This morning I started looking at stocks for setups. I have the feeling that it is going to be a few weeks before I find a good setup. But this is certainly the way I should be doing things, for now.
I ran a screen for stocks under $30 with better than average volume that would likely be in a place where the Wave is crossing the Tunnel. I found a couple of stocks that could make for some interesting setups in the weeks to come. One has the potential for completing a Butterfly pattern if it makes one more pullback on the daily chart.
I’m an analyst, at heart. I absolutely love analyzing the market. And I especially love the way that the Wavy Tunnel gives me context. This slow, long range approach really appeals to the analyst in me. I felt right at home doing this kind of analysis, this morning.
Tomorrow I’ll continue by refining my analysis on these stocks and then look for another stock to add to the mix. With this approach, I can probably watch a large number of stocks and make very detailed plans of attack for each. I’ll just add another stock every day until I reach a limit to what I can comfortably manage. Once I can define a move that looks like an A+ setup and I get confirmation, I can always move down to a lower time frame and trade rather large positions on a small time frame to catch strong one-day moves. This approach just feels like it will suit my lifestyle (with constant change and interruptions).
Meanwhile, you have offered a new service for automatically getting Forex trade setups. I really have to think hard about if this is right for me. On the one hand, it seems an excellent introduction to Forex. After the webinar, I took a whirlwind internet tour of Forex and I’m pretty sure I get the math. I also opened up a Demo account for MT4. I’m not too crazy about the interface after being spoiled by Motive Wave! I’m a little confused about order entry. However, I’ve been meeting weekly with a friend in town who also wants to trade and currently does Forex Demo trading. I’m sure that I can get him to show me the ropes.
It seems a no-brainer to join the service. I have to be careful not to get sidetracked by it. I haven’t thought that I wanted to be a Forex trader; however, until tonight I had not realized the incredible leverage it offers. So, who knows? Maybe I’ll be converted. I just feel that I need to be careful not to get whipped around by the latest, greatest thing. I feel I would be remiss to not at least give it a try given that it is so inexpensive and I know you have my back if I run into issues. I would definitely have to Demo trade for quite a while until I feel comfortable. I feel like I don’t know what I don’t know.
It was a big day! I also started my plan to review every video from start to finish. That’s going to take me 2 to 3 months in small bites. I want to make sure that I haven’t left an important stone un-turned.
Meanwhile, I just keep marching forward in this wonderfully crooked path.