Video Lesson #1 – How i Gauge the Market and when i’m confident in buying FOUS4 Stock Pick breakouts
Mar 7, 2012 video lessons
I’m goin to start doing 2-4 video lessons/week. So here we start @ video lesson numero uno. How i gauge the market sentiment. And how i change my approach to the FOUS4 strategy under certain conditions. Basically in a nut shell. Stock picks fitting the FOUS4 strategy are much more consistent, common, and make bigger moves when the DOW is trading >13ema. When the DOW is trading <13ema then i typically downsize my positions, take profits faster, and keep stops very tight. The reason being is that when the market is trading below the 13ema. The short term trend is bearish. When bears control the market, that means there is fear. Fear = irrational trading and extreme volatility. Thus breakouts can typically be very short lived. So take that small profit while you got it. And cut your loss short because its probable you just bought into a false breakout.
