Rookie BRO EC Stock Trading Strategy - Apr 2023

On 2 Apr 2023, the Rookie feels the market is recovering... sold some old stocks at profit after holding for years in the negative... new buys are doing well... thanks to the Rookie BRO Trading Strategy... 

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ROOKIE BRO EC BUY STRATEGY

BUY

• Buy only S&P500 stocks 
• Use Finviz to find SP500 stocks with RSI below 40... If too many, find PEG less than 1... https://finviz.com/screener.ashx?v=111&f=idx_sp500,ta_rsi_os40&ft=4
• Set Moomoo Bol or RSI buy alerts.

Use Moomoo for BRO indicators

... and Yahoo Finance for EC stats. 

• BOL (20,C,2). Below Lower Band (buy). 
• RSI (7). Cross below 30 (buy). 
• OBV. Reach 3-month low (buy). 
• Earnings. Positive for past 3 years. 
• Cash Flow. Positive and in the millions. 

All 3 BRO must meet the criteria at closing, plus... 

- Never buy when there is a recent gap down.. 

SELL

• BOL (20, C,2). Above Upper Band (sell). 
• RSI (7). Cross above 70 (sell).
• OBV. Reach 3-month high (sell). 

One more thing...

- Never expect the price to return to its highest.

- Sell on signal even if it's a loss (capital cashflow is better than stuck and falling losses)

~ The Rookie Stock Trader

PS:

- Forget SuperTrend... Coz it's 3 days late.

RECORD

- Record new stocks on Google sheet for the profit and loss tracking.

- Record new stocks in Yahoo finance for monitoring.

- Record events in the calendar for future reference. 

PURGE

- Consolidate and Sell old stocks. Keep only 20 manageable stocks. Do not buy and hold. 

OBSERVE

Late April to early May - Buy on dip
May - Sell and go away
August - Strong month
September - A bad month for stocks.
November - Reinvest