What to do when 2 different services chart the same stock differently?

ChaosNantuko answered 4 months ago …

Its the settings on the chart that cause the differences. With point and figure charts, i'm guessing one of the sources is using a different reversal box number. While standard point and figure charts use 3, with a company that trades for over $100, 3 isn't very much. With the point and figure charts, you have to consider that you can set the reversal box number to numbers other then 3. given rim is a volatile stock, and is fairly highly priced, it would be fair to increase it from the standard box number of 3 to a higher number... perhaps 5, 6, or even 7. In this case, you just have to examine which setup makes the most sense, given the previous chart action, and given the timeframe you intend to hold for.

Similarly, when the daily and the weekly MACD signals are totally opposite, what you follow depends on your timeframe and strategy. If your timeframe is only 2-3 days, then the weekly MACD is inconsequential, whereas if your timeframe is 2-3 months, the weekly MACD is the number to be looking at.