No. 1 Stock of 2020 - Revealed

For the first time in 10 years, Matt McCall is sharing his absolute No. 1 favorite stock to buy RIGHT NOW with the general public.

He says, "This is the biggest "sure thing" of my career."

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Nathan Bear Weekly Money Multiplier | 3 Trades To Kick Off Q1

I don’t know about you, but I am pumped for earning season.

It’s when companies tell Wall Street how they’re doing – and given their unpredictable nature – it should create some much-needed volatility and a slew of trading opportunities.

This week’s top trade ideas are ripe for the taking.

But a word of caution – stay nimble and focus on risk management.

Let’s get started!

Entergy Corp (ETR)

This was a chart that I had been watching alongside Weekly Money Multiplier Members this week that I finally got my fill.

Here’s the chart I put out to members explaining the trade setup.

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ETR Daily Chart

This chart follows my classic TPS setup. As a refresher, the TPS setup contains three components:

– A clearly defined TREND. You can see the upward movement as the chart moves from left to right.

– An established chart PATTERN. The orange lines highlight a common triangle consolidation pattern. This is formed by connecting the lowest swing points for the lower trendline and the highest swing points for the upper trendline.

– Consolidation that leads to a SQUEEZE. This is indicated by the red dots at the bottom, which occurs when the Bollinger Bands trade inside of the Keltner Channel.

I would say that 90% of my setups are TPS. Over the years I honed this strategy, and it works for me in any market.

However, I’ve learned to make some adaptations as needed.

In today’s market, I want to be a little more conservative at times. That means I usually wait for a lower entry than normal to limit my risk on the trade. Plus, I can always scale out earlier for partial profits.

ETR should play out by exceeding the recent highs. However, this could take several weeks, so it requires some patience. I am currently playing this through call options.

Boston Scientific (BSX)

Healthcare stocks didn’t perform well last year. Recently, they’ve recently shown a lot of strength.

As usual, I’m approaching this trade with my TPS setup. However, I’m making some adjustments here.

Let’s start by taking a look at the chart.

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BSX 78-Minute Chart

First, you’re probably asking why I used a 78-minute chart. Well, there are 390 minutes in a trading day. Divide 78 into 390 and see what you get…

Now, the dots at the bottom show green, which means I don’t have a squeeze yet. However, it will probably be only a few more days before one occurs. With a nice pattern formed already, and an obvious uptrend, this represents some sweet TPS potential.

What’s neat is you can see how the last TPS squeeze played out. When the dots turned from red to green, the stock fired off higher. I expect this to happen again, and hopefully push past the all-time highs.

PPL (PPL)

Would you be surprised if I told you my last pick was another TPS setup?

This last trade might be a little trickier than the last two. Let me explain why. I want to start with the 130-minute chart.

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PPL 130-Minute Chart

Again, if you’re like ‘why 130-minutes’ – divide 390 by 130…

Now, this chart has the right trend and consolidation pattern as well as a squeeze. However, you can see that we’ve had mini squeezes that fired before this that didn’t really do much.

The last squeeze that really did anything notable was almost a month ago.

However, I can mitigate my risk here. When a pattern is broken the trade is over. So, the lower orange trendline is right near the purple line which is formed by the Bollinger Band. Notice how price generally sits within the Bollinger Band going all the way back. It only tends to pop out of it when it’s starting a bigger move.

So, I can enter the trade closer to the purple Bollinger Band to limit my risk on the trade. Then, if it pops up to the upper end, I can at least take a portion off and lock in some profit on the trade.

This is why I always advocate for scaling in and out of a trade.

How did I come up with my TPS setup?

It wasn’t overnight, that I can tell you. Learning and creating a style that is your own takes time, practice, and patience. You need to journal your trades and pay attention to how they perform in different environments.

If you want to learn more, I have a presentation coming up… it’s free to register… and well worth your time.

You’ll learn exactly how I went through the journey that took me from $38,000 to over $2,000,000 in two years.

Click here to register.

Source: Weeklymoneymultiplier.com | Original Link

Nathan Bear Weekly Money Multiplier Strategy | How To Adjust To Scalp Trades

When President Trump ordered an airstrike in Iraq last week—killing one Iran’s most powerful generals—stocks tumbled on Friday—safe-haven assets like gold and treasuries surged.

