Study Guide for Come Into My Trading Room - Forex Factory

INDICATORS—FIVE BULLETS TO A CLIP 33
Question 31—Grading Trades
Envelopes or channels can help you grade your performance as a trader.
What are the grades for the following trades:
1. Trader A buys a stock at 56, above the rising EMA, and sells at 59.
The upper line is at 60.5, the lower at 49.5.
2. Trader B buys a stock 17.5, near the rising EMA, and sells at 18.5.
The upper channel line is at 20, the lower at 13.
3. Trader C buys a stock in a trading range at 21, but it sinks and he
bails out on a stop at 19. The upper line is at 24, the lower at 16.
4. Trader D sells short a stock at 88, near a falling moving average, and
covers at 81. The upper line is at 99, the lower at 81.
Question 32—MACD
Match the following phrases about MACD:
1. Long-term consensus of value
2. MACD-Histogram
3. Short-term consensus of value
4. Lower peak of MACD-Histogram while prices reach a higher peak
5. Higher bottom of MACD-Histogram while prices sink to a lower low
A. Fast line of MACD
B. Bullish divergence
C. Bearish divergence
D. Slow line of MACD
E. The spread between MACD-lines