RE: Stage Analysis Beginners Questions
(2021-02-03, 09:50 PM)pcabc Thanks good tip - if it gaps up you can catch it. Yeah I agree and as I\m learning I'm more level-headed with entries as there's always another around the corner. Such a psychological game ;) Wrote:(2021-02-03, 09:09 AM)isatrader Wrote:(2021-02-03, 06:17 AM)miche Wrote: Cheers! Thanks I forgot to add an alert to this one. That's a nice feature from IBD - I have to start using it. I noticed VFF is on today's watchlist it's already broken out at 11.89% over 100% volume on IBD confused to why it's on the list since it already broke out?
The list isn't just breakouts, and stocks can provide many opportunities to get in. A big part of Weinstein's method, that's often ignored is pullback buys to the breakout level, and stocks already in Stage 2. So even if you have missed a breakout entry point, if a stock is showing the right characteristics then it should be on your watchlist for a potential pullback entry point to form.
Others may not have the same experience, but I'm finding that a limit order no more than about 2.5% above the breakout level can get me in a good position following a good quality breakout. Sometimes there is a brief pullback a day or two after a breakout. I don't leave these open for more than a week as in that time the stock or market could change direction making an entry any later not so good. Probably would not catch the stock you mention above, but sometimes it does. IF I've learnt anything its better to not be in than be in at the wrong price.