What technical indicators are best? Rookie Swing Trader Journal July 29, 2021
Yesterday, I continued studying swing trading from here... https://www.swing-trade-stocks.com/swing-trading-basics.html This is what I learned and this will be my new strategy from 27 July 2021. 4 Stages - There are 4 stock market stages. Bottom, uptrend, top, and downtrend 5 Waves - There are 5 uptrend Elliott waves and 3 correction waves. Buy on wave 2. Hold on Wave 3. Sell on wave 4. Trends - Trade trending stocks. Characterized by higher highs and higher lows. Identify a new trend using Trader Vic's 3-step method. 1. A trendline is broken. 2. There is a retest and failure. 3. Price falls below the prior low. Use the 10 (SMA) and 30 (EMA) period moving average crossover scan for step 2. Step 3 confirms trend change. Does not work in a sideways trading range. Bulls and Bear - The 200 SMA is used to separate bull territory from bear territory. Support and Resistance - Stocks do not find support or run into resistance on ...