Hi all,
I'm very new to swing trading and am currently embracing my new ADHD hyperfixation, so I'm diving right in. I am doing the usual internet education route (YouTube, Google, investing articles, etc.) alongside paper trading on TradingView. Below is my current understanding of the swing trading approach and I would really like some feedback on if my comprehension is even close to being functional or at least heading in that direction. Much appreciation and thanks in advance!
* Scanner criteria:
* Price: 10-100 USD
* Chg: >5%
* Mkt Cap: 300M to 2B USD
* Avg Volume: 500K
* Rel vol: 1.2
* Vol: >1M
* Strategy:
* Resistance/Support/Trendlines
* Looking for breaks in trendlines, using Resistance and Support lines to confirm movement
* I added Pivots cuz I read they were useful as additional Resistance and Support lines - TBD if I find them useful or they just add too much clutter to the chart
* EMAs
* Using 8/20/50/100/200 EMAs
* Looking for the candlesticks to be higher or at least riding the 8 EMA line
* Looking for stocks where 8 is above 20, 20 is above 50, 50 is above 100, etc.
* Stock should be AT LEAST above 200 EMA
* MACD
* Looking for MACD to above Signal Line and above or at least heading above the 0 Line
* ADX/DI+/DI-
* ADX > 25 (focusing on pairing this with upward trends since I know direction matters)
* DI+ > DI-
* Risk
* I use the Long Position tool on TradingView to figure out a 1:2 ratio
* Usually placing Stop Loss at most recent/previous Resistance level
I'm still kinda figuring out the different buying options (Market, Limit, Stop Limit, Stop) and have just been doing the Stop option until I figure things out a bit more.