Also bear in mind the 200 day moving average Stage 2 Uptrend...

Also bear in mind the 200 day moving average Stage 2 Uptrend mentioned is only one part of their overall plan. It’s not the only thing used to enter.

It is best used for staying in a trend and then exiting positions. If you try and enter in a sideways market purely off when a stock goes above the 200 day MA you will get whipsawed and chopped up a lot. The rule of not entering if the stock is trading below the 200 day MA is a good one though and goes back to posts i made previously about being in a trade for no reason. Why sit in a stock when it is still in a down trend or there is no strength there? It will eat up your time and mental ability while your money could either be sitting in cash and not at risk or in another stock which is moving upwards.