New to the game

[FIGJAM]

As a dollar cost averaging method, you could just buy every time the standard stochastics cross up from below 50. That would ensure you catch most of the decent dips with hardly any work at all, and should achieve a much better ave price than buying once a week/month. Do this as long as the SP is above the 200EMA, and pause whenever the SP drops below.

Green arrows indicate where you'd be buying.

I see, so you buy on the downward trend to help save on stock costs. Then when it moves closer to the average and peaks it is worth more. Giving a greater profit % (if you sell at those times).

To understand that better I come back to needing to know how to read and set charts to suit.

[Gringotts Bank]

I see, so you buy on the downward trend to help save on stock costs. Then when it moves closer to the average and peaks it is worth more. Giving a greater profit % (if you sell at those times).

To understand that better I come back to needing to know how to read and set charts to suit.

This method would only be for the regular accumulation of small amounts of stock, then selling the whole lot 10+ years later. If you want to trade in and out, the stochastics won't make you profitable.

Any charting software will have stochastic indicators, even the free ones your broker offers. It consists of two lines, K% and D%. When they both go below a value of (say) 50, wait for the K line to cross upwards over the D line.
That's all there is to it. Buy at that point. Just an example. There would be more profitable ways of doing it.

[FIGJAM]

This method would only be for the regular accumulation of small amounts of stock, then selling the whole lot 10+ years later. If you want to trade in and out, the stochastics won't make you profitable.

Any charting software will have stochastic indicators, even the free ones your broker offers. It consists of two lines, K% and D%. When they both go below a value of (say) 50, wait for the K line to cross upwards over the D line.
That's all there is to it. Buy at that point. Just an example. There would be more profitable ways of doing it.

Awesome, thanks for that mate, I will be looking into it in the very near future.

[timeless]

Oh and I don't sleep much so I had plenty of time to put this info together

Hi Hangseng
I do not sleep much but for a different reason.
I would love to be where you are.
Yours is a great article and something I was looking for: that is there is a chance of success in stock market for a determined individual who is prepared to learn and apply strict rules in business.
I have determination and some skills that will be useful to achieve this goal but no experience in markets and trading.
As you can see from my screen name I have not much time to achieve my goals. Starting from scratch after divorce and little supper balance I have no chance to age gracefully unless I do something.
Thanks so much for encouragement and sharing your valuable resources and experience.
Cheers