STRATEGY OF THE DAY

18/03/2016 Strategy of the day: Track the trend (part 1 of 4) T3B taught us to track uptrending stocks and also advised us that 1 year high is the key criteria. However, how do we track if market overall has been down below 1 year? William O’Neil said: ·         If you buy during a market uptrend, you have 75% chance of being right ·         If you buy during a market downtrend, you have 75% chance of being wrong Let’s say you like to choose trades from mid cap, so you follow FBM70:- Example (1) say e.g from Jul 2014 to Jun 2015 (blue box). In this time frame of 1 year, the market is down (shown by brown line). Example (2) the whole of 2015 was side trend (orange box shows 1 year of 2015) shown by blue line sideways. But the year was volatile and had big up to down swings. Example (3) the current time frame, from Feb 2015 to today is technically a downtrend (gold line shows a downwards). So how do we trade if the market is not in an uptrend at all if under T3B rules? The first rule of T3B criteria for S1 is uptrend follow by break high.   No 1 year uptrend, no break high, how?