sorry for the late reply, I ran out of posts (only 15 a day)
Personally, I aim to buy once the stock has dropped to a previous low (or is deeply oversold) and never buy after a stock has gone up more than 10% (except in certain exceptions)
To answer your questions directly: it is up to you when deciding when to buy. I know what works for me, but it may not work for you. There are plenty of strategies I've tried over the years, and although they worked for some, I found a better way for 'me'. Keep track of your performance and stay on track with what works.
When it comes right down to it, previous performance has nothing to do with what will happen in the future. However, knowing the history and what to look for in a chart WILL help your chances. Strong volume on a move like today is a definite plus. Make sure that a significant percentage of a day's trading volume is towards the higher prices to confirm that MANY investors are willing to buy substantial amounts at higher prices.
If I saw CAEI today, no I would not have bought it.
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All statements and annotations should not be used as buy/sell advice
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