To facilitate trading decisions, “Cycle” takes into account the three-time frames namely, Short term, Mid-term & Long term and uses it in various following contexts:
Context | Short Term | Mid Term | Long Term |
Trading frequency | Weekly-Monthly | Monthly-Yearly | Yearly |
Price range move | 100% | 100-500% | 500-1000% |
Stop-Loss | 25-30% | 30-40% | 50% |
Risk Profile | High | Average | Low |
Investment Duration | < 1 year | 1 year – 3 year | 2 years – 10 years |
Reversal | Previous Day | Previous Week | Previous Month |
“Cycle” conveys signals for every stock against all three respective time frames i.e. short term, mid-term & long term. The signals will essentially be BUY, SELL or WAIT.
Please refer to other “Cycle” tutorials on Short term investment & Long term investment for learning how to make use of various signal combinations.