Imagine if you could predict when a stock was going to make a new bottom or top.
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These web pages will teach you some basic techniques used by traders to pick the tops of rallies and the bottoms of dips. If you want to talk to other traders about these techniques, go to the PureBytes.Com message boards. Investors and traders just like you go there to discuss the markets. First, take a look at this DOW chart. Fibonacci techniques allowed us to predict a probable top in the rally after that scary single-day 300-point drop. How??? Look at the Dow after our prediction. Could you make money if you accurately predicted tops like this? Now look at Amazon.Com (AMZN). Remember when Amazon.Com had just split, everyone was throwing their life-savings into the stock.. Then see how our prediction came true. When the crowd is in a frenzy, Fibonacci techniques can show you how to laugh all the way to the bank! You could have made money if you had predicted this bottom! The next chart will blow your socks off! How does this compare to your current trading methods? Forget about earnings announcements and merger rumors! When everyone else is chasing a stock as it soars in price, you wait for the stock to come back to your predicted entry point. Then you SELL back to the crowd as they panic to get onto the next price-surge. These techniques are also great for predicting probable profit objectives, but we'll explore that another time..It's not difficult to do this. But to accurately predict tops and bottoms reliably takes some experience and study. If it were easy and worked 100% of the time, everyone would do it! Unfortunately there is no free lunch. There are several books and courses on how to use Fibonacci techniques, the best I've found are the DiNapoli techniques at www.fibtrader.com . I strongly urge you to investigate that website. Here's how those tops and bottoms were predicted. (Click to learn how). With this basic lesson, you'll be able to apply these techniques in your own trading, and take another step towards trading perfection. There is much more to learn, so enjoy the journey!
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