3SOF

2nd entry for PKTR = 8.94
Previous hour's high = 8.94
Previous hour's low = 8.77

This stock also bounced from the lower linear regression line at 8.78 (low of the day so far at 8.77)

It looks like the better  entry  is a combination of the 3month/daily with the 1 day/1 minute linear regression/RSI(2) instead of entering the 2nd time when the hour made a higher high

TSCM is up from my entry of 11.44 yesterday.
If I entered today using the 3month/daily, 1day/1 minute combo of the linear regression/RSI(2), my entry would have been at 11.43

The 1 day/1 minute is showing an exit at 11.88 in the delayed chart and a re-buy at 11.63

So far, it seems less stressful to buy weakness close to support using the Linear regression/RSI(2) compared to buying strength and going with momentum as price crosses resistance.
I will be posting the pros and cons between going in with momentum and buying close to support.
I'm still searching for a strategy where there is a concrete buy and sell signals to help me control my emotional highs and lows.
It looks like the Linear regression/RSI(2) fits what I'm looking for so far.
I will be testing and refining this strategy as the days go by.

TSCM
first entry = 11.44
2nd entry = 11.63

Currently the upper line is at around 11.98

other resistance lines are at 11.90,11.81,11.73

BUYING WITH MOMENTUM

PROS:

quick profit for a day trade ( if disciplined enough to get out when momentum dies down)
Going in with the trend
If holding overnight, the trend is supposed to be with you

CONS:

could be a big loss since we're buying close to the high of the day if the momentum dies down and goes below the resistance that was supposed to be support.
Takes more effort (investors) for stock to go up (because it's getting more and more expensive)

BUYING CLOSE TO SUPPORT

PROS:

Sellers have just finished selling (especially if it has a selling volume capitulation)
Easier for stock to come down to you.
Stock is cheaper

CONS:

going against  the short term trend.
If holding overnight, the trend is supposed to be against you.

Buying weakness criteria as of today.

Watch List:

Will be looking for this on the 3 month/daily chart
previous day's close near the lowest linear regression line.
RSI(2) below 20, better if it hit zero.
Still undecided whether the trend of the linear regression matters.

Stalk List for trading day.

Active in premarket
Will be looking for this in the daily/1minute chart.
price near the lowest linear regression line
RSI(2) below 20, better if it hit zero.

For a day trade:

1 day/1 minute timeframe
Buy when the price hits the lowest linear regression line with the RSI (2) below 20 (better if it hits zero).

Sell when the price hits the highest linear regression line with the RSI(2) above 80 (better if it hits 100).

For a  longer term trade:

(This means holding overnight which I'm still reluctant due to possible gap downs.)

Enter and Exit using the 1 day /1 minute chart in combination with the 3 month/daily chart.

Entry is when both charts  show price near the lowest linear regression line and the RSI(2) is below 20.

Exit is when both charts show price close to the highest linear regression line and the RSI(2) is above 80.

So far, TSCM seems to be doing better than PKTR.

This is TSCM's characteristic today so far:

I didn't see it being active in the pre-market
Price was near the lowest line of an uptrending  linear regression line and the RSI(2) was below 20 on the 3 month/daily chart.
The Daily/1minute chart showed a buy at 11.43 this morning (price being close to the lowest linear regression line with RSI(2) below 20.
So far, the low of the day is 11.39 and the high is 11.82.
Still watching at what price the 1day/1 minute will give a sell signal for a day trade.

MAMA may be heading for the hourly 200 ma that is currently at 4.94
The 1 day/1 minute downtrending linear regression line is around 4.96
The 3 month/daily regression line is showing price currently sitting at the line that is second from the top with RSI(2) dipping below 80(from above (80).
It also looks like the 3 month/daily linear regression/RSI(2) showed a sell signal at around 5.60

I'm amazed with the  1 Day/ 1minute Buy and sell signals of the Linear regression/RSI(2) for PKTR if I followed those today.

Buy = 8.78
Sell = 9.04

I don't know how to post a chart of that in here but if you want you could go to  http://www.prophet.net/default.jsp to check it out.
It's free!

Here's a quote from ny10013.
You could also check out the chart at the  technical analysis forum.

Quote from: ny10013 on February 03, 2007, 03:11:47 PM
The RSI (2) can be a helpful tool in trading, you can read more on it at.... http://biz.yahoo.com/tm/070110/15309.html

One method I stumbled on in the web and I'm using it to trade is as below. Remember nothing is certain in all the tech analysis methods, were just trying to improve our odds

The setup
Tools:  Go to http://www.prophet.net/ then -> Analyze; -> Java charts (free  )

1.   Detach chart and maximize it.
2.   In options, check only the Color Bars
3.   At the top, click on tools, -> studies, -> apply studies
4.   Using the pull down menu on select studies and click on RSI, Wilder
5.   Change the bar period to 2 and -> click ADD
6.   Again using the  pull down menu select Lin.Regr Ch,100% and click on ADD
7.   Again using the  pull down menu select Lin.Regr Ch,50% and click on ADD (this one mainly just breaks the empty space I rarely use it)
8.   Now click on SAVE at the top (if you have an account ... which is free you can save this setting) save it using your preferred name, click on OK and click close... and you have saved your parameters.
9.   Enter a symbol
10.   Using the pull down menu pick candle, next select 3 months, and in the last one select D for daily

Next how do I trade from this??

