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You need to know this fundamental change in oil’s character
Swing Traders focus on two key elements when assessing a stock’s trend, volume and price action. Volume often precedes price action as the big players leave footprints that are tough to hide. During oil’s parabolic downtrend, volume has consistently shown a distribution pattern while basing before it’s next leg down.…
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Chart of the Day: SIG
One of my favorite swing trade setups is the breakout-pullback setup. While the market has pulled back, retail jeweler $SIG has held up well, pulling back to the key 50 dma level. An entry here with a stop under the 50 dma and target near recent highs around $133 offers…
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Is Tesla’s stock headed to the graveyard?
The market is littered with fad stocks that made swing traders lots of money off amazing runs only to fall by the wayside after a few years. Pick up any of William O’Neil’s books on trading and you will find tons of examples. It looks like Tesla may be on…
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The explosive biotech stock you must add to your focus list
Swing traders know that biotech has been the sector leading the market. My favorite biotech stock right now is CEMP. The keys to a great momentum stock are volume and price action. Volume has been pouring into the stock early October breakout. Each new breakout has been followed by strong…
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Trade Entry Review: VEEV
As a swing trader, one of my favorite setups is the breakout-pullback setup. Yesterday I entered VEEV as it pulled back and tested and confirmed the bottom of the breakout bar. The stop is under the breakout bar with an initial target near the recent high at $33. This gives…
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Chart of the Day: Zillow
A great swing trading strategy is finding broken down stocks that are ready to reclaim a previous uptrend. Z was a momentum favorite that broke down a few months ago. When a momo stock breaks down, I keep it in a special focus list in case the stock remounts a…
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A textbook example of the breakout pullback setup: PTX
Swing traders must have a basket of setups in order to trade consistently and successfully. One of my favorite setups is the “breakout-pullback” setup. I recently went over the specifics of this setup on the BullsonWallStreet site, where my buddy Kunal hosts my Swing Trade Service.PTX is a good example of this…
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What You Must Know About This Market: Negative Divergence
No matter what the time frame, all swing traders are interested in trends. Often the “eye test” of a chart does not capture the underlying strength of a trend. For that reason, we monitor RSI near highs. If RSI is not making a high while an index or stock is,…
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How I Am Trading Energy: A Short Setup
Swing traders must have a basket of setups in order to trade consistently and successfully. One of my favorite setups is the “rubber band” short setup. $XLE is a good example of this setup.Trade Report members were alerted to this trade when I made it and again when I took…
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Using Sector Analysis For Trades and Finding Good Stocks
Swing traders need to know where money is flowing, and the easiest way to do that is continually analyze strong and weak sectors. Currently while in the midst of a tough market, biotechnology is breaking out to new highs. That is where the smart money resides. There are two ways…
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Earnings Breakout Chart of the Day: HOG
It is crucial for the part-time trader and swing traders to have a basket of “go-to” setups. One of my favorites is the “earnings breakout” setup. Today, HOG (Harley Davidson) posted knock out earnings, which caused price to gap up over a downtrend and the 50 day moving average. This…
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Chart of the Day: TWTR
It’s a volatile market for swing traders and just about every index and sector is in a confirmed downtrend. However, TWTR (Twitter) has held up strong and after two days of weakness has formed a hammer candle right around two areas of strong support. Hammers near support are often excellent…
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Chart of the Day: EXAS
As a swing trader, whenever I see a day that is down big I look for stocks that are breaking out strong. Today the stock market and just about every stock is getting hammered, but EXAS broke out on strong volume to new highs. This is a stock I…
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Chart of the day: PANW
Yesterday I entered PANW as a swing trade based off the strong closing hammer that printed after a support violaiton. While the market tanked today, and took just about every stock with it, PANW actually was up slightly. This market has shown respect to stocks like PANW that have strong…
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This is my swing trading game plan
This is my swing trading game plan for tomorrow, excerpted from the Market Speculator Part-Time Swing Trade Report. A lot of swing traders were caught on the wrong side of today’s move as many thought we were in the midst of another “buy the dip”. Not us. While we recognized…
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Stock Chart of the Day: GMCR
GMCR is the breakout stock of the day, breaking out to new highs off a strong gap and price bar to new highs. How does a swing trader trade this post breakout? We wait and what. A post breakout trading range at the new highs should setup up another run…
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How to Swing Trade Late Day Strength Off An Intraday Reversal
As a swing trader it is important to understand that strength often begets more strength. This is the central principle of the hammer setup. We look for strength at the end that reverses what looked to be a down move earlier in the day. $SPY is a good example of…
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Stock chart of the day: GPRO
Swing traders should always track open gaps when looking for good entry levels for a momentum stock. The old adage that all gaps eventually get filled may not be 100 percent accurate, but it does give the swing trader an edge. GPRO has been on fire of late. On Monday…
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Stock Chart of the Day: TK
One of my favorite swing trade setups is the breakout-pullback setup. This trade is also great for part-time traders since you don’t have to monitor it tick by tick and have easy stop and target placement. Today, TK broke out strong out of a 3 month trading range on very…
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Stock Chart of the Day: SPXU
Almost every swing trader watches SPY for market direction and for swing trades. However, you need to load up on SPY in order to make money off it’s moves. For that reason, I like to trade leveraged ETFs, which give us more volatility, and volatility is what we want as…
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Today’s Stock Market Review and Game Plan
On Friday I talked about how strange this market has been, especially for swing traders. In that vein, today did not disappoint. We were expecting either a continuation of the pullback or a light bounce. Instead, to the surprise of most, we got a strong bounce. For the first time…