When it all adds up

The importance of maintaining a Stalk list becomes even more crucial when the market finds itself in a range. One does not have to have a directional bias, but it is so important to trim down your list to just the absolute best setups.

Today I had a very short list of newly added names from work I did Wednesday evening including CE (Celanese). The chart that I posted this morning:

When I reviewed the chart, I noted the action in the Stochastics. It appeared to me a Stochastics cross up move was a potential – a setup that I play a great deal. So there is 1 mark for the setup. Next I note the rising volume this week, yep, another mark for the setup. I also note that price is above all the Moving Averages as it bases “in the box”.

So when you have a lot of positive things “add up” in a setup, it deems it worthy of being high up on your Stalk list.

Trade ’em well.

 

 

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