The only stage you should buy in is Stage 2. Any other time you buy, you are guessing.
Never hold a Stage 4 stock and hope it turns around. Stage 4 stocks can go much further down than you think possible.
Volume confirms the move. A breakout on light volume is a warning sign, not a signal. Heavy volume means the institutions are behind it.
The 30-week moving average is your anchor. When the stock is above a rising 30-week MA, you are in a bull trend. Below a declining one, you are not.
Do not try to buy the bottom of Stage 4. You will catch falling knives. Wait for Stage 1 to complete. Then wait for Stage 2. Then act.
Relative strength separates the leaders from the laggers. Buy the strongest stocks in a bull market. Short the weakest stocks in a bear market.