- Charts that start from the bottom left to the top right.
- Charts with clear uptrend
- Stocks that are making new highs
- Stocks that has broken out, or about to breakout
I will then put these stocks through a fundamental filter. Hence, I will not buy stocks like Low Keng Huat, Del Monte.
Trading stocks making new high is not without risk. These stocks are way over bought, and attract shortists. It is very important to have stops in place.
I expect only 50% winning trades. However, I also expect these winning trades to be at least 3 times more profitable than the losses. That in essence is the heart of trading. Low Risk with High Reward.
No comments:
Post a Comment