If the RSI(2) line is at the bottom, check the previous 2-3 lows for the stock and if the current RSI is lower than at least one of them, I would seriously consider buying the stock. If it is at its lowest.. I JUMP IN!

On the top chart if you see the price bar near, on or through the lower Linear Regression line (100% line).... I would seriously consider buying the stock especially if RSI(2) is LOW.

When to sell ... your call, the chart should tell you. If the price is near the upper linear regression line or RSI is peaking at 99%.. SELL...

If I'm looking for a possible short I'll do the opposite: The price should be near the top end of the regression and the RSI (2) peaking above around 99%

How can we screen the entire market for those that are set up for this??

Go to http://www.tickertuner.com then -> bullish regression -> enter price range and minimum volume. If I'm only interested with stocks with a rising trend I'll use the 3 month regression dropdown to indicate an upward trend. (free  )

For a possible short go to http://www.tickertuner.com then -> bearish regression ->... etc

Remember some do fail the test and I always check the recent news, message boards etc for possible skeletons that could spook the trend.

Next topic Will be on MACD and the Full Stochastics. I keep it simple; the triangles are just not for me.

Warren Buffet on gold ... "It gets dug out of the ground in Africa, or someplace. Then we melt it down, dig another hole, bury it again and pay people to stand around guarding it. It has no utility. Anyone watching from Mars would be scratching their head."

I did a scan of stocks that are crossing the 200ma and found ARIA.

This looks bullish right now but the linear regression/rsi(2) is giving a sell signal on the 3month /daily chart.
It is currently on the highest line of a downtrending linear regression line with the RSI(2) at 100.
I would like to follow this stock to find out which indicator would give the best signal  for entry.
I wonder where the price will be when the lower linear regression line is at its lowest and rsi(2) is below 20.

Is that an inverse head and shoulders?

The ideal inverse head and shoulders that I would really like to see though is:

Left shoulder = momentum low = Big volume outside the B-

1st Recovery Rally = touching the BB

Head = low volume inside the B-

2nd Recovery rally = touching the BB or use the previous recovery rally's high as resistance.

Right shoulder = low volume inde the B-

Breakout = a break above a tight bollinger band/recovery rally resistance with Big volume.

MACD = I would like to see a fresh cross of the MACD close to the zero line.
          = A divergence. MACD uptrending while the price action is downtrending.

Stochastics = a fresh cross of the stochastic close to 20

RSI = pointing up (better if it just came from below 30)

Historically, this is what I see:

stochastics crossed from below 20 (low of 4.07)
confirmed by a MACD cross
price had a recovery rally and exceeded BB at 4.55
price pulled back to 4.20.
A swing entry would have been just above the previous day's high after the price made a higher high with a stop loss just below the previous day's low.

I wonder how long it would take for the MACD to cross down and  cross back up again.
Would it be after the price hits the lowest line of the Linear regression  with the RSI(2) going below 20? This is where my entry would probably be.
      

After doing some more reading, this is what I'll be looking for.

A golden cross (50 above the 200 ma)
Uptrending Linear regression line.
Price near the lowest line of the Linear regression line.
RSI(2) below 20 (the lower,the better)

LJPC had a golden cross with volume recently and pulling back on low volume.
Linear regression is uptrending.
RSI(2) had been below 20 and even touched 0.
$6.0 low had been holding for 5 days so far.

These are the regression lines as of today.

5th line =  about 9.0 (rose above the 8.57 high)
4th line =  about 7.90
3rd line =  about 6.60
2nd line =  about 5.50
1st line = about 4.05

I would like to find out the which indicator would give me the best entry.

1) Enter when price is at the lowest regression line with the RSI(2) below 20.

2) When stochastics cross up from below 0 and has a MACD cross for confirmation, enter just above the previous day's high.

3) Wait for pullback of entry #2 and enter just above the previous day's high (when it makes a higher high).

Poll 
Question: Which do you think is a better strategy?
Buy strength as price breaks resistance.  0 (0%)
Buy weakness as price pulls back towards support during panic selling.  0 (0%)
Buy weakness but wait for second test after panic selling.  0 (0%)
Buy weakness as price pulls back on low volume  1 (100%)

Total Voters: 1

Thanks for voting

Now I would like to find out how members view the Linear regression/RSI(2) as a tool.

I wish there were numbers at the end of those linear regression lines.
When I was using e-signal, it was so nice to see numbers at the end of the moving averages.
I wonder which provider has those features for the linear regression?
I'm looking for suggestions.