RSprague01
26 posts
msg #161332
- Ignore RSprague01 |
9/1/2024 1:19:11 PM
Hello StockFetcher members. I know we have some brilliant minds on this platform. I do a lot of reading and I keep coming across the concept of momentum bursts. All of authors claim that they have and do make millions (overtime) from the momentum bursts. Do we have any traders who trade using this methodology? If so, what type of scan do you use? I know trading is personal, can you offer your thoughts? Below is a few concepts of what a good momentum burst is about.
How to Identify good momentum burst
A good momentum burst candidate will have following characters:
The day prior to range expansion day will be narrow range day or negative day
The stock will have 3 to 20 days consolidation prior to range expansion day
The stock will have series of narrow range days prior to breakout
On breakout day volume is higher than previous day
On breakout day stock closes at or near its high for the day (preferred)
Stock is not extended. First or second breakout at start of an up trend is preferred.
Stock should have linear and orderly move
A very volatile stock exhibiting drunken man walk kind moves should be avoided
Low float below 25 million is good. Below 10 million float leads to explosive moves
Low priced stocks (below 5 dollar) tend to make very explosive moves of 40% kind in 3 to 5 days.
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push5280
201 posts
msg #161333
- Ignore push5280 |
9/1/2024 11:06:39 PM
You may have already done this but...if you go to YouTube and look for the Stockbee channel, Pradeeb Bonde is a big proponent of the momentum burst strategy and has a number of videos where he explains the method and shows his scans with the criteria. There is also a good amount of info on the Stockbee website as well. It's a pay site but there is a large amount of info for free as well. At least there was the last time I visited
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RSprague01
26 posts
msg #161334
- Ignore RSprague01 |
9/2/2024 2:53:20 PM
"9/1/2024 11:06:39 PM You may have already done this but...if you go to YouTube and look for the Stockbee channel, Pradeeb Bonde is a big proponent of the momentum burst strategy and has a number of videos where he explains the method and shows his scans with the criteria. There is also a good amount of info on the Stockbee website as well. It's a pay site but there is a large amount of info for free as well. At least there was the last time I visited"
Thanks for your reply, Stockbee is an excellent forum that was mentioned by Kristjan Quilamaggies (spelling?). Both of these traders and a few others I have found use some sort of momentum burst strategy. Of course, we all know they will only tell you so much, for their true technique is their money maker. For myself, I have traded for several years and I do really well day trading my large cap stocks. My concern is that we are moving to a shift in the market and I think it would be wise to explore other options.
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xarlor
578 posts
msg #161335
- Ignore xarlor |
9/3/2024 3:23:38 PM
Maybe?
I borrowed most from this script and added a few of my goto lines.
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miketranz
961 posts
msg #161354
- Ignore miketranz |
9/10/2024 7:56:32 PM
Try this breakout setup I use.Best,Miketranz....
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snappyfrog
717 posts
msg #161355
- Ignore snappyfrog
modified |
9/10/2024 8:34:25 PM
@Miketranz
I use one similar to yours.
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miketranz
961 posts
msg #161356
- Ignore miketranz |
9/11/2024 5:18:20 PM
Snappy,looks good....
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RSprague01
26 posts
msg #161367
- Ignore RSprague01 |
9/14/2024 10:21:51 PM
I appreciate the filters, will give them a try.
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sr7
137 posts
msg #161385
- Ignore sr7
modified |
10/1/2024 12:02:14 AM
Here's the Stockbee-Momentum- STAR-Burst scan
I added the Aroon Oscillator --- if it's above the red line it's golden; if it's above the green line, it's gone platinum!
In the columns section, look for the highest number for the Aroon Osc 20 and avoid any stock with a number below 50, or any negative numbers. If you want to diversify, by the stocks with the 2 biggest Aroon numbers.
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