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Stock monitoring

7 things I am monitoring actively I do my analysis of stocks and the general stock market everyday . I go trough my watchlists and ask myself: Are the stocks I am monitoring strong? Do they lead the market? If yes, it’s a good sign that my stock selection process is working. How many stocks do I have on my watchlist? How do the leading large cap stocks look like?  Are they close to all-time highs or are they broken down without any recovery? If all charts look like a catastrophe it shows me that nobody is buying glamour, large cap stocks (like $AMZN, $AAPL, $NFLX etc.). Do the indices show a bottoming pattern?  If yes, it’s a good sign. Especially if the updays show higher volume. Are the indices in a long-term uptrend?  You can have a look at the weekly and monthly chart. If you have a solid uptrend, the odds are higher for a continuation instead of a reversal. Maybe a correction is just a small pause in a long-term bull market. I monitor the % of stocks above the 5...
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10 TIPS ON PRICE AND VOLUME ACTION FOR BREAKOUTS

10 TIPS ON PRICE AND VOLUME ACTION FOR BREAKOUTS Technical trading based on  observation of price and volume . You are directly observing the supply and demand of a stock. Although fundamentals are important, technicals are much more important. Trading on fundamentals alone will guide you to high potential stocks, but you don't know when to buy or sell them. That's why knowledge in technical analysis is so important. Here are a 5 tips about  price action  in a stock: Volatility contraction is a key You always want to buy new, fresh breakouts. If the stock made a 15% move before and without any kind of consolidation, wait! The volatility must contract and the stock must rest before the next upmove. Volatility contraction is visible in the chart if the price goes sideways above a days to weeks. If you see a sideways range about 10-15 days and the daily price range decreases, observe the stock for a breakout. Also look at the volume: you want to see a dry up in the volume. S...
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5 TIPS ON HOW TO LET YOUR PROFITS RUN

5 TIPS ON HOW TO LET YOUR PROFITS RUN It sounds so easy, but it's very hard: Let your profits run. It's not a technical challenge, it's a psychological one! But remember: You need big profits to pay for all the small losses. That's why letting your profits run is so important. Here are 5 tips how you improve your "letting your profits run" behavior: Have clear selling rules That sounds so normal, but the most market participants do not have rules at all. The professional traders have a lot of rules which they apply automatically or intuitively through years of trading experience. As a beginner you need rules and you must stick to them, because you have to learn a complete new profession. Successful trading is a profession, remember that! Create checklists for your rules and use it for every trade. It must contain all the conditions which must be fulfilled to exit a trade. You can go through the checklist every day to check if a trade must be sold. After a few ...
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