Sunday, October 9, 2016


Be Cautiously Bullish


We are heading into the most bullish period in the stock market.   Historically the market has returned on an average   +14.6%   from November thru April looking at the data from the last 50 years.   October traditionally has been a very volatile month with major market corrections occurring during the month.   We have also had   follow thru   days during this month where the market took off with gains of    +11% to +12.23%    within  5 to 12 weeks.   You want to be prepared and engaged with the market to take advantage of such an opportunity.   Lot of my followers and readers missed out on such an opportunity in:

  1. 2013 from Oct 8th thru Dec 31 for  + 11%   gain
  2. 2014 from Oct 16th thru Dec 5th for  +11%   gain
  3. 2015 from Sept 28th thru Nov 3rd for  +12.23%  gain
May thru September is when everyone should have been sharpening their trading skills.   I had posted a blog on August 28th  (They are archived and you can access them)  on the subject of   Virtual Trades   Hopefully my followers have been following my lead and have learnt to prepare realistic   Trade Plans   for Loss, Profit and Time exits.   


Market Outlook


Market is currently digesting the gains from the July 1st   Follow Thru Day   We do have an elevated   distribution   days count of 4 on the   $NASDAQ   and 7 on   $SPY    We are also heading into the 3rd quarter earnings season with   $AA   entering the confessional booth on Tuesday followed by the big banks on Friday.   This will be a very volatile week since the entire  $XLF (Financial)   sector is under severe stress.   The sector dropped  -18%   on Sept 16th and has stayed below the  200 day sma    $XLK (Technology)   is still leading the pack and that is where one should be looking for opportunities.   


Results of My Virtual Trades for Last Two Weeks


I was off for a mini vacation to Disney with the family last week but I tweeted to my followers that I shall be posting the results on the 19 stocks that I did a    Virtual Trade   on two weeks ago.   My   Trade Plan   was for   +10%   profit target,   -4%   for loss target and to be out of the position prior to earnings report as a time target.   I had  9  positions for a total loss of  -22.06%  (Ouch! Ouch! Ouch!)   I also had  10  positions for a total gain of  +30.64%    (yeah!)   All 19 positions combined, I attained a profit of   +8.58%   in just 2 wks

Here are the results for each individual positions:
  1. $GRUB  -0.47%
  2. $GIMO  -3.34%
  3. $PAYC  -1.57%
  4. $VEEV  -4.0%
  5. $ATVI   -0.14%
  6. $STOR  -4.0%
  7. $JACK  -4.0%
  8. $BGS   -2.88%
  9. $PKG   -1.66%
  10. $UBNT   +1.20%
  11. $PRAH   +3.21%
  12. $LITE     +7.96%
  13. $AMZN   +5.04%
  14. $MELI    +1.59%
  15. $ANET   + 0.06%
  16. $BABA   +0.10%
  17. $HQY     +3.01%
  18. $APC     +8.40%
  19. $WMB    + 0.07%

Mentoring Services


If you would like to learn our process of identifying winning growth stocks, sign up for our mentoring services.   we are planning on offering a   ONE TIME  special webinar for 90 minutes session on:

"How I scan for Growth Stocks and How I Create a Trade Plan"


It will be a very limited class size for this webinar.   If you would like to reserve a spot, please contact us at:

investorspotlight@gmail.com



Happy Trading!

Amin

DISCLAIMER



Do not take a position unless you are prepared to sustain a TOTAL LOSS. Your loss could include the money you invested as well as commissions and transaction charges.


The Information I provide is for education and informational purposes only. The Information provided is not intended to be and does not constitute financial advice, investment advice, trading advice or any other advice. The Information provided is general in nature and is not specific to you or anyone else.


YOU SHOULD NOT MAKE ANY DECISION, FINANCIAL, INVESTMENTS, TRADING OR OTHERWISE, BASED ON ANY OF THE INFORMATION PRESENTED WITHOUT UNDERTAKING INDEPENDENT DUE DILIGENCE AND CONSULTATION WITH A LICENSED PROFESSIONAL. You understand that you are using this Information AT YOUR OWN RISK.