Trend Bottoms



Trend Bottoms

by Bhwagani

When a stock is in up trend, it should make higher bottom and higher top. Please let me know how to judge/conclude whether it is a bottom?

Comments for Trend Bottoms

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Buy The Dip
by: Kenny

There is no definitive way to 'know' when a bottom is in place. That is why a good many traders will sell it all the way to new highs and beyond.....'it can't go much higher than this' type of mentality.

Take a look at my trend trading charts for a visual on buying the breakout of bull flags.

There are many other ways including breaking through....

*The high
*The previous swing high
*A key resistance price level
*A moving average that has been resistance

I think it is better to simply buy the dip at a key a support level which is within my money management strategy.

...the list is endless really.

The important thing to remember is that nothing ever works 100% of the time.

Kenny

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