Today, I picked General Motors Corporation (NYSE: GM), since it was the top stock mentioned on stocktwits.
I’ve marked the three entries (1 long followed by 2 shorts). All easy winners, which is nice. People are really liking their first taste of the everypush indicator/paintbar now that I’ve released it. This is just one more reason why that is. It’s available for Tradestation, Multicharts, and Ninjatrader from eotpro if you are interested.
The little dot indicator in the middle panel marks entries, but has stricter volume pressure requirements than I tend to use on stocks. That’s why it only marks the third trade entry. Maybe I’ll make a stock-trades version of the entry indicator soon. I’m too lazy to draw the arrows by hand… :-)
Anyway, the demonstration method used here for stocks is:
- Volume chart chosen based on 30-day average volume (I generally use the overview settings from this reference post on these stock charts).
- New push on the everypush paintbar (first red or green bar)
- Volume pressure on b/a-histogram is up for long, down for short. Not positive whether I care if it’s rising or falling yet…
- Closes above the fast MA for long, and below for short. Candle body must not be touching the MA… candle wick can be touching the MA… that’s still ok.