Imagine going to a high-end restaurant with a famous chef.
You get seated and you’re ready for a fantastic meal.
But instead of having menus, the chef arrives at your table and says, “OK, what should I make?”
Wouldn’t that be bizarre?
Yet, that’s what you’re doing when you try to create a strategy from a chart – it’s hard!
To create a strategy, you need a signal.
Wouldn’t it be nice if you had a menu of signals that actually occurred on a chart to choose from?
That’s exactly what the very underrated and free (!!) Stocks Like This tool at Trade-Ideas does.
Take a chart like GTX from 10/23. Let’s say you were trying to concoct a signal to fade the up move in the yellow rectangle below:
You would plug in the symbol, the date, the time of day, and the duration into the Stocks Like This tool (link to the results).
It returns a comprehensive list of the signals that occurred during that time period in the stock, along with the number of times the signal occurred. Here are the first few:
Rather than an open-ended starting point (like the chef asking you what he should make), this allows you to order a signal off a menu.
A much easier starting point.
Kick the tires a bit and let me know what you think.
-Dave
