New Members: Be sure to confirm your email address by clicking on the link that was sent to your email inbox. You will not be able to post messages until you click that link.
Scan for pullbacks within an Uptrend (Arthur Hill method)
I’m wondering if anyone has figured out a way to scan for pullbacks within a larger uptrend, as advocated by Arthur Hill in his June 19 Market Message
? I can easily scan for simultaneous positive PPO and pullbacks of RSI(10) below 40. However, identifying a new rise in the StochRSI above .95 at some indeterminant date in the future has me stumped. I guess the question boils down to, "How do I identify the attainment of a third criteria at some unknown date after the attainment of two previous coincident criteria?" Thank you.
On the other hand, you might just want to capture the first two conditions (the set up) and then, as long as the trend is up, enter on a stop above the low of the set up bar after a close beneath it. or if there a longer decline after the set up, enter on a stop above the lowest low (in other words, each time a lower low is made, move your buy stop just above it). Waiting to enter after the trigger puts you under water almost immediately in several instances, unless you put in a close stop loss. But if you do that, in several instances you miss the gain. If the trend is up, you want to capture the bar that is the trigger as a gain.