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VIPS Shows How To Buy Support And Sell Resistance

Buying stocks as they emerge from technical set-ups close to support is the key to consistent succession the stock market.
From doing this and only this, our paying subscribers have earned over $7,000 in profits from trades featured in our newsletter in the past six weeks!
 
We will walk through some of the profitable set-ups and show you current set-ups that have yet to trigger in a FREE webinar THIS FRIDAY at 1:30 p.m. PST.  Click here to register.
 
Let’s look at VIPS:
 
 
 
The traditional buy point is the red line, but as you can see the early, alternative entry buy point was a break above the pink trend channel.  
 
Buying at an alternative entry point isn’t about getting in early.  It’s about buying a leading stock at an entry point that’s closer to support.  As you can see here, VIPS’ alternative entry point is much closer to three levels of chart support — the blue line, the green trend channel line and the 50-day moving average.  Whereas buying the breakout at the red line is buying much farther away from support.
 
It’s also about managing a stock should it go against us.  Buying a traditional breakout requires using an 8% stop loss.  But that doesn’t take into account what the stock is doing technically.  You could be down 8% but the stock is still above support. 
 
That’s why so many times a stock triggers the 8% stop loss rule, shakes out those that bought the traditional breakout and then it takes off WITHOUT THEM!
 
By buying closer to support, your stop loss is much lower than 8% and you are stopping out BECAUSE THE STOCK BROKE SUPPORT vs. stopping out just because it’s 8% below your buy point. 
 
That’s why we buy leading stocks at alternative entry points.
 
Those that bought the VIPS breakout have only modest gains.  For our subscribers, they’ve already locked in a 10% gain and have deployed their profits in other opportunities.
 
We will talk more about this and other set-ups and show you current set-ups that have yet to trigger in a FREE webinar THIS FRIDAY at 1:30 p.m. PST.  Click here to register.
 
Here’s what some are saying about our weekly webinars:
 

“Just wanted you to know that with your help and David’s my rollover IRA is now only down a little over 8K.  Back at the end of April I was down over 40K.  I have confidence that I will be profitable in 2014 with your help!” Barbara

“Excellent presentation by Dennis and David.  I especially love how this rally has you both excited again.  Great presentation which helps me better understand trend trading techniques.  Thank you both.” Greg

“My first time her and this is just what I need.  You are GREAT…Thank You!!!” JL

Why You DON’T Want To Buy Energy Stocks Right Now

It’s been rough sledding for the MOMO Internet and bio-tech stocks the past two months to say the least.  And now it looks like the darlings of the stock market of late — the energy stocks — could be next on the list.

We’ve heard time and time again that energy is the place to be.  Guess what, two months ago we heard that growth was the place to be.  Sure for right now they are overall still standing and in clearly defined up-trends BUT that also can make them a target because? For one thing there is a theme out there of “Those who haven’t gotten It MAY yet get It” and two is that it’s a crowded place compliments of the Ra Ra Ra from the cheerleaders.  
 
Typically when everyone is leaning one way? The market tends to head in the other direction. 
 
We are starting to see some early warning alert patterns showing up in this space in the form of potential double tops.  So, that all said IF these names start breaking lower? Are you going to follow the herd off the cliff?  Besides, they are ALL extended to say the least and we all know what typically happens to extended bus chasing stocks right? No low risk long side entry points that’s for sure.
 

 

A double top headed into earnings, then POW down she goes.  Now take a look at these:

 

 


 

 

 

The Double Top formation is your early warning sign that a change in trend MAY be near.  Rather than chase them here, wait for them to pullback in an orderly manner to support and then buy them as they move higher off of support.  

In addition to this — tomorrow, Friday May 9th, at 1:30 PM PST we will hosting a FREE webinar on a trade set-up complete with real examples that have yet to trigger trades.  We’ll tell you which stocks to trade and when! You can’t afford to miss out.

In addition, following the presentation you’ll have a chance to ask questions about any stock, the market or general investing/trading questions.  Click here to register for the webinar.

What To Do With The Market’s Bounce

Last week, we said: 

“However, both indexes are at or near MAJOR support levels. That means that we are ‘in the zone’ for a bounce of some sort in the next couple of days.”
 
And a bounce is exactly what we got:
 
 
 
But as you can see even with last week’s bounce, we are still locked in a downtrend.
 
As we look ahead to next week, should we break out of the downtrend to the upside, we’ll want to take advantage of buying stocks doing the same.  And should we remain in a downtrend, we want to short stocks that are also locked in downtrends. 
 
As we’ve said before: Success in the market comes from trading stocks in tandem with the indexes.   
 
Should the markets break higher, then FF is an excellent long side candidate:
 
 
 
Here we have a leading stock that like the Nasdaq is in a mini-downtrend and pulling back to a prior breakout level.  Think: “As go the indexes, so goes FF!”  Ideally, we’d like to see FF continue to pullback to retest support at the blue line one more time.  A break above the light blue line to the upside is your long side trade trigger.
 
