Which of the following is NOT a way to use moving averages?

Moving averages are primarily utilized in technical analysis to smooth out price data and identify trends over a specified period. They help traders confirm the direction of the trend, whether it is upward, downward, or sideways, making them a crucial tool for determining market sentiment.

In the context of trend determination, moving averages provide a clear visual representation of price trends by filtering out short-term fluctuations. This allows traders to assess whether the market is in a bullish or bearish phase.

Moreover, moving averages can assist in establishing support and resistance levels. When prices approach a moving average from above, it may act as a support level, while it may act as a resistance level when approached from below. This functionality is particularly useful in guiding traders on potential entry or exit points based on price interactions with the moving average lines.

Additionally, specific trading signals can be generated using moving averages, such as crossover strategies. For instance, a common signal occurs when a shorter-term moving average crosses above a longer-term moving average, indicating a potential buy opportunity, or vice versa for a sell signal.

In contrast, identifying news catalysts does not fall within the primary functions of moving averages. News catalysts are external events or announcements that can influence a stock's price suddenly, and these are generally not indicated