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Using Pyramid Entry for 14% 3 day Gains

Often at ATP we use gap fills and pyramid scaling techniques to get the  best low risk entry before an upside reversal.

 

In the case of LEJU recently, this worked out perfectly on one of our August 2014 Swing entries alerted to members.

 

The stock had already corrected from post IPO highs at $14.50 in the preceeding days to the mid $12’s.  Since we had done the research on the fundamentals and liked the company and valuation, it was simply trying to time the best entry point for subscribers.

 

We alerted the stock at $12.55 per share with specific instructions to pyramid (Scale) in over 24 hours of trade time.  We mentioned the $12.06 gap that would probably fill in and also the $11.63 gap was possible.  By staging our buys into the stock over that 24 hour window our net average was $12.25, and for some subcribers alot lower than that.

 

Within 3 days the stock reversed course as the gaps filled and rallied back to $14 for a nice low risk 14% upside move.

 

Join us for more of the same! Our focus is always on  Fundamentals first, and then proper entry and exit… when combined they are powerful!

818 LEJU

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Strategies for July Earnings Season

It’s July earning season and stock rotation time, do you have a plan?

This period of time in the market always brings rotation from 2nd quarter leaders to new 3rd quarter leaders. The 4th of July light holiday week trading tends to have an upside bias. Then when the following week of trading begins in July we see more volatility as investors brace for quarterly reports and outlooks ahead.  Already we are seeing early drops in prior market leaders as we begin full July trading, and a sell off in small cap biotechs on Monday.

 

The most volatile periods in the market tend to be in January, April, July, and October and as you can guess those are all quarterly report periods for US listed stocks. Traders are betting on good earnings reports, and even the shorts are betting  on bad earnings reports from company to company.  Often the best strategy is to avoid holding a stock into an earnings report, and instead perhaps trade into the earnings report but make sure you are out 1-2 days  prior.  Maybe they report a great quarter and the stock spikes, but in many cases you can get crushed for 10, 15, 20% losses or more following a conference call with a bad outlook. A company can report a great 2nd quarter but the outlook is not strong for the 2nd half, or the profit margins were not quite what Wall Street wanted, or the earnings didn’t beat by enough.  Instead, look to buy a good stock after a post earnings pullback and consolidation whether the report was “good” or “bad”.  Don’t get burned trying to speculate, speculators lose money in the markets… trade smart!

 

We do trade during earnings months, but we trade a bit differently.  Join us to learn and earn!

23% in 4 trading days with crowd behavior and pullback trading

David Banister: www.ActiveTradingPartners.com
Over at our ATP swing trade service we look for a combination of fundamental and technical catalysts to spot opportunities for out-sized market beating gains. We are big believers in crowd behavior as it applies to financial markets and trading, and we use that along with our market experience to identify low risk entries with high reward potential.

 
This week we take a look at WUBA, the Chinese version of Craigslist if you will. Often you can exploit recent IPO’s that have a low amount of floating shares relative to possible demand from investors and traders. If you can hit the right sector and right stocks correctly, especially on pullbacks you can profit tremendously.

 

View Our Track Record: http://www.activetradingpartners.com/elliott-wave-theory/

 
What we saw with WUBA was an IPO that had ballooned from $20 to $40, and then when their first public quarter was reported the stock fell all the way to $27. We sat back for a few weeks and watched the trading to see if we could confirm a bottom or some type of consolidation pattern. When we noticed that we were approaching a Fibonacci 13 trading day pattern, we sent out the buy alert to our subscribers and attacked.

 
We picked 31.70 and lower as the entry points because of the resistance at 31.80 on the charts we saw. Often you can use those selling resistance points to act as your ceiling for where you want to enter a trade. As those sellers are scaling out of their positions, they are feeding you supply to accumulate for the move upwards.

 
The stock sat in the buy range for a few trading days and then in a 4 trading day window ballooned 23% to the close on Friday. We sold ½ along the way to book some gains, and held the other ½ for higher potential. Here we had a combination of a hot “Internet” sector along with a hot “Chinese” sector and a pullback in a low float post IPO trade, a recipe for booming profits if played right.

 
Here is a piece of the Alert we sent to our ATP subscribers verbatim:
Profitable business, growing recently at 65-70% year over year. Most recent quarter 10 cents a share in profits which disappointed Wall Street with their short term focus.  This brought the stock down from 38 to 27 ranges, and it has based for just over 13 trading days.

 
It is now likely coming back up and will target $38 if we are right. Buy at 31.70 or lower, no stop yet.

