Newbies generally lack the discipline factor. Most get caught in...

Newbies generally lack the discipline factor. Most get caught in the hype and buy too high. They end up holding 'long term' as they try to convince themselves of sound fundamentals in these small cap stocks they hold. Ends up in bloodshed.

You are spot on with your three points. Ability to read charts is a bonus , but setting up at prices near prominent small cap figures generally give higher chance of success.