How To Analyze Market Sentiment For Better Trading


Here is a detailed guide to analyze the market feeling:

Step 1: Choose the origin of the data

Choose the reliable origin of data that provides market data in real time or historical, for example:

  • Website of financial reports (such as CNN Finance, Bloomberg)

  • Shapes (eg Yahoo Finance, Google Finance)

  • Online Financial Platforms (eg Error, Robinhood)

  • Economic indicators and surveys (eg GDP growth rate, inflation rate)

Step 2: Identify the market asset

Decide which market activity you want to analyze, for example:

  • Stocks

  • Goods

  • Cryptocurrencies

Step 3: Choose a timeframe

Select a time period suitable for business strategies or analysis goals, eg. ,,::

  • In the short term (1-5 days)

  • Medium-term (1-6 months)

  • Long-term (1-2 years)

Step 4: Analyze the market feeling

Use various analytical tools and techniques to evaluate the market feeling, for example:

* Mindy Line : Identify the direction of prices using trend lines.

* Volume Analysis : Explore trading volume to determine market activity.

* Medium mobile phone

: Cut mobile media to identify trends and inversions.

* Technical indicators : Use technical indicators such as RSI, MACD or stochastic oscillator to evaluate the feeling.

* polls and relationships : Read articles on financial reports, economic reports and opinion polls to understand the market expectations.

Step 5: evaluates the feeling of market

Assign the score or evaluation to each indicator based on the following criteria:

* Mindy Force : Strong (80-100), Mild (50-79), weak (<50)

* VOLUME : High (> 10 million shares), medium (> 1-10 million shares), bass (<1m actions)

* Medium mobile : Inversion or continuation (eg but 200 days above/below 50)

Step 6: Summarize and interpret

Combine the score from each indicator and create a compound feeling score. So interpret the results based on your business strategy:

* Buy signal

How to Analyze Market

: a strong positive tendency with large volume and strong furniture.

* Sale Signal : Weak negative trend with low volume and weak mobile medium.

* neutral or clock : a slight score with a balanced trend and volume.

Step 7: Enhance your strategy

Regulate your business strategy based on a market feeling analysis:

* Buy : Strong shopping signals with large volume and strong furniture.

* Sale : Weak sales signals with low volume and weak furniture.

* Keep or regularly : Consider keeping cash to wait for a better entrance point.

According to these steps, it is possible to develop a reliable image for analysis of the market feeling and to make informed business decisions.


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