Member-only story
When in cash make a stock list for the next market swing signals — 5/9/2023
THE SIMPLE TRADING STRATEGY
Short-term swing trading: When the NYMO turns up, it is time to buy stocks on the next open. When the NYMO turns down it is time to sell stocks on the next open.
Longer-term swing trading: When the NYSI turns up it is time to buy stocks on the next open. When the NYSI turns down, it is time to go to cash or to go short on the next open.
The NYMO and NYSI are both derived from the McClellan Oscillator. They are to my mind the best measures of stock market mass psychology, measuring the swings from fear to greed and back again, and the best indicators of market direction.
Most stocks move best with the market.
Simple as that.
I was tromping around in Google the other day looking for hot stocks to watch and clicked on a link written by a guy who simply searched stock symbols with the letters AI in them.
Just that, the letters A and I.
Kinda crazy, don’t you think? But how many times has the next big thing in the market begun with some shade of insanity?
Think Amazon. What kind of name is that for a book seller? Or Apple? What? That’s a computer? Come on… Or Google. That word itself sounds like a description of some kind of craziness or at least, silliness?.