Active Traders Special Report – Must Know Trading Technique

In the last 10 weeks from April through June 11th 2013 Active Traders have pocketed serious profits with this one trading strategy that has been proven to work time and time again no matter the market condition. Our strategy works because we use well timed aggression both in entering and exiting trades at key pivots. This is based on our understanding of human behavioral patterns, sentiment, and fundamentals combined with technicals.


Assuming $20,000 per trade position over 10 weeks your ATP trade alert cost was $500 if you had the Ultimate Package of ETF and Stock Trade alerts.  Total of 19 opened and closed out trades.  Worst trade -16%, best trade 36% in 3 days


Your Total Gains Over 10 Weeks were : $18,260 profits


– Assuming average of 3 positions open at a time or $60,000, Gain over 10 weeks adjusted is a 30.4% Gain


– SP 500 5.2% same period vs 30.4% adjusted for ATP



Review Trades Below:
Open positions now in AMBA 1/2 which is up 7.7%  and BYD which is a new position

AMBA 7% gain 1/2- 24 hours-

BYD 22% 1/2 2 days, and 36% 1/2 gains 3 days

NUGT 24% gains 2 days

BLOX 9.8% gains 21 days

P 9.8% gains 1 week

SEAS 7.4%  gains24 hours

TNA ETF 4.6% gains 24 hours

WLT- -7% loss 1 week

IOC 11% 48 hours

EEM 3.6% loss 2 weeks

MCP 3% loss 7 days

MUX 13% and 18% gains 1/2 each side 2-3 days

ACI 4% loss few days

SRPT 1/2  gains9.6%, 1/2 14.3% 1 week

CZR 2% loss few days

ATOS 16% loss 4 days

SEA ETF 2.6% gain few days

UGAZ ETF 7.4% gain few days

UGAZ 3% loss 1 day
 Your Total Gains Over 10 Weeks were : $18,260 profits


– Assuming average of 3 positions open at a time or $60,000, Gain over 10 weeks adjusted is a 30.4% Gain


Are you ready to start making money trading small cap stocks and 3X ETFs just like we are? Trade Stocks & ETFs Like a Pro – JOIN NOW


Live Interview with David Banister with Stock & Gold Outlook

I was just interviewed by Mike Swanson of in which we discussed our outlook for the stock market and gold.


I use trend psychology and Elliot Wave theory to understand and forecast the moves in the financial markets. In this interview we talked about my trend reversal trading method and what I think the stock market will do over the next few weeks.


You can also download the mp3 audio file for this interview on your computer by clicking here WITH A RIGHT BUTTON CLICK and selecting SAVE FILE AS from the drop down menu.


Get my Stock and ETF trades Now & Save 20%:

David Banister

Playing the ABC Gap fill for swing trading entry at ATP

David Banister

One of my favorite “Crowd Behavioral” patterns is the ABC Gap fill pattern. This is a normal correction pattern in the stock market that works off overbought sentiment. You can apply this to liquid individual stocks in most cases, and look ahead to spot potential entries on your watch list for trading.


A sample we will use today is KORS, a fast growth stock of the leading luxury retailer Michael Kors.  We notified our subscribers several days in advance to watch for a gap fill at $57 on this stock before entering a long trade.  We also spotted what looked like a classic C wave pattern coming down from a B wave interim top.


Sure enough it took several days but the stock worked its way down to $57 and hit the gap on the nose on February 26th.  It immediately reversed to end the day $2.25 higher or about 4-5% swing gains on this pattern. The chart below shows a 1, 2, 3, and 4 pattern with ABC making up the 4 pattern on KORS stock.


At ATP, we look for ABC and other patterns in growth plays and swing trade them long for reversals, just as the crowd of traders has stopped out and gone sour on the stock. Consider joining us by learning more a

Precious Metals and Stocks poised to ramp higher in 2013

David Banister-  Jan 22 2013

It’s been a long drawn out corrective affair with the precious metals since the August-September 2011 top that seems so long ago right now. During that last spike period where Gold rallied to just over $1900 per ounce, we had mentioned many times in articles and to our subscribers that GOLD was likely peaking in a wave 3 of excitement and high powered bullish sentiment. The “tells” were the articles, the CNBC mentions, the daily “CNBC GOLD” ticker at the top of their screen, and the cover of a major magazine.

Since that time, we believe GOLD has been consolidating in what we term a “wave 4” correction, which is a milder version than some others.  This is part and parcel of a 5 wave rally pattern and wave 4 is necessary to cool the engines of overbought sentiment and public love of the metals.  These wave 4 patterns can take many forms and shapes, but this one appears to be an irregular ABC Version which we have outlined below on the weekly chart views.  The length of period of time is nearing 18 months in total, but the lows in the 1550’s were already marking price bottom territories, and now it seems more of a matter of time before we see wave 5 up really take off.

This means that Gold and Silver Exploration stocks are very cheap as well, because the senior producers are seeing their stockpiles whittled away while their grades deteriorate at the same time. Once GOLD pops over $1750 per ounce we should see a rally in all the Gold Stocks, but especially in the exploration plays, which are historically undervalued here.  Take a look at our GDJX Junior Exploration Stocks chart at the bottom of this article as well. It will need some help to break the downtrend, but again we think the odds are in the savvy investors favor to speculate on a select few in this sector.


