since the market is quite got some time to write on here again.
some very good points mentioned here but taking short selling selling out of the picture the first rule is pretty well established. Cosmo_T : now when i mean not to buy a falling stock i mean it by minute not by looking at the end of the day charts.u know stock closes up 20 % up previous day ... opens low the next day now thats a strong indication not to buy that particular stock hoping it'l rise again .anyways volume gotta support ur decision as usual .
when a stock is calm and not moving strongly in any direction then of course buying at the bottom and selling seems to be the normal bounce patter .
i dnt know if im convincing myself or confusing myself now....