Trend is your freind.Go along with trend.The barometer to identify the general business trend of market is the Dow Theory..As per Dow theory there are three trends: primary,secondary and minor trends. Identify significant tops and bottoms and mark it on line chart. The tops and bottoms – key technique – to identify the trend.The tops are supply zones and bottoms are demand zones.When demand is greater than supply we could buy a stock .On the other hand when supply is greater than demand it is the time to sell an assetThe presence of higher volume at HB-HT sequence for long position is the condition of Bullish. LT-LB Sequence ,High Volume followed with agreement in Indexes are conditions for Bearish as per Dow Theory.