+- 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: Stage Analysis Beginners Questions - Mashed - 2020-04-21
Joe and Isa, thanks a lot!
In this way it is much easier to learn.
RE: Stage Analysis Beginners Questions - Joe725 - 2020-04-22
The daily Breakouts and Breakdowns thread, is this generated by a script or is this the case of you gong through your watchlist to see what is breaking out? I'm using ProRealTime but only focus mainly on UK stocks so was wondering if i could use the script for UK too?
RE: Stage Analysis Beginners Questions - isatrader - 2020-04-23
(2020-04-22, 11:35 PM)Joe725 Wrote: The daily Breakouts and Breakdowns thread, is this generated by a script or is this the case of you gong through your watchlist to see what is breaking out? I'm using ProRealTime but only focus mainly on UK stocks so was wondering if i could use the script for UK too?
It is the number of point and figure double top breakouts and the number of point and figure double bottom breakdowns using the traditional point and figure scale.
I run a simple scan for these each day on stockcharts custom scanner.
See stockcharts for a description if you are unfamiliar with how point and figure charts work
Double Top Breakout
https://school.stockcharts.com/doku.php?id=chart_analysis:pnf_charts:pnf_bullish_bo
Double Bottom Breakdown
https://school.stockcharts.com/doku.php?id=chart_analysis:pnf_charts:pnf_bearish_bd
RE: Stage Analysis Beginners Questions - Mashed - 2020-04-23
Hello!
I have another question
Today i reread Chapter 8, about indicators. I never have used any of that indicators, still in force?
Some of them are weird, like General Motors xD
What are you using? Do you have any recommendations?
Thanks!
RE: Stage Analysis Beginners Questions - isatrader - 2020-04-23
(2020-04-23, 04:37 PM)Mashed Wrote: Hello!
I have another question
Today i reread Chapter 8, about indicators. I never have used any of that indicators, still in force?
Some of them are weird, like General Motors xD
What are you using? Do you have any recommendations?
Thanks!
It is the most important Chapter in the book imo. Stock specific info like GM is out of date though, but the principles of the chapter are timeless in terms of the Weight of Evidence, and using it to time the market. These are the kinds of indicators that I cover with my regular youtube videos.
RE: Stage Analysis Beginners Questions - Haugaard - 2020-04-23
(2020-04-23, 04:37 PM)Mashed Wrote: Hello!
I have another question
Today i reread Chapter 8, about indicators. I never have used any of that indicators, still in force?
Some of them are weird, like General Motors xD
What are you using? Do you have any recommendations?
Thanks!
Hi Mashed,
For your information, Isatrader is publishing a market breadth overview once a week on his youtube channel. Link right here.
I have found some of them to be a bit outdated, but then again, I'm sure that if you know the limitations of them, they still add value to the context. With that said, these are the ones i found to be the most reliable and straight forward for beginners.
- Look at the major indexes around the world. Stans studies has shown, that the most profitable market moves occur, when the overwhelming majority of world markets are in agreement. Are they all doing the same thing?
- This ones quite self-explanatory. Look at the 30w MA on the different indexes. Keeping track of this valuable gauge, will help you get out when bear markets occur and get in before the next big bull market starts.
- Study the NYSE ADL. Studies has shown, that the ADL is likely to reach its peak before the SP500. Look out for top formations in both the SP500 and the ADL. When the market is in stage 4, it is likely the SP500 will find its ultimate low before refusing to go lower, while the ADL continues to move lower. Look out for such a positive divergence.
- While you are looking at the advance decline figures that make up the ADL, you should take a look at the Momentum Index, which is just a 200d MA of the AD figures. Look out for crossings of the zero line. How long has the MI been in positive and negative territory, will eventually have an impact on how meaningful the signal is. Just as the ADL, the MI is likely to reach it's peak before the SP500. Take a look at one of the newest examples on my twitter page.
- Finally, keep your finger on the pulse. What are you friends telling you. Are they all stupidly bullish? Maybe it's time to look out for bearish signals. Are they all telling you to stay the fuck away from the market? Maybe it's time to look a some bullish signals. What are the newspapers writing? Are the frontpages bulls or bears?
The above mentioned are the ones i look out for the most. But then again, if you don't have the time or the energy to look at this yourself, you might just be better of spending 20 minutes every week or so, listening to Isatrader talking about these gauges, and some others, in detail on his Youtube page.
All the best,
@marcushaugaard
RE: Stage Analysis Beginners Questions - Joe725 - 2020-04-23
(2020-04-23, 05:13 PM)Haugaard Wrote:(2020-04-23, 04:37 PM)Mashed Wrote: Hello!
I have another question
Today i reread Chapter 8, about indicators. I never have used any of that indicators, still in force?
Some of them are weird, like General Motors xD
What are you using? Do you have any recommendations?
Thanks!
Hi Mashed,
For your information, Isatrader is publishing a market breadth overview once a week on his youtube channel. Link right here.
I have found some of them to be a bit outdated, but then again, I'm sure that if you know the limitations of them, they still add value to the context. With that said, these are the ones i found to be the most reliable and straight forward for beginners.
- Look at the major indexes around the world. Stans studies has shown, that the most profitable market moves occur, when the overwhelming majority of world markets are in agreement. Are they all doing the same thing?
