Playing tricks with moving averages

Playing tricks with moving averages
In a recent issue I wrote about the Coppock indicator, a useful way of spotting when a new bull market has began. So far we have not had any buy signal. The Coppock indicator is a decision system; you can use it to take decisions on stock market trends. Another form of decision system is based on moving averages. I often comment on the trend in the nine-month moving average, which is presently declining. Many observers define a bear market as a market where the nine-month moving average is falling.

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