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
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