- This ones quite self-explanatory. Look at the 30w MA on the different indexes. Keeping track of this valuable gauge, will help you get out when bear markets occur and get in before the next big bull market starts.
- Study the NYSE ADL. Studies has shown, that the ADL is likely to reach its peak before the SP500. Look out for top formations in both the SP500 and the ADL. When the market is in stage 4, it is likely the SP500 will find its ultimate low before refusing to go lower, while the ADL continues to move lower. Look out for such a positive divergence.
- While you are looking at the advance decline figures that make up the ADL, you should take a look at the Momentum Index, which is just a 200d MA of the AD figures. Look out for crossings of the zero line. How long has the MI been in positive and negative territory, will eventually have an impact on how meaningful the signal is. Just as the ADL, the MI is likely to reach it's peak before the SP500. Take a look at one of the newest examples on my twitter page.
- Finally, keep your finger on the pulse. What are you friends telling you. Are they all stupidly bullish? Maybe it's time to look out for bearish signals. Are they all telling you to stay the fuck away from the market? Maybe it's time to look a some bullish signals. What are the newspapers writing? Are the frontpages bulls or bears?
The above mentioned are the ones i look out for the most. But then again, if you don't have the time or the energy to look at this yourself, you might just be better of spending 20 minutes every week or so, listening to Isatrader talking about these gauges, and some others, in detail on his Youtube page.
All the best,
@marcushaugaard
Marcus, i'm just wondering what your viewpoint on the news is. Engrained in my mind is Stan telling you to avoid using news outlets, business reports, TV etc... has this changed do you think over time. Or is it still the same story today to avoid any news outlets. Personally I do avoid them based on Stan's comments.
RE: Stage Analysis Beginners Questions - Haugaard - 2020-04-23
(2020-04-23, 05:19 PM)Joe725 Wrote:(2020-04-23, 05:13 PM)Haugaard Wrote:(2020-04-23, 04:37 PM)Mashed Wrote: Hello!
I have another question
Today i reread Chapter 8, about indicators. I never have used any of that indicators, still in force?
Some of them are weird, like General Motors xD
What are you using? Do you have any recommendations?
Thanks!
Hi Mashed,
For your information, Isatrader is publishing a market breadth overview once a week on his youtube channel. Link right here.
I have found some of them to be a bit outdated, but then again, I'm sure that if you know the limitations of them, they still add value to the context. With that said, these are the ones i found to be the most reliable and straight forward for beginners.
- Look at the major indexes around the world. Stans studies has shown, that the most profitable market moves occur, when the overwhelming majority of world markets are in agreement. Are they all doing the same thing?
- This ones quite self-explanatory. Look at the 30w MA on the different indexes. Keeping track of this valuable gauge, will help you get out when bear markets occur and get in before the next big bull market starts.
- Study the NYSE ADL. Studies has shown, that the ADL is likely to reach its peak before the SP500. Look out for top formations in both the SP500 and the ADL. When the market is in stage 4, it is likely the SP500 will find its ultimate low before refusing to go lower, while the ADL continues to move lower. Look out for such a positive divergence.
- While you are looking at the advance decline figures that make up the ADL, you should take a look at the Momentum Index, which is just a 200d MA of the AD figures. Look out for crossings of the zero line. How long has the MI been in positive and negative territory, will eventually have an impact on how meaningful the signal is. Just as the ADL, the MI is likely to reach it's peak before the SP500. Take a look at one of the newest examples on my twitter page.
- Finally, keep your finger on the pulse. What are you friends telling you. Are they all stupidly bullish? Maybe it's time to look out for bearish signals. Are they all telling you to stay the fuck away from the market? Maybe it's time to look a some bullish signals. What are the newspapers writing? Are the frontpages bulls or bears?
The above mentioned are the ones i look out for the most. But then again, if you don't have the time or the energy to look at this yourself, you might just be better of spending 20 minutes every week or so, listening to Isatrader talking about these gauges, and some others, in detail on his Youtube page.
All the best,
@marcushaugaard
Marcus, i'm just wondering what your viewpoint on the news is. Engrained in my mind is Stan telling you to avoid using news outlets, business reports, TV etc... has this changed do you think over time. Or is it still the same story today to avoid any news outlets. Personally I do avoid them based on Stan's comments.
Hi,
If think there is a general misconception when it comes to the news and media. On one hand, you should not let the news mess with your approach. The reason Stage Analysis works, is because it lets you have an objective entry and sell point. That invaluable when it comes to trading. Trust your system. On the other hand, if you learn to use news as a gauge of fear and greed, it can be a handy tool to have in your arsenal.
Let me give you a little example. 3 weeks ago, i was considering whether or not i would short the ongoing pullback. I wasn't quite sure, because it seemed like everyone was way to bearish for another leg down. I then created a questionnaire on a danish investment Facebook group. As you can see, there was way too much pessimism for another leg down. I decided against shorting because of this.
(I know this is in danish, and just to clarify, i was asking whether or not they thought the bottom was in. The overwhelming majority, about 90%, said they didn't think so. Only 10% said the bottom was in.)
Use the media as a gauge, but for gods sake, never let it interfere with your approach.
All the best,
@marcushaugaard