when to sell - no forecasting..just following

In my previous post on trend going into synergy with cycle, I showed how the trend and the cycle could provide a buying signal for VPG.

The next question is - when is a good time to sell?

While there are many ways to trade the markets, some traders "invest" with a buy and hold strategy, others keeping it until certain fundamental valuations are achieved, while there are others who follow other ways of selling eg following technical patterns and formations.

Since we have successfully tracked the entry point of the stock using trend and cycle, we can likewise use the similar technique to exit it. This is especially so for short term swing traders as a way to increase the number of trades and thus increase profitability. If you care to refer to the chart below:



The sell signal will occur when
1. the red dot is sighted ( this is the selling alert where smart money starts to flow out and the market starts to turn down) AND
2. the trendline going through the middle of the price bars starts to turn from blue to red ( this is the confirmed sell signal when trend moves in synergy with the cycle).

There is NO FORECASTING in this method, and what we are doing is to let the market tells us what to do. We just extract from the market what it wants to give us and nothing more.

This is just one of the many ways to exit the trade...

May this trade gives you lots and lots of profits!

dascore