Consider joining us for free weekly reports or a discount subscription at


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B Wave the Seminal Event, blink and you miss it and the C wave up

David Banister-

The work at my firm centers firmly around a combination of fundamentals and catalysts, and crowd behavior. Yes, it’s crucial to understand herd mentality if you want to consistently enter profitable swing trades at the right time and price.  The Seminal event is analogous to what is called “the tipping point” in a new development stage of a company.  Learning to spot the pullback during this seminal event period and pouncing is crucial to making big money in the market.

This seminal event trading pattern I often call the ABC pattern, and we are looking to get long during the “B” wave portion of that 3 wave rally.  This B wave is where you get a combination of traders taking profits from the A wave rally as it begins to fade a bit.  Along with those profit takers come the late stage buyers who chase price action and therefore often fail in their trading. They often end up stopping out as the B wave progresses, or they get margin called as the B wave decline takes hold.

If you want to become a better swing trader, learn to be patient and not chase the A wave rally. Often a tipping point development is announced and a spike rally ensues, then the buzz picks up online and traders come in and chase the top end of the A wave spike.  What you want to learn is to sit on your hands and let the gas run out of the A wave, let the B wave pullback begin… and then slowly scale into your position as traders exit out not believing the move up will hold.

Samples of this are Research in Motion, Nokia, and recently Vivus.  We played RIMM and VVUS at my firm and recommended to our subscribers during the B waves. All of those companies were in the down and out mode, sentiment was negative, but then a seminal event took place that sparked an A wave rally to the upside.  The early traders rightly take their profits quickly leaving scraps for the chasers. The chasers end up taking losses during the digestive period of the B wave consolidation, which takes many forms on a chart.  The smart money then aggressively accumulates the B wave consolidation and profits from the C wave which can be 150-260% bigger than the A wave rally. It’s where the crowd really catches on in a light bulb moment of recognition that this time things are in fact changing fundamentally for the company in question.

Learn to recognize those “seminal events” where the A wave rally takes off, avoid chasing it, then pounce and scale long on the B wave correction. Below are some samples of the ABC pattern.

Consider joining us at to benefit from swing trades, crowd behavior, and fundamental catalyst patterns.


Trading the ABC Sentiment Shifts Ahead Of The Crowd-VVUS

Spotting the 3 day rest B wave for profits

VVUS-Dec 20th Updates:  We sold 1/2 at 13.25 for 11-12% gains, and held 1/2 long.  The stock is hitting 14.90 now up 25% for ATP since our original alert and we are holding long the remainder still

One of the most obvious keys to successful trading or investing is buying low and selling high. The problem being if it was that easy to pinpoint those low and high points then all traders would be batting 1000%.  What we use at my ATP service is a combination of fundamental analysis and catalyst spotting inter-twined with charting techniques.  Most of our work revolves around buying substantial dips in a strong stock, 3x ETF’s, or reversal patterns. 3x ETF’s are great for short term swings as they function almost exclusively on crowd behavioral patterns, but it also applies to individual stocks.

In all cases what traders really need to spot ahead of the masses of investors is a subtle shift in sentiment. That key pivot point where the negative sentiment whether it be short term or long term is about to run out of gas, and the bullish sentiment is going to take over and reverse the stock or ETF higher or break the position out of a base pattern.

One of the most common patterns amongst many that we use as trigger points is the ABC pattern. This is a situation where the stock or ETF recently had a strong run.  That run produced a flurry of over-optimistic sentiment and is reflected in the high spike in the stock from the prior base. We call this the “A Wave High” pivot point.  This is where many of the traders who chase short term performance come in with a bang, right near the top.

The next key component is obviously then the “B Wave” pattern.  There are many different formations for B Wave patterns, the one we will look at today is the “3 day rest” pattern.

B waves simply serve to work off the overbought sentiment of the crowd and remove the chasers who came into the trade high, at a loss. As the stock pulls back hard initially in the B Wave, stop losses are triggered by those with discipline.  However, many traders continue to buy more of the position a bit early during this crucial B Wave pattern and then later they also get stopped out.  Finally, Margin Calls are common and more stops are triggered and the B wave winds down and sentiment is horrible.

At that strategic bottoming area of the B Wave correction is where you want to start scaling long into the position for the ensuing reversal to the upside. Sometimes these are very short term trades as in 48 hours or so, and sometimes they are several weeks long depending.  Many of the B waves on daily charts are what we term a “3 Day Rest” pattern, spotting these is very profitable.

Below we have a very recent sample 3 day rest B Wave pattern in a stock my firm recommended prior to a 15% one day move a few days after we alerted it, this  being Vivus (VVUS).  This produced an 11% net gain inside of 4 trading days after a 15% one day pop C wave rally. The two charts below show the 10 day chart with the 3 day rest pattern which we scaled into, and then the C wave to the upside. Also shown is a longer term chart where you can see the pattern as well. We traded this same pattern in ANR recently for 9-11% gains inside of 48 hours as well.

