When it comes to investment strategies, many traders overlook the importance of checking monthly charts when trading stocks. While day-traders may prefer to stick with shorter-term timeframe charts, trading room participants at DP Trading Room are always encouraged to look at the bigger picture in the longer-term by utilizing monthly price charts.
Monthly charts provide valuable information to traders that can be used to gain a much better understanding of a stock’s historical performance over the long-term. By integrating monthly charts into an investment strategy, traders can quickly identify important long-term trends in a given stock which could otherwise be overlooked by relying solely on shorter-term charts.
The use of monthly charts at DP Trading Room are also enhanced by the incorporation of company-specific events to add additional context to its analysis. DP Trading Room participants are regularly exposed to the most important company earnings reports and corporate news releases that may influence a stock’s price over the long-term. By factoring in relevant market-moving news headlines, traders at DP Trading Room gain a better appreciation of how fundamental events can alter the momentum of a stock.
DP Trading Room also highlights the importance of remaining up-to-date with certain market events. The company organizes a monthly “Earnings Spotlight” which illuminates the most important earnings and news releases for a given period. This helps traders understand which companies are due to report earnings and know when to pay the most attention to a specific stock.
Ultimately, by focusing on monthly price movements along with relevant news releases, traders at DP Trading Room are well positioned to make informed trading decisions that have more potential to yield better returns in the long-run. Utilizing monthly charts and staying up-to-date with important events are two key determinants of success that all trading room participants are encouraged to adhere to.