 
This was then followed by a 1-2 day base period in the buy ranges we projected, and then we actually went past our $38 target for a 23% swing in 4 days total of trading time.

wuba

 

 

 

Join us at www.ActiveTradingPartners.com to use crowd behavioral dynamics, fundamentals, and technical’s to smash the market. Check out our track record online and sign up today!

 

 

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ETF trade alerts for one low price!










 

Where can I send you my important analysis?

 

Time to buy out of favor ETF’s for 2014?

David A. Banister- www.ActiveTradingPartners.com

The best time to buy cheap is when you are afraid to bring up your ideas around the water cooler at work for fear of the peer laughter. Our work centers on looking for oversold conditions and crowd behavioral anomalies that can give us better low risk entries with good upside potential. A combination of fundamentals and technical, combined with Elliott Wave Theory patterns can lead to nice profits with low risk.

 
For just a few quick ideas that would make sense in this area, we point out 3 ETF’s that you could look at entering now as they are way out of favor and very oversold.

 

Gold Stocks: GDXJ

 
The Junior Miners index is high risk, high reward. However, if you time the entry right at the opportune moment the upside is very high with low downside risk. With GOLD out of favor, we have been pounding the table the last 10 days or so that there are only 4-5 weeks left to buy quality miner names. Instead of picking through them one at a time, you can pick up the high beta play GDJX ETF.

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How about Brazil?
Everyone hates Brazil stocks now, but they have some of the most valuable natural resources in the world, and Brazil almost always bounces back strong off bear cycle lows. Here is a way to play the commodity rebound we see in 2014: EWZ ETF

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It’s not too late to eat some Turkey:
The country TURKEY also often is a very volatile play to invest, but going in during very oversold conditions often plays out to the upside for gains later on. ETF TUR is beat up, it’s time to buy.

chrart3

 

 

Join us at www.ActiveTradingPartners.com to use crowd behavioral dynamics, fundamentals, and technical’s to smash the market. Check out our track record online and sign up today!

 

Join Before Jan1st and Get Both Our Stock And

ETF trade alerts for one low price!










Where can I send you my important analysis?

ATP Smashes Market In August- Updated Track Record

Our Track record updated through August 28th 2013, our last Closed out Trade.

During the month of August we opened and closed 12 Trade Positions.

 

Each position is assumed to be $20,000 for calculation purposes, but what matters is whether its a Full or 1/2 Position.

 

We can see our positions below resulting in gains of just over $6,000 assumed with a $60,000 weighted portfolio.

 

This is a 10% return vs -3.13% for the SP 500 during August using our methodology of swing trading.

august atp

 

Taking our work from April 1st 2013 to August 28th 2013 we are up just over 53% weighted average non compounded vs 4.49% for the SP 500 index during the same period with a total of 57 open and closed positions, about 10-12 per month.  This assumes 3 open positions on average over that period of time and is based on all closed out trades.

ATP chart to 83013

 

Consider joining us for ETF and STOCK swing trades, some held for days some for weeks, and often in 1/2 or full tranches depending. Entry and Exits given along with stops and ongoing position updates daily.

Returns based on closed positions, assuming 3 open full positions on average during the period. Sometimes we have no positions open, sometimes 1-5 depending.  The returns are non compounded, just simple returns not assuming re-investment of gains.

 

 

 

 

 

 

 

 

 

Trading Around Core Positions for Big Gains- DATA

At our ATP Swing Trading (Stock and ETF) service, sometimes we are in and out of a position quickly and other times we actually hold for awhile, but do some trading around the “Core” to maximize our gains and our time in the market.

 

Todays’ example is Tableau Software which we really like for long term growth, but there are going to be periods where the stock dips, and ebbs and flows.  Well, instead of sitting around doing nothing, we can make some money while holding a core position on the  swings.

 

We recommended the stock in the 54-55 ranges for a full position in June, a recent IPO.

 

The stock bucked and kicked but moved up to over 59 and we alerted our traders to sell 1/2 for 8-9% gains.

 

We waited quite a while and then a few weeks later we alerted to re-enter that 1/2 position sold in the 54-55 ranges again which we did.

 

Now back to a Full position, we sat on it for weeks and then after earnings we sold 1/2 at 72-73 for 30% plus gains, holding 1/2 long.

So here w

e are today, having booked 8-9% and 30% gains twice already, and still holding 1/2 the position from 55 at 69 per share.

 

Join us to profit and benefit from our experience in ETF and Stock trading, both short and intermediate term hold periods. Our April 1 to Aug 30th closed positions track record here

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How we parlayed Market views for a 6.4% 3 day gain- TZA

Over at our TMTF (www.themarkettrendforecast.com) service, we look at pivot points for the SP 500 and Gold typically both on a short, intermediate, and long term basis.  This foundation is often used to parlay those views or forecasts into 3x ETF trades, such as TZA, NUGT, DUST, TNA etc. Often at our ATP stock and ETF trading strategies we use that knowledge to then profit with 3X trades.

