Question:
I was thinking on your website that it might be a good idea to be able to sort stocks based on what kind of a base that it is in. Like a cup with handle, a flat base, a double bottom base, etc. You said that you like flat bases the best.
My Response:
It’s very difficult to come up with the algorithms to recognize those patterns accurately. I personally feel that there is no substitute for the ‘ol human eyeball 🙂 Combining the DI scores with the % from breakout and % from moving averages will give you a very good quick picture of the bullishness/bearishness of the chart. Using this info can cut through the clutter and give you a list of 10 – 15 stocks to focus on. Check the charts of those stocks real quick to narrow it down further, set your real time alerts and you’re all set!