RE: US Stock Market Breadth – Quickest 10% Decline From an All-Time High in History
(2020-03-24, 05:02 PM)malaguti Wrote: whats your take on individual stocks..take my recent investment SSON
there is no doubt it missed the transition from 2 to 3. there was a stop loss which got hit at 1258, but from a stage analysis. where would we have said we're possibly at 4?
I'm wondering in this example, we have 2 recent stop losses (1239) being taken out. thats possibly a good starting point
what do you think?
A close below a significant swing low on the weekly chart. Multiple weeks below the 200 day moving average is one I look out for as well, as most Stage 4 breakdowns occur below the 200 day MA or while moving through it if breaking down from higher. A breakdown below the weekly ichimoku cloud is also a good guide I've found. As well as the point where the 30 week MA turns lower. But it's generally not just one factor, as multiple things like these need to be present.
So with SSON the close on the 27th below the 200 day would have been a strong warning if it hadn't already hit the investor stop loss, which it should have imo. Then the follow through on the next day would have been the official Stage 4A point I think, as it had lost -16% or so in a week on heavy volume, broken through a swing low, and was well below the 200 day MA, and the 30 week MA had also turned down etc.
isatrader
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.
Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill - Reminiscences of a Stock Operator.