Greed, fear, and poor understanding of market conditions are the three main reasons why people buy high and sell low when trading stocks. Additionally, a Poor understanding of the stock market's complex dynamics and movements can lead to bad timing of investments.

This post discusses trading strategy parameters and their use in trading stocks. The five main parameters discussed are timeframe, risk management, entry and exit criteria, profit targets, and trading volume. For each parameter, examples of how to use them effectively, as well as the risks associated with their use, are provided.

One way to help identify potential entry and exit points for swing trades is to use technical indicators, such as the Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI). Here's how you can use a combination of these two indicators for swing trading.

It's not difficult to follow the values-based investing principles. Still, controlling your expectation of a high return rate is hard. Moreover, it isn't easy to truly understand what makes a good company, an excellent corporate culture, and a good business model.

These 10 MACD trading strategy signals you should know first, before we analyze the signals, let's take a look at the individual components of the MACD indicator.