It’s time to pivot and forget about what’s been happening… Everyone is talking about the same thing over and over…trade, interest rates, the economy, blah blah blah.
The last thing you need to read about is how crazy the market has been… and how no one knows what to do.
You aren’t here for a history lesson, are you?
I didn’t think so… you are here to learn about strategies and techniques that will help you make money from trading stocks.
And just hearing about the news won’t help you.
Let’s just focus on what is working and forget about all the talking heads trying to make a scene… I am going to share with you how I’ve adjusted to the current market and how I’ve been able to thrive, so you can too.
How you might ask?
By focusing on my very best trade ideas and trading off the charts.
Listen, there are going to be great trades in any market… You just have to focus on what works.
And what is working for me right now is technical analysis.
The best part is that I use very simple tools in my analysis that make my process repeatable and consistent.
Talk about easy to learn.
Anyone can incorporate my system and start making money from trading it… and I am going to walk you through a specific example of how it all works by diving into a recent winner in Mondelez International (MDLZ), the makers of the Oreo cookie …
You see in my trading, I like to keep it simple. I use a few simple trendlines and chart patterns to find my trades. And the same simple lines that have put money in my pockets for a decade are still working today.
Here is a trade I alerted my members to just yesterday morning.
Take a look at the daily chart for Mondelez International, Inc. (MDLZ) below. I drew a resistance line in blue to show the significant $55.50 resistance level.
What does this tell me?
Well you see, resistance is an area where supply is higher than demand. Therefore creating a ceiling for the stock price. Stock prices tend to pause and many times reverse at these levels due to the supply and demand imbalances.
A lot of pressure gets built up and if the stock does break this level it can be a significant change in the dynamics of that level. Often times becoming a support level for a new move up.
Therefore I am using this level to plan my trade around.
Now if you look at the past few days. On Aug. 30 the stock gapped above the resistance level alerting us to a potential trade. It ended up closing back below but now it’s on my radar. Then on the very next trading day, 9/02, the stock moved up and made its first close above the line.
So what’s next?
Well, the close above my resistance line is the signal to set my trade up…
Now it goes on my watchlist for the next day to buy above the high of that day – The high being 55.71. You can gain access to this same watchlist by joining here.
Okay, so that’s pretty simple right?
Now let’s look a little closer at what happened on 9/04 when we bought the stock.
The next chart is a 15-minute chart of MDLZ…
Now the black bar in the middle of the chart is the opening 15 min of the day. You will notice the price is at our buy point and there is no problem getting in…
You will also notice the stock moved down over the first hour of the day until it found support at the 20 MA and turned up…
After bouncing off the 20 MA the stock trades back into the first 15 min range… giving us a great time to buy with confidence at our buy point above 55.71 (previous day’s high).
It really is this simple to trade. Now I am sure you noticed all of the lines in the chart… those are a set of moving averages I use with my chart patterns to set up and confirm my trades.
They work hand in hand with the setup I just showed you and I go into detail about how I use those simple lines when finding and making trades in the video below.