RE: Stan Weinstein's Stage Analysis and Market Breadth - Technical Analysis
(2021-02-28, 04:09 PM)isatrader Wrote:(2021-02-28, 03:08 PM)pcabc Wrote: Which begs the question of whether we will see more of a pullback before any bounce? But who knows?
On stronger corrections they always all get to the lower zone. But that could happen as soon as tomorrow if we get a further wave of selling after people review their accounts this weekend. So I'm on alert to potentially do a test buy in the Nasdaq 100 from tomorrow, as my strategy on the swing trades when building the portfolio back up from a 100% cash position is to use the index etf initially, for lower volatility and tight stop loss on a large position size, as then I can gradually add new positions as the proper setups occur over the coming weeks, and scale out of the index etf as I do. As currently there's very few bases in individual stocks that look interesting to me. So I'll likely be doing some test buys in the index with very tight 1% or less stops this week near the lows, which could take multiple attempts.
That's interesting. The question I've been asking myself is whether to get out or stay in? I opened a few positions in my ISA, buying on pullbacks as, after weakening, there was a blip in strength so I opened some positions. So I was wondering whether I should close down positions now or sell? But you are looking at buying in a dip just as I'm having these considerations. I note that my breadth indications are showing weakness, but on the long term scale it it does not look to be weakening. Perhaps I should have sold half my positions when the market was at a top and there were the first indications of a pullback because it always goes sideways or pulls back at some point. In my ISA I'm still in good profit, though less, but in my SIPP I'm basically back to where I started.