Sunday, October 29, 2017

Bulls  Are  In  Charge

I have been expressing a bullish view for the market since the beginning of this year.  There has not been a major correction or any significant pull back in the market, since the beginning of this year.  The only significant retracement on the major indexes we have experienced was during the 4 weeks from June 8th to July 6th.  $QQQ  had retraced  -5%   but it bounced right back after mid July.  We continue to witness higher highs and higher lows on all the 3 major indexes that I monitor every week.  My upper range target for the  $QQQ  that I posted last week was  151  and we managed to finish the week at  151.24    

October is traditionally the start of our best performing quarter of the year.  This is the quarter that retail investors ought to stay engaged with the market.  There are lot of growth stocks that are continuing to break out during this 3rd quarter earnings report.  Here are the results of the the 3 major indexes and the leading sector performance for the last 4 weeks since Sept 29th:

  • $SPY    ... +2.58%
  • $QQQ  ...  +3.98%
  • $DJI     ...  +4.59%
  • $XLF   ...   +3.56% (Financial Sector)
  • $XLU   ...   +3.77% (Utility Sector)
  • $XLB   ...   +4.08% (Materials Sector)
  • $XLK   ...   +5.82% (Technology Sector)
Retail investors and traders should continue looking for Growth Stocks in the Technology Sector.  Year to date performance for this sector has been  +30%.  Being in the leading sector is the way to outperform the general market as measured by  $SPY  which has been  +15.29%  year to date.

Results  of  Stocks  on  Watch  List  From  Last  Week

I had highlighted  8  Growth Stocks  in my post last week that were the leading stocks in the leading sectors.  7  of these stocks were up for the week but there was one that took a deep dive of  - 12.41%  last week.  It was a Biopharma  stock.  It gapped down on Tuesday in volume that was  3  times the normal average daily volume.  Trailing stops that I had at  - 5%  loss did not trigger since the stock never traded at the trigger price.  Biopharma stocks tend to be very volatile.  One of the strategies to utilize when trading and investing in volatile Growth Stocks is to limit the size of the position to   20%  to  30%  of the initial position, until the stock proves itself.  Overall, for all the 8  stocks - 7 winning stocks and 1 losing stock - the performance was  +2.63  (+136%  annualized)

  1. $NVR   ... +0.53%
  2. $NOW  ... +0.73%
  3. $CRM   ... +1.82%
  4. $SHW   ... +1.95%
  5. $DVMT  ...+1.99%
  6. $TXN    ... +2.44%
  7. $LGIH   ... +5.58%
  8. $IONS   ... -12.41%

Mentoring  Program

Would you like to learn:

  • How to consistently select the winning Growth Stocks?
  • How to Buy the Stock Right?
  • How to Sell the Stock Right?
  • How to minimize and mitigate the Risk?
  • How to Plan Your Trade?

Schedule a FREE 30 minutes of  "Discovery Call"  with us to see how best our individualized program can make you a profitable investor.  Only a few spots are left for November.  What are you waiting for?  Don't be left behind while the market moves forward.


Contact us at:

investorspotlight@gmail.com 


Happy Trading!

Amin



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