SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : LastShadow's Position Trading
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: LastShadow who wrote (5566)1/6/1999 9:42:00 PM
From: Dave Shares  Read Replies (3) of 43080
 
Consolidations and Breakouts

If I may add to this discussion. Based on some reading I have done, a ticker which has made a two month high with a broad range on the day that the high is made, followed by a period (at least 2-3 days, and maybe much longer) of consolidation inside the range on the day of the high having been made, is a good CANDIDATE for a breakout.

But the play cannot be made until the new high is made (and the low of the range of the previous high cannot be violated), and even then, with a risk of a "fakeout", a stop should be used.

Now of course, sometimes the stop can prove to be a fakeout, like when I went long on PMCS on Monday, was stopped out on Tuesday, and watched it go to the races today without me in the saddle.

I will be looking to paper trade this set up some more to see how it works out. I've got a lot of installation to do in the meantime.

David
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News