But should the indexes continue to be in a downtrend, then we’ll want to take short sell positions in stocks that are in downtrends like PANW:
 
 
 
This stock has rallied off of recent lows up to an area where it could easily find resistance — the 50-day moving average.  A break of the pink line to the downside is your short sell trade trigger 
 
Either way — whether the indexes go or down, we have set-ups for our members to enjoy profits. 

To learn more, sign up for our free newsletter.

5 Year Anniversary of a Long Bull Market

This five-year anniversary chart is by Chris Kimble of Kimble Charting Solutions.

(Click on the image below for a larger graph.)

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Follow Chris on Twitter @KimbleCharting.

Market Madness — The Start Of Something Bigger Or Just Another Buying Opportunity?

It’s mid-March and that means March Madness or shall we say…Market Madness?
 
While the powers that be will be “selecting” today who gets to go the big dance, we too are selecting how we will continue to profit from today’s market.
 

This is the kind of market we LOVE.  Why?

 
WHAT’S NOT TO LIKE!
 
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We buy stocks at low-risk, alternative entry points.  That means we buy stocks that have pulled back to support in tandem with the indexes.
 
In addition to seeing the indexes pullback towards multiple support zones, we are seeing a ton of names setting up low-risk, alternative buy points. 
 
When the stock market sells off to the degree it did last week, 2 scenarios are commonly debated:
 
1. Is this the start of something bigger with more downside to come?
2. Is this another opportunity to step up and buy leading stocks at discounts?
 
#2 has been the winner each and every time the market has pulled back like this for the past 5 years.  At some point that trend will change, but for now that’s been the ticket.
 
How do we know what will eventually happen here?  We can look to the charts of leading stocks for clues.  After all, it’s a market of stocks, not a stock market.
 
Let’s take TSLA for example:
 
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When looking at the charts of leading stocks such as TSLA and others on the watch list for our paying members, we see stocks that are acting in positive fashion.  In fact some leaders actually hit new highs last week and many others are pulling back gently.
 
That tells us that most likely this latest pullback in the indexes could eventually be another opportunity to get paid from buying leading stocks vs. packing up and running for the hills.

To learn more, sign up for our free newsletter.

Week In Review: March 8, 2014

Friday sure was exciting around here.  Around mid-day we issued a trade alert to our paying members to buy a leading stock that was triggering a long side trade after pulling back to support.
 
3 hours later, our members are sitting on a gain of 7.4%!!!
 
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Friday sure was exciting around here.  Around mid-day we issued a trade alert to our paying members to buy a leading stock that was triggering a long side trade after pulling back to support.
 
3 hours later, our members are sitting on a gain of 7.4%!!!
 
 
 
 
 
Membership in our newsletter is just $29.99/month.  Friday’s trade in PANW alone paid for 2 years of our service!
 
If someone came up to me and said for your $30, I’ll give you back over $700, I’d say talk about a slam dunk!
 
 
DON’T LET ANOTHER WEEK GO BY SITTING ON THE SIDELINES WHILE OUR MEMBERS HAVE ALL THE FUN! 
 
As far as the market goes, last week was one where we started off with a Russian-induced sell-off followed 24-hours later by a powerful rally to take us to new highs which is where we closed Friday on the S&P 500.
 
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As far as leading stocks go — most acted well. 
 
One other stock on our watch list triggered a long side trade in which our paying members were sent a Trade Trigger alert to trade this high-performing leading stock in tandem with us! 
 
This high-profile leading stock remains in buy range, but it could take off as early as Monday morning!
 
Other leading stocks continued to pullback in an orderly manner and are close to triggering long side trades.
 
TOMORROW our paying members will receive a new watch list FULL of new set-ups like PANW shown above — leading stocks that have pulled back in an orderly manner to areas of support and have been carefully selected by our team of experts.
 
Join today to get your list in time to be ready for profits come Monday morning. 
 
DATA is a great example:
 
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Here’s a leading stock in a confirmed uptrend that has pulled back nicely to areas of support.  A break above the pink line triggers a long side trade.
 
DON’T MISS THIS POTENTIALLY EXPLOSIVE TRADE!
 
Become a paying member today and start earning consistent profits in the market from leading stocks like those above!
 
For just $29.99/month it’s a steal!
 
“You are teaching me beyond my wildest dreams.  IBD’s selling into 
weakness and buying into strength has lost me a lot of money over the 
years.  Thank you again,” John — Gilbert, AZ
  
 
DON’T MISS ANY MORE PROFITS!!!
 
LET’S START MAKING MONEY TOGETHER!
  
If you want to see your portfolio EXPLODE, then you are in the right place!
 
We have a simple, low-stress strategy that has achieved a portfolio return of 99% since 2008 – that’s more than double of the S&P 500 during the same time period!
 
Our unique method of buying leading stocks on pullbacks to support vs. chasing them as they make new highs gives our subscribers an extra edge to buy and own leading stocks and quickly profit as they make new highs! 
 
