Hello, I have a few questions on the method, hopefully you can help me out.
I’ve read the thread you linked me and I see in the Q&A he mentions since the increasing amount of false breakouts, investors should only buy when the price closes above the given level, where as traders should partially buy as the price breaks the given level and then increase their position size if it closes above the level later on. With that said, what type do I use, for example, candlesticks, OHLC bars or just a solid line etc? Do I need to see the whole price action or just the closing price, and which one do you recommended to use as an investor?
My second question is, as he states you should only do your buying when the price closes above the given level, does this work the same way with short selling, that you should only short if the price closes below the given level as an investor? And if so, does it work the same with a trader, where they would only partially short as the price breaks the given level and then increases their position size once it closes below the level later on?
My final question is, when continuation buying/selling as an investor, do I still place my sell stops below/above the 30 week MA like an investor, or do I place them like a trader?
