Seeing Strength in Starhill Global
When I first started out in trading and chart analysis, whenever I see price breaks out from trend line, I often have doubt if the break is a true breakout or a fake break.
With years of research and trading experience, I've came to realise that a stock performance against the market and its trading volume help us to improve the probability of trading or investing into trend line breakouts.
In the above chart, Starhill Global, we saw price broke out from its multiple year downtrend line.
Breakout or Fake Break?
With the stock outperforming the market (Positive RS Indicator) and strong FFI (fund flow index), we have a strong probability that the stock 's breakout will follow through.
The RS and FFI indicators, we have helped to reduced the guessing game when analysing the chart.
Join us in our upcoming Richard Wyckoff Method Course to learn how improve our trading probability by understanding and applying relative strength concept and how to trade along side smart money and the market.
The course is organised in conjunction with SGX Academy.