This Is Why You Should Watch Major Indices
Traders watch many different
indicators and charts throughout the trading day. Just looking at one
chart is not sufficient enough to survive in the market. Needless to say, you
have to follow main indices closely to detect changes in the market conditions.
09:58:40
(From TradingMarkets TradersWire)
Alert
Amgen (AMGN)
is making a bear flag on the 3-minute chart. It is trading at 58.10, down 0.09.
As you can see, AMGN broke down and gave us a small profit, but look at a strong
rally it staged shortly after 10:15 A.M.. If you were watching the
Biotechnology Index, you probably knew AMGN’s reversal was imminent. Notice,
the Index began to rally before AMGN.
Remember to follow related indices. It will improve your trading.