USLV adding stength

USLV continues to slowly, quietly build a base.  It is still vulnerable to a breakdown at this point because those two spikes lower right could be counted as a-b-c.  But they look more like the early stages of a larger breakout to me and so I would continue to follow my original view on the matter which was to own it but to use stops.  In fact, if this is building into a rally then you should now be able to move your stop up to $40.35 without getting taken out.  That is only 20 cents below my original buy point.

There is nothing better than getting in on a dip like this with tight stops which are based on some kind of trading plan instead of emotion. It does not mean you won't lose something but it does mean that losses will be very small.  Do this intelligently enough times and you will find that you begin to win consistently over time through the use of logic and discipline whereas most market participants use gut feel and emotion.  By using EW as a trigger mechanism you take away much of the built in advantage of the house.  EW is the stock trading equivalent to card counting only I think it is even better given that with stocks you get to control how much you are willing to lose if you lose while leaving your upside unlimited.  In cards, each hand is either a winner or a loser of a fixed amount.