- The price has been moving up several days with at least one higher low (or lower high if you want to trade a downtrend).
- Price has a 20 EMA that is pointing upwards, at a two o’clock angle and steeper (or a 4 o’clock angle when you are going for a downtrend).
- Price has broken resistance (or support zones in a downtrend) with substantial-high volume.
20 EMA is pointing downwards, which indicates a down-trend.
After a higher low the stock moves up heavily with large volume.
20 EMA is pointing upwards, which indicates an up-trend.
The up-trend has been established and I can look for setups.
Connect 2 low points to get a trendline.
Buy after it hits trendline again. Set your mental stop-loss below the most recent low.
sell 50% (or 75%) as soon as you get 1:1 risk/reward. For example if you risked 50 cents with your stop-loss you take some of it off after you got 50 cent. After that move your mental stop-loss to your entry price and let the rest ride up.
Heavy move down on a lot of volume not respecting the VWAP at all.
Short sell as soon as you see VWAP being respected as resistance.
Take 50% (or 75%) off and let the rest ride to low of day. Move the stop-loss to your entry price.
Previous day price close price.
Buy when you see a higher low is being formed and the stock is breaking the upper trendline. Set the mental stop below the lowest wedge candle.
Sell 50% (or 75%) of your position at high of day and let the rest ride. Move your stop-loss to your entry price.
Initial move on high volume.
Buy as soon as the downward trendline gets broken. set stop loss below the low of the last wave.
Take 50% (or 75%) off and let the rest ride. Move your stop-loss to your entry price.