In a past post I commented about no expend more than 3 minutes rethinking, reformulating, reanalyzing
But it sounds contradictory If I use a discretionary method for picking stocks and I have thoughts and opinions about the stock chart that I watching
For example If I select 5 names of 100. What is my argument for select these 5
I have a criteria for picking stocks, is technical but It is not scientifically proven, is discretionary/qualitative based in experience
If I recognize a pattern when I selecting charts is because I saw some similar in the past and in then in the present
I immediately recognize that here there are an opportunity for making profits
I recognize patterns, but no because I readed a lot of books
I recognize because I learned in real time, that the development of a chart pattern take in some cases years to take shape,
I not propose an Idea simply because I wanna post and get likes.
I spend hours looking charts but when I recognize and opportunity in a specific stock, I do not spend more than 2 or 3 minutes.
Then I make a Top Down analysis From Weekly to daily to 4-Hrs and draw the main resistance and support lines. I search gaps in the
I search for some patterns and what tell me those candles in set with the methodology that I use (Support Resistance) Plus moving averages.
For example this idea is based in a continuation pattern in a trend and the concept that resistance becomes support.