Hi Richard,
On your response to Brooke recently:
Brooke said:
>Newbies such as myself can't just plug in a certain MACD and see it going under the trigger line and assume the market's heading down. And even if it does head down, I'm sure I couldn't say when to get back in.<
Richard replied:
When it crosses back up thru the 0 line. when you looked at the dahl or macd(13,34,89) signals and then looked at what happened to Stocks that you trade during the those periods, I would hope you would see it would have been better to be out when the indicators were below 0.
If you want to spend alot of time at it, there are many ways to try to time the market. But why dilute your efforts, just follow the trend.
I currently have 39 HB stocks active. On 38 out of 39, Dahl is above zero. The 1 that is not, has not had enough time for dahl to be active.
You can definitely add to simple Dahl but as you said you must always follow the trend!!
Brooke,
You mentioned Richard and HB. Look at the stocks that HB has provided you in the newsletter. Put up Dahl. How many are negative?? Not many I'll bet. They both do more with their experience than just follow Dahl but they both always build their other tools on top of Dahl or some trend finder. Find the trend first, preferably with a good entry point ie:after a small pullback, early in a good volume breakout, away from numbers like $10, $15, $20 etc.. I like a good strong, low float stock around $6 or $11.50. I've done really well with these lately. I could be more descriptive but I don't want to make it too narrow a field.
If you want to get more detailed go back to some of HBs' earlier newsletters. Look what is happening with Dahl, Macd, long and short term S/R, Gann, and his 3 ma's when he talks about buying or selling. Also note how he always stays diversified.
Look at them now and see how they preformed since then. Have they done well, bad, or flat? What was their float? Did they fall after breaking some major resistance? Is resistance now support? Did Gann stand up to the test? Did the moving averages work or not? What moving average would have been better? What index are they in? What was their index doing when they were suggested? What has it done since. What has the overall market done since? Did they follow the market or not? etc, etc, etc...
David |
