When to Exit Shorts?( Using RMO in Metastock)

rkpo

New Member
#1
I am using the EOD version of Metastock 10

When RMO is negative and Red Bar and Red Sell arrow is formed ;you go short ( sell a scrip) . Afterwards ;when should one Buy and close shorts?

I understand the Exit Swing signal is used to exit . Once the Bar crosses above blue line in exit swing signal ; one has to buy and thus close short positions when price rises following day. Hope i am right?

But here I find that in many cases the downward journey contnues ; eg:-(Reliance Energy) soon and you have to be satisfied with a small profit . If you hold on to the short postion ; you gain substantially more

So is it wise to use the Exit Swing signal? In short ; what is to be done?
 
U

uasish

Guest
#2
rkpo,

RMO or in that matter any set up has got its advantage & disadvantage.Twaek it as per your observation & need.In this case you can Liquidate some % of your Shorts as per the Set Up & then with the balance trail with a suitable Stop Loss.

Asish
 
V

vvvv

Guest
#3
the RMO video is there in equis website..if mr ashish were to educate us how to tweak the rmo we wud be grateful... do u practically use the indicator in your trades.
 
#5
Rmo swing indicator is nothing but macd buy/sell indicator only,one can trade on macd buy/sell signal and just look for market sentiment for bar colours to further confirmation for good trade