Subscribe to enjoy similar stories. As we approach the close of 2024, it’s the perfect time to pause, reflect and take stock of our trading journey over the past year. We all know that trading is not just about making profits but about continuously learning from our successes and failures.
For me, this time of the year also provides an opportunity to assess which strategies have worked and which ones need refinement. It’s a crucial exercise that will help shape how I approach the market in 2025. With that in mind, I want to share a strategy that’s been particularly effective for me and discuss a set of stocks that have qualified under this strategy.
These are the stocks I believe should be on your radar heading into 2025. The strategy I have been using is a trend and momentum-based system with a clear bias towards long positions. I have named it the Bold Bulls strategy.
Its foundation is rooted in momentum, coupled with trend-following principles. The core of this approach is the relative strength index (RSI), which I use across three timeframes: daily, weekly and monthly. Trading style: Long-only Indicator: RSI (14 periods) Timeframes: Daily, weekly, and monthly I have chosen to work with the default RSI period of 14, a commonly used technical analysis setting.
This indicator helps gauge the strength of a stock's price movement and determines whether it is in a strong uptrend, overbought, or possibly due for a pullback. Here is how I approach the strategy: Entry criteria: The RSI on the daily, weekly, and monthly charts must all be above 60. This ensures the stock is in a strong bullish trend across multiple timeframes, indicating solid momentum.
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