falls below in the short term, it is bearish; if it breaks through, it is bullish. As far as the recent strong $Tesla (TSLA.US) $ is concerned, if the volume breaks through the 10-day EMA for buying, it will rise 50% in the past 3 weeks.
And if you sell $Nvidia (NVDA.US) $ after falling below the 10-day EMA, you can avoid a drop of about 7% on the next trading day.
3. Related transactions: The relationship between interest rates, treasury bonds, and stock indexes. Generally speaking, when interest rates rise, treasury bond prices fall. This caused investors in the stock market to switch to the bond market, causing the stock index to fall. Conversely, when interest rates fall, treasury bond prices will rise, which will cause investors to switch from the bond market to the stock market, thereby driving up the stock index. As the interest rate cut cycle approaches, we can focus on the US Treasury bond ETF-iShares (TLT.US) $ for $20+ and the $3x longer treasury bond ETF-Direxion (TMF.US) $.
Trading guidelines Shu Hua...