Dec 20th Updates:  We sold 1/2 at 13.25 for 11-12% gains, and held 1/2 long.  The stock is hitting 14.90 now up 25% for ATP since our original alert and we are holding long the remainder still


If you’d like to learn more about trading sentiment and catalysts for profitable Swing Trading, then join us at ATP. Go to and subscribe by using coupon code AD499ATP in the coupon code field at the bottom of the sign up form. Sign up for quarterly and the discount will be applied at checkout, and you will get The Market Trend Forecast for free as well.

David Banister

It’s the Season to Own Utility Stocks

Chris Vermeulen

Over the past week I have been keeping my eye on several key sectors and stocks for potentially large end of year rallies to lock in more gains before 2013.

My recent calls have been RIMM (up 54%), AAPL (up 5%), FB (up 8%) so it’s been a great month thus far. That being said there are three other plays that look amazing and one of them is the utilities sector.

Looking back 30 years clearly utilities have a tendency to rally going into year end. What makes this setup so exciting is that the Obama tax for 2013 has caused many investors to lock in capital gains along with dividend gains so the utility sector has recently been beaten.

I always like to cheer for the underdogs because they can make large moves quickly and this season its utility stocks.

30 Year Seasonality – Utilities Stocks

Utility Stocks Seasonality


Utility Sector ETFs:

In the graph below I show the main utility ETFs for trading. Simple analysis clearly shows the selling momentum is slowing and where price should go if it can breakout above the red dotted resistance line. Exchange traded funds XLU, FXU, IDU, and DBU are the funds I found to be setting up.

Utility Sector ETFs


Utilities Sector Trading Conclusion:

While I feel utilities are about start moving higher it is important to mention that the broad market is setting up for a 1-3 day pullback. If the stock market does pullback this week then we should see utilities pullback also. What I am looking for is a minor pullback in XLU with price holding up above $34 while the stock market pulls back.

If you would like to get my simple yet profitable ETF & Stock Trading Ideas then join my newsletter today:

Chris Vermeulen

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November 2011-Jan 2012 Positions at ATP

(Bonus Stocks we trade around)

6 Bonus Positions from November into January all inclusive with results using our proprietary method of fundamental research, but more importantly mathematical modeling for timing of entry and exit.  This model was developed in 2008-09 difficult market conditions for ETF trading.  However, it has now been developed and expanded to include individual stocks with stunning results.

We are unaware of any other service using the same methodology for timing entry and exits:

Stock Trade Alert

Bonus Stock Trading Alerts

Stock Picking Alert Newsletter

How to Trade Stock Picks

At ATP we have incorporated what we call “Bonus Research Stocks” into a cue of tradeable positions that we can enter and exit out of with real time trim, buy, sell alerts to members. We believe that keeping a revolving cue of 6-12 stocks that are tradeable and that we also like the fundamentals on can be extremely profitable using our proprietary timing system.

We also add in some longer term positions that we hold, and also include what we call “Active Trades” which are scalp trades intra-day or a few days with entry, exit, stops etc.

The cost of ATP works out to about $11 per trading day per quarter.  We think it’s a great investment and less than the cost of one Round Trip trade at a discount broker.  Our Chief Strategist, David Banister has developed this timing system over years of research and is now actively using it in real time for ATP members in 2012 with stunning results.

Join us now and we will give you $150 off the first 90 days, and free TMTF ( subscription as well that covers SP 500, Gold, Silver, and other indices. 

Go to and subscribe by using coupon code AD499ATP in the coupon code field at the bottom of the sign up form. Sign up for quarterly and the discount will be applied at checkout, and you will get TMTF for free as well.

Email with questions

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Is A Bailout Band-Aid For Greece in the Works?

After breaking their August lows on the open yesterday and making a swoon the US market averages managed to rally in the last hour of the day thanks to hopes that a bailout band-aid would be used to assist Greece in its debt crisis.

I just put together this video in which I talk about what I believe is going on in the market right now and likely to unfold over the next few months.

Representatives from the International Monetary Fund,European Union, and the European Central bank are meeting with Greek government officials today in Athens and according to Reuters are likely to provide a new round of aid to Greece – what I’m calling a bailout band-aid.

However, they are attaching more austerity conditions on this bailout package and the EU, IMF, and ECB have sent inspectors to Greece to get a clearer picture of where Greece stands on its debt issues. On Monday Greece announced that it was expecting a debt to GDP ratio of 8.5% for 2011 in its budget target when most have been looking for a 7.6% target.

Yesterday that news helped to send world markets lower and contributed to the gap down Monday morning in the US markets. Markets are now trying to get a new foothold on hopes of a bailout band-aid. Greece has about four weeks until it will default on its debt unless another bailout package is granted to it. In my view we are likely to see such a bailout given, which would help provide a rally in the markets, and then a final default next year – all of this would be a controlled default and the rally and temporary reprieve for Greece would give international bankers several more months to transfer as much cash and assets out of Greece as possible before it finally defaults.

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