Ford (F) - investor trailing stop loss example
I've been following Ford (F) since the beginning of the year since highlighting that it had moved into early Stage 2 a few weeks after it's Stage 2A breakout in December 2012 on the old T2W Stage Analysis thread http://www.trade2win.com/boards/technica...ost2048194
Then in early March 2013 following the initial pullback I talked about the secondary entry point in the investor watchlist thread here: http://stageanalysis.net/forum/showthrea...211#pid211 and have been following it throughout it's Stage 2 advance on the forum to show a real time example of using the investor stop loss method.
Since the secondary entry point in March it's made two successful continuation moves, and is attempting to make a third, although it's had one failed attempt. So the current move back towards the highs could see it breakout once again, or it might fail and move to test the recent weekly swing low. So if you follow Weinstein's trailing investor stop loss method then you would have raised your stop loss on the continuation move at the beginning of July, and then again as price moved above the swing high in early September to underneath the the August swing low of 15.71 and the 30 week moving average, which would have put it roughly under 15. The 30 week moving average has moved up since above the swing low, and so you could tighten up a bit more under 15.71 now imo to protect the bulk of the gains in this great example of a Stage 2 advance.
Attached is the weekly chart with the marked up trailing investor stop loss positions imo. I've highlighted the initial placements following the continuation moves and the potential weekly raises under the 30 week MA until below the swing low at which point you are no longer allowed to raise it until price moves back close to the previous swing high.
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.