Wayne,
I have just read through most of the thread, and the first thing I would like to do is commend you on your patience in responding to all of the inquiries. I don't know if I could make the time to field so many questions.
I have been using stochastics and RSI over the past month and have done very well. I mainly buy the tech stocks, for their volitility, and sell them after a few days (sometimes that same day) for a quick profit. I primarily trade stocks in the 20-40 range buying between 500-1000 shares. Currently I'm using www.iqc.com for my charts. I look for stocks where the stochastics are under 20 and the %K is moving through the %D line also I like these same stocks to have an RSI between 20-35.
My question to you is : you repeat several times, "don't fight the trend". How can I determine what the trend is? Also, is it possible that using the methods I have thus far (which have been very successful), that I bought against the trend but because of my willingness to take profits early, I was still successful. In better terms, do you still get a small pop in share price despite the trend if stochastics and RSI are screaming "oversold".
Here are the companies I have traded if you need to know to answer question above: (all were profits) - I've only had a couple small losses since undertaking this technique. - SMOD, KLIC - took a small loss after both were affected by Jabil Circuits reporting poor earnings.
CTXS 3/9- 3/11
TKLC 3/11 - 3/16
RMDY 3/16 - 3/19
ESV 3/20 - 3/23 - OPEC helped big time
CPQ 3/23 - 3/24
JBIL 3/27 - 3/31
LEVL - SVGI
Was wondering your opinion on LEVL - which just split today - has stochastics in teens and fast should have passed the slow today.
Also on SVGI...stochastics are very low but K just passed the D line today also. Good RSI...(I know the RSI is an oscillator also but I still like to look at it) |