To help you beat the market by focusing on buying leading stocks at alternative, low-risk entry points, we use these 3 steps in this strategy:
 
1. We find quality trade set-ups
 
2. We educate you on those set-ups and how to trade them.
 
3. We send you email alerts when a stock triggers a trade and another email when we are locking in gains.
 
That’s it — all for just $29.99/month to do nothing but trade in tandem with us and enjoy consistent profits!
 
Plus, we’ll take you step-by-step through the trading process, so you know exactly why we expect the trade to deliver.
 
Here’s what a couple of our members have to say…
 
“I am a new member. Just want to say thank you for the stock recommendations as well as the watch list. I have bought 2 picks thus far and I am currently up nicely on both picks.  This is a fantastic newsletter. The notifications are timely every day.  Again, thank you and wish everyone a Merry Christmas and a Happy New Year.  I already got a nice gift for myself by subscribing to this newsletter,” Fred — Kentucky 
 
“You have done so much good work for us all these years. I have learned a lot from you. You are the best and deserve the best. Thank you and good luck all ways,” John — California   
 
We know you’ll love us as much as they and hundreds of other members do.
 
 
“I’ve got to hand it to you guys. I’ve been a member for a while now and it’s finally sinking in. The repetition is invaluable since there are so many aspects to consider simultaneously. Not only am I trading some with you, but I am branching out identifying my own trades and that’s working too. I can’t believe how many times when I’m looking at an issue I am interested in, I can hear a tiny voice saying, “Trade what you see…etc” . There’s a lot of meaning in that short phrase.
 
THESE ARE NOT BUY RECOMMENDATIONS! Comments contained in the body of this report are technical opinions only. The material herein has been obtained from sources believed to be reliable and accurate, however, its accuracy and completeness cannot be guaranteed. All About Trends reserves the right to refuse service to anyone at anytime for any reason. Allabouttrends.net is not an investment advisor, hence it does not endorse or recommend any securities or other investments. Any recommendation contained in this report may not be suitable for all investors and it is not to be deemed an offer or solicitation on our part with respect to the purchase or sale of any securities. All trademarks, service marks and trade names appearing in this report are the property of their respective owners, and are likewise used for identification purposes only. The member/subscriber agrees that he/she alone bears complete responsibility for his/her own investment/trading decisions. Allabouttrends.net shall not be liable to anyone for any loss, injury or damage resulting from the use of any information. Trade at you’re own risk, this information is strictly for educational and informational purposes only. Allabouttrends.net assumes NO responsibility whatsoever for any losses experienced by anyone who uses its educational materials to make financial decisions. All charts courtesy of stockcharts.com.

Finally, we have a public list at www.stockcharts.com — you can help us out by voting for it each day. At the bottom of our list is a place to vote for us. Voting for us each day helps our list get closer to the top which means more visibility and more subscribers and more opportunity for us to help others like you be successful.

 

Be Careful Buying Breakouts In An Extended Market

Take a look at SN here for a moment. 

 

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In our newsletters, we often warn about buying fresh breakouts with markets at resistance vs. support.  Secondly, see the vertical ramp up off lows?  Because this issue has really spent no time digesting that move up via sideways through time or down through price when you get bad news that comes out of the blue over which you have no control over anyway you get what you got yesterday.
 
In addition to that? We talk DAILY around here about TRADE SIZE RISK MANAGEMENT!  It’s the one most important thing we stress around here (NOT BITING OFF MORE THAN YOU CAN CHEW) We stress employing no more that 5-7% of one’s portfolio into anyone position.
 
Recently we heard someone talking about putting 20% of ones portfolio into this name. First off that’s JUST NUTS when it comes to managing a portfolio from a risk management perspective.  Sure it’s all fine and dandy on the way up for the Greedy Gus’ of the world as long as they are willing to pay the price (Most Gus’ say they are but when this happens are they really?) when an event takes place over which one has no control over. But what about those of you who are not in your 30’s and are at, near or in retirement?  Aren’t you more interested in managing risk than shooting for the hills? 
 
 

Here Is The Bottom Line

Trade size risk management exists with us for a reason and now you know why. A 20% position on a $100,000 portfolio is $20,000 into one stock. That stock fell 8% for a $1,600 loss.  A 5% position on the other hand? Was a $5,000 position and the loss amounted to $400.  When faced with an event over which you had no control over given the circumstances with SN (assuming you were long on the breakout into a new high) if you have to take a loss which would you prefer? A $1600 loss? or $400 dollar loss.
 
Like we also said above, we DO NOT buy breakouts with indexes at resistance AFTER a vertical launch higher. That alone kept you out of this stock, assuming you employ our style and methodology that is.  
 

Lastly, if we don’t buy breakouts when markets are at resistance AFTER they made a vertical run where then would we have wanted to buy SN?  Simple, by using our “Coming Up The Right Side Of The Cup” crossover trigger that’s where.  You can also see the merits of that above as notice where the stock sold off to? Right about where our trigger entry would have been had you used our “Coming Up The Right Side Of Cup” strategy that’s where and here you are none the worse for wear vs. those who chased the stock as it broke out into a new high. 

To learn more, sign up for our free newsletter.

 

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