10DMA

Hi guys, I have decided to start on a clean slate with the blog. Reason being, i have slightly modified my approach and method.

After studying past winners, I formulated an important selling rule. To sell the first close below the 10 Day Moving Average if a stock has not closed below the 10DMA for around 4 weeks.

“When a Superstock moves out of its current base to a new higher base, there’s a good chance that it will bounce higher off its 10 dma along the way”. IBSS

Stocks that adhere to the 10DMA for about 3-4 weeks almost always have a higher angle of attack than most stocks, subsequently breaking their 10DMA after 3-4 weeks. Due to their high angle of attack, some of these stocks tend to have deeper pullbacks when they consolidate. I have attached and annotated several stocks. By selling on the first close on the 10DMA, I am almost certainly able to lock in good gains in a short period of time and able to reenter the stock if it sets up nicely for a BLT entry near the magic line.

NPTN daily annotated NPTN weekly annotated