Examples – Pristine Buy Signals
Pristine buy signals are shown in magenta on the charts below. They attempt to catch a bounce from an oversold condition, based strictly on price (the volume is not considered). The Pristine buy signals are more plentiful than the Climax Low signals, affording more buying opportunities, but they also tend to have a higher failure rate in a weak market.
The Relative Strength Ranking is plotted as an indicator line in the top window, and the 50-day and 200-day XMAs (eXponential Moving Averages) are plotted in blue and red on the price window. The 17-day XMA of volume is plotted in blue overlaying the volume bars.
Pristine buy signals are designed strictly for an up-trending stock. Signals occur fairly frequently, as opposed to Climax Low signals.
More pristine signals providing some excellent entry points.
They work on choppy stocks too. Not that there's any reason to trade a volatile pattern like this. There are much better ones out there.
Plenty of entry points for shorter-term trades, or longer swings. The signal is based on a short-term event, so it has mostly a short-term predictive power, but sometimes a longer-term low will coincide.
More pristine buy signals. Note the one that went down. They don't always work out.
