Right Time to Invest in Equity for Ordinary People

The paper details essential indicators—Simple Moving Average (SMA), Exponential Moving Average (EMA), Moving Average Convergence Divergence (MACD), and Relative Strength Index (RSI)—along with their mathematical formulas. It instructs users to utilize TradingView’s monthly candlestick charts, overlay four colored SMAs (9-day red, 21-day green, 50-day yellow, 100-day blue), and add MACD and RSI. Key investment signals for indices include: · Monthly candle touching the 100-day SMA (blue line) as the ideal entry point. · Touching the 50-day SMA (yellow) as a potential opportunity, conditional on reasonable PE and PB ratios (preferably PE near or below 20; avoid if over 30 or significantly overvalued). · Bullish confirmation: 9-day SMA crossing above 21-day SMA from below, supported by MACD line crossing its signal line upward, with non-overvalued valuations. Avoid investing during bearish SMA crossovers (downward), high or overvalued PE/PB ratios, MACD downward cross, or RSI approaching or exceeding 80. Key Note : Simple moving average (SMA), Exponential moving average (EMA), Moving average convergence divergence (MACD), Relative Strength (RSI) etc. DOI: 10.55041/IJSREM8977