Why is choosing a stock that is trending upward or downward


a. Why is choosing a stock that is trending upward or downward, rather than one that is moving sideways, an important key to trading profitability?

b. Explain what Welles Wilder means by the term directional movement and how this concept is important to determining price trends.

c. Why does a low value for ADX suggest a period of congestion?

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Finance Basics: Why is choosing a stock that is trending upward or downward
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