02/12/2010 – Simple Tools for Competent Trades

My dad walked in and commented on the geometry problem we were
working on, as I continued to struggle, unsuccessfully, to open
the vent. Then, he handed me a ruler from the table and said:

“Simple tools are what separate us from the animals.”

Without another word, he left us to finish our homework.  Sadly,
I don’t remember any of the geometric formulas that I was trying
to master on that winter’s day.  But you can bet that I
have never failed to reach for a simple, practical tool since.

Here at Elliott Wave International, our technical analysts provide
you with simple, practical tools that can help your analysis
and trading. 

EWI Senior Analyst Jeffrey Kennedy has spent years using and
mastering — among many other technical trading
tools — several well-known moving average techniques. In
the process, he has even developed his own personal moving average
method that he calls the “Stoplight System.”

For a limited time, the first two chapters of “How
You Can Find High-Probability Trading Opportunities Using Moving
Averages” are available FREE when you join
Club EWI.

In these excerpts, Jeffrey will teach you about:

• Defining the Moving Average and Its Components
• The Dual Moving Average Cross-Over System 
• Moving Average Price Channel System 
• Combining the Crossover and Price Channel Techniques 
• The Most Popular Moving Averages

Like any good mentor, Jeffrey’s insights are meant to help you
become more successful and highly evolved in your endeavors. 

Here is one of the charts showing how moving averages are similar
to the Wave Principle in signaling buying opportunities:

This chart of Corning shows how each time the market moves into
the price channel (marked by the short vertical lines), it signals
a buying opportunity.  When Corning’s price breaks through
the price channel (indicated by the short diagonal line), the
trend has turned to the downside.  So, we have a clear uptrend
followed by a clear downtrend.

Remember, “Simple tools are what separate us from the animals.” 

We have extended our special offer — for a limited time, the
first two chapters of “How You Can Find High-Probability
Trading Opportunities Using Moving Averages” are available
FREE — through December 6th.  Sign
up for a free Club EWI membership and gain instant access to the
excerpt by clicking here!