 

In this case, we look at a recent trade based off our forecast that the SP 500 was only going to bounce up in a B wave bounce, and then head back down.  Assuming our pattern analysis was then correct, we entered TZA from 26.10 down to 25.40 ranges as the bounce completed, timing it just right.

 

OUR ETF Trading service is a component of ActiveTradingPartners.com and you can subscribe just for 3x ETF and other ETF trades if you wish as a standalone option.   In this case we E-mailed and Texted out the alert for  TZA to scale in long, and then just 3 trading days later we exited at the open of the market early this week, feeling it was oversold and TZA had peaked out.

 

We exited at the open for 6.4% average gains, and in the next 24 plus hours TZA dropped all the way back down to the low 26′s from our 27.40 exit.  Once again, we used our Elliott Wave based analysis coupled with a few other indicators to take advantage of market volatility.

 

Consider joining us for ETF only trades or both Stock and ETF trades at www.activetradingpartners.com

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How we bought right and sold right for 9-15% gains AMBA

At our ATP trading service, we look for entries on pullbacks in strong stocks.  We also look for the opportune times to sell and take our profits out of the market, which is what the purpose of swing trading is after all.

With AMBA, we alerted our traders to buy only from 16.50-17.10 ranges on July 8th.  Over the next 48 hours the stock dipped right into those exact ranges, bottomed at 16.50, and then shot higher.

On July 18th we sent an alert to sell 1/2 the position at $19.24 per share for 13-16% gains depending on entry point.

We held 1/2 long in case it broke higher, but 6 days later on July 24th we alerted to liquidate the remainder at 18.60 ranges for 9-10% gains on the back 1/2 of the position.

Our net gains were in the 12-13% total return ranges on this swing.

We can now see on July 29th, just 5 days after our last sell alert that the stock broke down and dropped into the mid 17′s…once again affirming our sell timing was spot on to lock in the gains.

Join us for Position Trading where we hold anywhere from days to multiple weeks depending on various positions. We update them every day and provide entry and exit points and real time Text and Email alerts (Stocks and ETF’s)

www.activetradingpartners.com

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How to make profits on gap fill swing trades every week

As a short term trader, one of the best ways to make consistent profits and take them out of the market is buying oversold gap fill set ups. I’m looking for strong stocks that are having very rapid short term pullbacks in price.  When I see the pullback, I immediately check the 5 or 10 day charts on an hourly basis and look for any gaps in the chart below.

 

Gaps are a situation where a stock moved up with a higher bid price than a recent closing price (Can be on a 15 minute, hourly, or daily basis even) and never came back down to where that Gap was created.  These gaps often close because traders set stops just at or below where that gap was created and then often the computer trading systems end up running all the stops until the final stops are filled at or below those gaps.

 

I use that type of arbitrage and volatility to scale into that stock as the gap is approaching.  I never try to buy the exact gap because often a stock will fill the gap on 100 shares and then reverse quickly to the upside, and then you are stuck watching and or chasing the stock higher. This only adds further risk to your trading, not less.

 

Often a gap will fill and the stock will dip a bit below the gap as well, so I will continue to buy shares as that occurs as well looking for the reversal while lowering my average entry point at the same time.

 

We have a real time sample below in DATA (Tableau Software) a recent IPO.  This stock is pretty thinly traded so it can move up or down a few dollars quickly for no real reason, thus creating the arbitrage.  Yesterday this peaked near $60 and as of this morning it was trading below $55 per share on light volume as a gap on the 10 day chart was sitting there around $54.80.  Noting that gap and the near term oversold condition, as a trader, you would want to begin to buy just over 55 and down to and below the gap. The stock filled that gap and dropped into the 54.50′s briefly.

 

The stock then recovered to $56.30 just 15-20 minutes later, giving that trader a quick $1.20 -$1.50 per share profit on his or her position in very little time.

 

Now this pattern repeats over and over again every week in the market giving the savvy trader opportunities all week long.  At our ATP service we somewhat use the same idea, though not on a 1-2 hour scale per se, but the same general concept applies.  Time frames can be much different, but the idea is it is one reversal technique you can deploy with attack capital to take money out of the market.

 

You must be quick on your feet and not afraid to pull the buy trigger, add to your position, and then move to sell at the appropriate time.  This technique is best for the more advanced trader who has time to watch the screen.

 

Join us at ATP for Real Time Stock and ETF Alert set ups with ongoing buy and sell advice. WWW.ACTIVETRADINGPARTNERS.COM

 

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