SWING TRADING MASTERCLASS: Trade With Champion Stocks

Explore the canslim framework for selecting top stocks by current earnings, annual earnings growth, roe, new product leadership, rising volume, strong relative strength, institutional sponsorship, and favorable market direction.

Canslim's current earning criterion requires year-on-year quarterly earnings to rise by at least 25%, measured by pat or eps, implying rising profits and stronger stock performance.

Identify leading stocks versus laggards relative to the index using price action and relative strength, and use MarketSmith filters to select top leaders for swing trading.

Explore how promoter and institutional holdings signal confidence, while rising retail ownership indicates risk, with examples from IT and finance stocks showing mutual funds and foreign investors driving uptrends.

Identify market direction to guide stock selection; when the market is bullish, the index and stocks move together, with stronger buying candles and lower selling volume.

Log in to TradingView, copy paste the EMA 50/200 pine script and the volume indicator, save them, and apply both indicators to the chart for enhanced analysis.

Identify bullish support candles, which close strongly above 60–70% of the candle and have above-average volume. These candles act as support and predict a potential upside bounce.

Identify bullish and bearish support candles with a strong close, 60–70% of the candle size, and above-average volume, while ignoring other patterns for uptrends and downtrends in swing trading.

Identify bullish continuation moves as candles close above the previous high after 3–4 bullish candles, signaling a strong uptrend; note reversals when candles close below the previous low.

Identify a bearish resistance candle in a downtrend that closes below 60% of the body with above-average volume, acting as resistance during retracement and signaling a continuation downward.

Identify bullish support candles by a close above 60–70% of the candle body and above average volume, with examples showing uptrends continuing or pausing when criteria fail.

Identify support and resistance as demand and supply zones, observe price reactions such as v-turns and u-turns, and track breakouts that convert resistance into support in an uptrend.

Explore the stage 2 growth phase where breakout from accumulation occurs as demand exceeds supply, big players buy, retail participation rises, and prices stay above the 200 moving average.

Identify that in a downtrend, lows break and highs persist, whereas in an uptrend highs break and lows persist; use moving averages 50 and 200 for analysis and selling opportunities.

Learn volatility contraction (VCP) to spot lack of supply and potential breakouts, analyzing price contraction with volume context, pivots, and stage analysis for swing trading.

Observe repeated volatility contractions (VCP) across moves, confirmed by lower volume, price compression toward stage two with 50/200 moving averages, and breakouts as entry points with disciplined stop losses.