Rule #1 Finance Blog

With Investor Phil Town

QUESTION OF THE WEEK: EARLY INDICATORS

This week's Question comes from Daniel from Blair, NB:

Q:  You say that MACD is the early indicator of the 3 tools for what to decide on responding to a change in a business.  But, at www.investools.com, in the tutorial of the tools, investools says that stochastics are the early indicators.  Which one do i go with?

A: It's hard to say who is right.  Sometimes the MACD triggers first.  Sometimes the Stochastic does.  The key is to not move until you get both of them saying the same thing.

Now go play!