+- Stage Analysis Forum - Trading & Investing using Stan Weinstein's Stocks Breakout method (https://www.stageanalysis.net/forum)
+-- Forum: Main Board (https://www.stageanalysis.net/forum/Forum-Main-Board)
+--- Forum: Stan Weinstein's Stage Analysis - Stock Charts, Technical Analysis, Learn to Trade, Stocks, ETF, NYSE, Nasdaq (https://www.stageanalysis.net/forum/Forum-Stan-Weinstein-s-Stage-Analysis-Stock-Charts-Technical-Analysis-Learn-to-Trade-Stocks-ETF-NYSE-Nasdaq)
+--- Thread: Stage Analysis Beginners Questions (/Thread-Stage-Analysis-Beginners-Questions)
Pages:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
RE: Beginners Questions - kero - 2016-07-03
Ok. Thanks for your opinion.
RE: Beginners Questions - Sartois - 2016-07-19
Hi,
I'm sure this question has already been answered somewhere, but I'm afraid I can't find it; whilst not new to investing, I'm new to Stan's system, so...when deciding when to sell a stock, what time frame do you look at?
Obviously a longer time frame with candles (or whatever indicator you choose to represent prices) covering a two week period will be less responsive in comparison to a shorter time frame with 1 day candles, however with the latter there's a risk of whipsaws and selling unnecessarily on the shorter MA.
So...stick with the 30-week MA and potentially lose some profits, or go with a shorter time frame and potentially sell too soon?
Thanks,
Sartois
RE: Beginners Questions - isatrader - 2016-07-20
(2016-07-19, 10:28 PM)Sartois Wrote: Hi,
I'm sure this question has already been answered somewhere, but I'm afraid I can't find it; whilst not new to investing, I'm new to Stan's system, so...when deciding when to sell a stock, what time frame do you look at?
Obviously a longer time frame with candles (or whatever indicator you choose to represent prices) covering a two week period will be less responsive in comparison to a shorter time frame with 1 day candles, however with the latter there's a risk of whipsaws and selling unnecessarily on the shorter MA.
So...stick with the 30-week MA and potentially lose some profits, or go with a shorter time frame and potentially sell too soon?
Thanks,
Sartois
Hi Sartois, welcome to the site.
The book shows where to place the stop losses if you are using the Trader or the Investor method, and I did a thread on here called the Stop Loss Positioning Guide, which looks at it too. Here's the link: http://stageanalysis.net/forum/showthread.php?tid=25
But the first thing you need to decide is if you are a trader or an investor, as there's a huge difference to where the stop loss would go.
I hope that helps
RE: Beginners Questions - Sartois - 2016-07-20
Ah, fabulous - plus I managed to miss an entire thread on the topic, so that's great too.
Thanks,
Sartois
RE: Beginners Questions - rjay - 2016-07-24
In the T2W thread, isatrader said (in Nov.2013) that a member on this board had done the sums on whether spreadbetting via daily rollovers or quarterly contracts was cheaper and they had concluded that the former was cheaper.
That goes against all conventional wisdom on the subject, with quarterly contracts being cheaper if you expect to hold more than a couple of weeks, so I was very keen to read more - but Ive just done a lot of searches and can find nothing about this.
Does anyone know where I can find this conversation ?
RE: Beginners Questions - isatrader - 2016-07-24
(2016-07-24, 08:04 PM)rjay Wrote: In the T2W thread, isatrader said (in Nov.2013) that a member on this board had done the sums on whether spreadbetting via daily rollovers or quarterly contracts was cheaper and they had concluded that the former was cheaper.
That goes against all conventional wisdom on the subject, with quarterly contracts being cheaper if you expect to hold more than a couple of weeks, so I was very keen to read more - but Ive just done a lot of searches and can find nothing about this.
Does anyone know where I can find this conversation ?
You'll find the conversation in goodtyneguy's Trading Journal here: http://stageanalysis.net/forum/showthread.php?tid=9&pid=1502#pid1502
RE: Beginners Questions - kero - 2016-07-29
I have a question about how to manage the position, when a stock moves on (in the good direction).
In Stan's book, the basics are: when a stock is bought and goes in the good direction, we should wait until it falls down, until the SMA30weekly (eventually a little bit over or a little bit under the SMA), or the SMA10weekly in the "trader" strategy. When the stock goes further again, and is about of reaching his last top, we can move the stoploss, which must be placed under the last low point AND under the reference SMA (SMA30w/SMA10w). When the SMA starts to weaken in its progression, we still put stoplosses under each new low, but without considering the SMA anymore. But this last point is out of the scope of my question.
My question is: when you move the stoploss level, do you consider the level that the SMA30w/SMA10w had at the moment of the low or the level that it has when you move the stoploss ? And, to go further in this idea, do you eventually move the stoploss following the SMA, provided that the stoploss stays under the last low ?
I hope I'm clear. Not perfectly sure about that.
To make it more clear. Let's take the case of Airbus, which had a bull trend in 2013.
The stock could be bought at the start of 2013, when breaking out (low volume, but that doesn't matter here). At the start of april 2013, the stock falls down a little bit to 37. In may, it moves over again until about 42.5. Probably a good first point to move the stoploss. Now, the stoploss should be put under 37 (precedent low) and under the SMA30w. If I consider the SMA's level of starting april 2013, I'd put my stoploss at something like 31.5 (line A). But: if I consider the level that the SMA has reached in may 2013, since the precedent low, I could put the stoploss a little bit over (line B: around 35). Some weeks later, I could even rise the stoploss a little bit, when the SMA becomes higher than the precedent low. The stoploss could be put just under 37.
So, if you were on this stock on may 2013, would you have put your stoploss at 32 and wait the next low/high cycle, or put it directly at 35, maybee even 37 some weeks later ?
RE: Beginners Questions - isatrader - 2016-07-29
(2016-07-29, 03:42 PM)kero Wrote: My question is: when you move the stoploss level, do you consider the level that the SMA30w/SMA10w had at the moment of the low or the level that it has when you move the stoploss ? And, to go further in this idea, do you eventually move the stoploss following the SMA, provided that the stoploss stays under the last low ?
I don't think this one has every been answered. Personally I use the 30 week MA level from when you move the stop loss up, and don't move it up until the next pullback and rebound. But I imagine others might tighten up to right under the swing low once the MA catches up to it. But I don't personally think it would make much difference either way, as Weinstein investor stops are mostly disaster stops to begin with, and only become more in play as you get further into the advance, at which point they become much tighter and move above the 30 week MA. So as with most things in the method, there's a certain amount of judgement required as to when to get more aggressive with the stops. But early on, they are meant to be very loose in order to let the stock move naturally, as stocks often go higher into Stage 2A, and then sideways for the first part of the advance as it battles for a new trand, and then the momentum part of a Stage 2 advance doesn't normally come until the second or third continuation breakout a lot of the time.