Thanks for everything. I am new to your service. I am finding difficulty on how to use this service. What is the difference between Watch list and Leading stock list ? Should I focus on Watch list or Leading List for possible Entries ? Is it advisable to buy older stocks on Leading list once they pulled back?
Welcome to the service!
Thank you for your questions!
The "watch list" are stocks that are setup in bases, and ready to advance. Now they do not always advance and can go the other way. But, I highlight stocks that are in setups after some consolidation, and trading near proper buy points. Because, if we buy properly that solves 90% of any problems.
The "leading stock" list are stocks showing strength, and typically outperforming their peers. This is NOT a list to go out and buy right away. But, they will appear on the "watch list" when they setup in a base and trading near a proper buy point.
Buying leading stocks on pullbacks can be rewarding as we have seen recently with NVO CROX TSLA and others. But, when buying on pullbacks we need to see a bounce as the stock can continue to go lower, and we do not want to own a stock going lower.
By rule, a leading stock that pulls back to its 50sma FOR THE FIRST TIME after a breakout is a buy signal. We saw this recently with NVO. Trading this way means that we must be vigilant as the drop and bounce happens quickly.
I hope this answers your questions!
Thanks for the response. Which is the list should I focus on to get possible entries?