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Consolidation After High Volume Moves

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Moderator: EquityMonster83 Assistants: buywhenhurt
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Last Post: 3/29/2015 5:13:08 PM - Followers: 12 - Board type: Free - Posts Today: 0
Consolidation After  High Volume Moves

Mission Statement:
The goal of this board is to find stocks experiencing consolidation after high volume upward moves. This strategy makes it possible to get in a stock without chasing it, and also allows for the possibility of high percent moves. I can't take credit for discovering this method of trading, as I am sure a lot of people trade this strategy.  I personally first learned of this type of strategy from eliteG on thetechnicaltrader.net.  The examples below are actually prepared and posted by eliteG on the stockmanager.com.  

General Rules/Steps for the Setup:
These rules are as described by eliteG.


1.   Rises up heavily in price and volume.  Volume is the key.  It must stand out from past volume.  This rise can last one day..and I would say a max of 7 days.

2.   Falls back for  at least 2 days.  It is very important that you have at least 2 days of fall back according to my research.  Lots of fakeouts happen with just one day of fallback.  Volume is generally less than the volume rise in g1.  Also a rule I use is that the fall back should not penetrate the low of the low of the first candle in g1.  Its a mouthful but the idea is that if this stock showed a strong volume + price rise.. you do not want this stock going back to the levels this happened from.. you want to see support.

3.   Breakout and Run tends to happen if high volume comes back in to push the stock past the highest close(or open, whichever is higher) of the initial high volume move.  Just after the break of this spot on very high volume is imo the best entry.  Penny stocks tend to run 100%.  Higher priced stocks still run but not such a high % usually. 


Chart Examples:
The purpose of this portion of the board is to show examples of charts that exhibited high volume moves, followed by periods of consolidation, and then a large move upon the breakout of the previous high volume move.  By no means can these chart examples be considered standards for this chart setup, but it does show the potential of this setup.






 
PostSubject
#373  Sticky Note Stocks that just broke out list 3-28-2015: EquityMonster83 03/28/15 05:38:15 PM
#359  Sticky Note Consolidated Watchlist 3-27-2015 EquityMonster83 03/27/15 10:04:17 AM
#305  Sticky Note Remember when you play the sub-pennies. Don't get buywhenhurt 02/06/15 04:08:16 PM
#376   CNNA EquityMonster83 03/29/15 05:13:08 PM
#375   GRSU EquityMonster83 03/29/15 04:58:13 PM
#374   OCEE EquityMonster83 03/29/15 04:52:41 PM
#373   Stocks that just broke out list 3-28-2015: EquityMonster83 03/28/15 05:38:15 PM
#372   Still holding CANF BIAD and OXIS. CANF should EquityMonster83 03/28/15 02:59:50 PM
#371   TSTS EquityMonster83 03/27/15 12:39:43 PM
#370   PWEB EquityMonster83 03/27/15 12:39:21 PM
#369   VIDG EquityMonster83 03/27/15 12:36:29 PM
#368   ATGN EquityMonster83 03/27/15 12:35:43 PM
#367   OWCP EquityMonster83 03/27/15 12:31:27 PM
#366   MCGI EquityMonster83 03/27/15 12:18:59 PM
#365   MDCN EquityMonster83 03/27/15 12:10:17 PM
#364   JALA EquityMonster83 03/27/15 11:38:38 AM
#363   MEDL EquityMonster83 03/27/15 11:09:36 AM
#362   TRGT EquityMonster83 03/27/15 11:07:26 AM
#361   GMAN EquityMonster83 03/27/15 11:06:14 AM
#360   DRRX broke out today. EquityMonster83 03/27/15 10:05:02 AM
#359   Consolidated Watchlist 3-27-2015 EquityMonster83 03/27/15 10:04:17 AM
#358   HMNY EquityMonster83 03/26/15 01:49:57 PM
#357   CLSN EquityMonster83 03/26/15 01:48:09 PM
#356   OXIS news today. EquityMonster83 03/26/15 01:20:01 PM
#355   BIAD looking for a break of .30 then EquityMonster83 03/26/15 01:14:33 PM
#354   CANF up 7.2% right now. Back to where EquityMonster83 03/26/15 11:46:26 AM
#353   ORMP EquityMonster83 03/26/15 10:36:58 AM
#352   ARQL EquityMonster83 03/26/15 10:27:04 AM
#351   ALXA EquityMonster83 03/26/15 10:25:52 AM
#350   APRI EquityMonster83 03/26/15 10:20:52 AM
#349   PTN EquityMonster83 03/26/15 10:06:22 AM
#348   IMRS EquityMonster83 03/26/15 10:03:59 AM
#347   BGMD EquityMonster83 03/26/15 10:01:48 AM
#346   LLBO could go again. on watch EquityMonster83 03/26/15 09:27:21 AM
#345   EAPH EquityMonster83 03/25/15 11:45:32 PM
#344   Sub penny players keep an eye on EVDR. EquityMonster83 03/25/15 08:38:45 PM
#343   Trying some CANF. In 5.47, wish I would EquityMonster83 03/25/15 02:09:12 PM
#342   Good call on this one. I have been EquityMonster83 03/25/15 12:54:28 PM
#341   AVXL EquityMonster83 03/25/15 12:48:56 PM
#340   Here's the TTNP chart. EquityMonster83 03/25/15 10:12:22 AM
#339   MBVX EquityMonster83 03/25/15 10:00:24 AM
#338   RGBP EquityMonster83 03/24/15 04:15:01 PM
#337   TTNP EquityMonster83 03/24/15 04:02:39 PM
#336   AXN EquityMonster83 03/24/15 02:19:26 PM
#335   CANF Chart EquityMonster83 03/24/15 01:41:23 PM
#334   Did you hold CEHC for the big March EquityMonster83 03/24/15 01:32:58 PM
#333   IMNP EquityMonster83 03/24/15 12:15:11 PM
#332   SYN EquityMonster83 03/24/15 12:12:53 PM
#331   OVIT EquityMonster83 03/24/15 11:45:42 AM
#330   OREX EquityMonster83 03/23/15 04:33:37 PM
#329   ACUR EquityMonster83 03/23/15 04:28:35 PM
#328   IBIO EquityMonster83 03/23/15 02:28:51 PM
#327   ABPR, may be done here, but one to watch EquityMonster83 03/23/15 11:01:24 AM
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