As you develop and perfect your trading strategy, you need to make use of the analytic tools available to help you. Use the steps in the following list to use technical analysis tools to your benefit:
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Determine economic cycle position.
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Determine position within sector rotation.
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Decide which sectors are ascending.
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Determine leading stocks in the ascending sector.
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Evaluate the Fed position.
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Confirm economic cycle with index charts.
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Determine whether leading sectors are range bound or trending.
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Determine whether leading stocks are range bound or trending.
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Enter the trade only if the stop-loss point is nearby.
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Trade within your preferred time frame.
