I have calculated moving averages i.e. SMA, WMA , EMA for stock which I am going to buy. I have infered :
If you are long term investor it is better not to retain the share as price is decreasing as shown by both SMA and share price itself of 90 days. SMA of 20 days shows that in short term price is increasing but would meet 90 days SMA hence showing decreasing short term price (figure 2). Since WMA is decreasing sharply as we have taken 3 days average with high rating for current price and it would show that 3 days price is decreasing trend. But 20 days EMA suggest that now the stock price is going to stabilize and increase to previous value whereas 90 days EMA suggests that for long term investor the stock investment is good.
Am I right?