With geopolitical tensions rising, it seemed like we were setting up for a long-overdue selloff.

Not so fast…

As quickly as the bearish headlines hit the tape… fresh ones appeared yesterday stating that tensions between Iran have eased… pushing stocks back to all-time high territory.

One thing is clear though…

This has now become a news-driven market again. One that is extremely difficult to trade if you are a swing trader.

Good trading is all about making adjustments. And one adjustment we all should consider is tightening up the amount of time we’re in trades.

After all, we’re just one headline away from seeing a winning position turn into a loser.

That’s why scalping strategies are so important in a time like this.

Scalping is all about taking advantage of sudden and short moves in stocks.

In and out…

Having short-term strategies are essential in a market like this one.

That’s why I’m going to walk you through the different elements of the trade—with some real money case studies.

The Almost Trade

As futures were taking a nosedive overnight, I spotted an area that I thought looked ripe for the plucking. Most of my trades rely on the 8-period and 21-period exponential moving averages for my entry.

I use these specific indicators because I found they act as support and resistance, especially on the daily chart. When I looked at the Nasdaq futures chart, the level became obvious.

Here’s the daily chart of Nasdaq futures.

Nasdaq futures daily chart

At first glance, it looks like futures hit the moving average dead on. Unfortunately for me, that line adjusts as more data comes in, and it was a few ticks lower than the bottom.

However, my basic trade pattern for this scalp was as follows:

  • Entry at a strike of the 21-EMA
  • Take off the trade at my first target at the last consolidation area on the 5-minute chart
  • Otherwise, use a tight stop of about 20 points

Now, let’s compare that to my standard TPS setup. A typical TPS setup involves:

  • Entry between the 8 and 21 exponential moving averages
  • My exit is a close below the lower Bollinger Band
  • My first target is a 127.2% extension above the current trading range

At first, these seem entirely different. However, let me point out that the trades have all three of these characteristics before I enter:

  • Entry area
  • Target area
  • Stop level

Regardless of whether I’m trading a scalp or a swing trade, I can always define these before I enter the trade. And, while the futures trade doesn’t follow my normal TPS pattern, I often trade TPS scalps the same way as my swing trades.

Adjusting your trades for scalps

Now, there are some key differences between scalping and swing trading. The most obvious is the size of the move you’re trying to play.

Swing trades may try to capture a 1% move in a stock over a matter of days or weeks. Scalps may try to get 0.10% from a stock in a matter of seconds or minutes.

So, I adjust the amount I trade accordingly. Say I normally risk $500 on a swing trade as my maximum potential loss. If I wanted to maintain that same exposure on a scalp, I would need to increase the amount of money I trade.

How much? Roughly 10x if I’m comparing a 1% swing trade to a 0.1% scalp trade.

The second adjustment I make for scalps is generally taking most or all of my trade-off at my primary target. With swing trades, the difference between your first and second targets can be several dollars.

However, scalp trades might only be a few pennies. The additional risk vs the reward there doesn’t pay, especially if the bid/ask spread is too wide.

The third adjustment I make for scalping is monitoring market internals. I look at broader market indexes to understand whether stocks are trading in a bullish or bearish environment. This includes looking at the VIX, advancing vs declining stocks, as well as the sector ETF the stock trades within.

An example in action

Let’s go over an example of a trade I had in Target (TGT) off the back of their earnings. Early in the morning, I noted the move in my email to Weekly Money Multiplier subscribers.

I highlighted the stock would open higher than traders had expected. So, I waited for a pullback. Using the 5-minute chart, I got the following setup.

TGT 5-minute chart

The arrow points to the reversal candle I used for my trade. It was a simple, straightforward plan. If I got a 5-minute close below the candle I was out of the trade. Otherwise, I was looking for the stock to trade above the opening 5-minute range.

This trade worked out picture perfect and then some.

Every one of my trades, whether swing trades or scalps have clearly defined entries, targets, and stops with proper risk management.

I spoke at length about how I discovered the strategies that worked for me in my recent interview. You can catch a replay of it here.

Click here to watch the replay.

Source: Weeklymoneymultiplier.com | Original Link