Upward channel and downward channels will be analyzed to trade the breakout or the failed breakout aka the fakeout. Confirmation of a breakout = increased volume and increase volatility To trade the fakeout I will be using the Wolfe Wave theory to determine exit points to take a profit. I will also use the Wolfe Wave theory to determine exit points to take a profit for confirmed breakouts as well. http://i.investopedia.com/inv/dictionary/terms/AT-wolfe.gif I'm looking into diversifying my speculation by following a momentum and swing based trading strategy. The momentum trading strategy will look to take profits all throughout the day while exiting all positions by the end of the day. The swing based trading strategy will look to enter on the confirmed breakout/fakeout and hold it for longer than a day to capture bigger moves in the stocks price. How will I find stocks to trade this strategy with? I was thinking about looking into sectors that have been performing poorly or excellently for 1-4 week time span to narrow down the choices of stocks to trade with. I will use www.finviz.com free stock screener to find upward and downward channels. I will rank them with the highest probability of a successful outcome by the greater the volume, the greater the volatility, the greater the touches on the trend line and the use of some technical indicators. Now onto the technical indicators I haven't researched or looked into technical indicators that would aid me in my decision support for making these types of trades. I'm going to research past data of breakouts/fakeout stocks to see what multiple technical indicators were saying and try to find a common similarity between them to find a useable technical indicator that can help me with my decision support. Anyways I just listed my basic idea, I know more works needs to be done to make this trading strategy better than it already is. If anyone can recommend anything or give criticism that would be great. Thanks everyone and happy trading!!