Surge7 of the Up Trend (that started on 12/26/18) most likely has resumed today. Minor Dip1 of Surge7 came and went with minimal impact.
We wrote this on Stocktwits earlier today, and it bears repeating for those who haven’t read it. It’s an important perspective to keep in mind.
“Keep in mind that nailing the bottom of a Minor Dip is a difficult thing to do, primarily because it's minor. There's not enough supporting data from market internals to tell you exactly when to pull the trigger. Recall in our analysis we said that market internals are great for major moves, not so much the minor ones. So all you really have to go with are classic chart pattern analysis, and S/R levels.
But don't get too hung up on nailing bottoms. If you sold yesterday, and buy back a bit lower today, and use partial entries to spread out your entry points, you'll do fine. This is Surge7. It's strong and it has the potential to surpass July high. So you are likely to make some decent profits even if you don't nail bottoms.”
In a strong Surge within an Up Trend, it is very difficult to capitalize on every market move. The best strategy we have found is to keep some money in play constantly, while taking partial profits at the start of a Minor Dip, and re-enter at the end of the Minor Dip. That is why we have Core1, Core2 and Core3.
Buy low. Sell high. Repeat. That is good enough to make consistent profits.
The rest of this article covers:
Table of support and resistance levels
Updates from market internals
Planning your trades
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