(2021-09-21, 02:24 AM)Eriks1952 Wrote: Watching PagerDuty (PD) for a possible Stage2a breakout.
I don't think this one has come up on the watchlist for a long time. So nice spot. It's still in the turbulence zone from the IPO Advance, but the short term potentially is in Phase D now so it could be ready for a new breakout attempt.
P.S. I moved your post from the other position trading thread into here, as I'm trying to keep the discussion posts in one place.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
(2021-09-03, 01:12 PM)fabi470 Wrote: Ok, i understand. This makes sense.
I guess i have to be a bit more precise about my question: each weekend i look at the current SCTR score of all sectors (XLE,XLF, and so on). In addition to that i will look at the current S&P500 SCTR score.
One example: last weekend (i only do these "bigger screens" or preparations on the weekend due to my full time job) i watched at the current SCTR scores (numbers are not the real ones):
XLF: 86
XLE: 45
XLU: 72
SPY: 80
So in this case, as only the financial sector (XLF) has a better SCTR than the SPY, i would only look for stocks in the financial sector to buy in the upcoming week.
Does that makes sense?
Your interpretation is correct, but you also need to track SCTR score changes, as if a sector is underperforming the S&P 500, but starts strongly rising up the rankings, then you can start looking for stocks in that sector earlier.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
(2021-09-21, 11:46 PM)Eriks1952 Wrote: AMD looks like a valid Stage 2 breakout that has pulled back to it's Weinstein Point B entry area. Could that be? Thx
Something went wrong with your image upload. Click the edit button and delete it and re upload, as is showing as a zip file and not an image.
Here's the markup that I did a while ago following the Stage 2 continuation breakout. So yes, it is in the backup range currently. Precise entry point for point B is vague, so I use the lower time frames to look for low risk entry point to form or a Stage 2A breakout on an intraday timeframe.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
(2021-09-21, 11:46 PM)Eriks1952 Wrote: AMD looks like a valid Stage 2 breakout that has pulled back to it's Weinstein Point B entry area. Could that be? Thx
Something went wrong with your image upload. Click the edit button and delete it and re upload, as is showing as a zip file and not an image.
Here's the markup that I did a while ago following the Stage 2 continuation breakout. So yes, it is in the backup range currently. Precise entry point for point B is vague, so I use the lower time frames to look for low risk entry point to form or a Stage 2A breakout on an intraday timeframe.
thanks, looks like you have this well covered - I liked the daily swing low today just under the 50ma...if it crosses back above it could be a good thing.
Buy stop limit orders, as suggested in the book, are not available on most non-leveraged accounts in the UK. Further, for the short time I had them available they tied up cash which meant I could only place a limited number of orders in the hope that one might trigger as required. Unless the market is exceptionally strong this was highly optimistic, I could wait for ages whilst watching good breakouts from other stocks. So buy stop limit orders are out of the picture.
Stocks often gap up or break out on the open. So more often than not, on the open the stock moves above what I would consider a sensible price compared to the breakout level. My strategy therefore is to put in a buy limit order to snag the stock if it pulls back to what I consider an acceptable level intraday. But very strong stocks don't pull back significantly, or at all. So these escape me. I could put in an order at a higher level, but then I could be, say in at 5% above the breakout price. This means if it goes sideways or pulls back a little I'm instantly down, I have more risk because I'm higher than my stop loss. This distance from my stop loss is also bad as it conditions me to buy too far above the breakout and stop loss.
What do other people do?
I'm wondering if I'm missing something? Is there some other plan to get in at a good price? I can't simply sit in front my PC all day and manually scan (or even automatically scan) prices, and in any case gaps and rapid increases in price mean that this is not viable. If its an A+ pick and market breadth is very strong I could just try to get in at any price - but I think that would bite me.
