Follow Thru Days
According to Mr. William J. O'Neil (Founder of Investor's Business Daily)
"You must buy something on a 'Follow Thru' Day"
That is How You Time The Market.
You won't hear this on CNBC or FOX or Bloomberg TV. You don't hear the hedge fund managers or professional money managers ever say this. Do you ever wonder why that is? Professional money managers are expected to have all of their monies invested fully in the stock market, even when the stock market plunges. We as retail investors are much more nimble and we can quickly go into CASH when the market goes into a correction. We can also quickly get into the market when the market gives us a signal to enter on a 'Follow Thru' day.
In 2018, we have had 3 'Follow Thru' days. Stocks rapidly break out on such days and they rise up +10% to +20% within a few sessions. If you do not pull the trigger on such days than you would quickly fall behind and be tempted to chase the stock beyond its critical buy zone. Market will begin showing distribution days (institutional selling) within a few sessions usually and the major indexes will begin to lose momentum. The last 'Follow Thru' day we had was on May 10th (32 sessions ago) and currently we have 11 distribution days between the $SPY and the $NASDAQ. IBD (Investor's Business Daily) has called the "Market Under Pressure" as of Wednesday June 27th. The last 2 days we had up days and the $SPY and $QQQ are now trading above the 50 day sma(simple moving average). Market could just as well have a rally attempt this week and the tone of the market could just as easily change back to "Uptrend Resumes". Have you prepared a Stock Watch List?
Performance of My 15 Stocks
In my post 2 weeks ago (June 17th blog post), I had listed 15 stocks that I was monitoring. 13 of those stocks are up and 2 are down since the last 'Follow Thru' on May 10th, 32 sessions ago (7.5 weeks). For comparison purposes, I am also posting the performance of the 3 indexes that I monitor for the same time period:
Indexes:
- $DJI ... - 1.10%
- $SPY ... + 0.66%
- $QQQ ... + 2.25% (Leading Index)
15 Stocks:
- $AAXN ... + 15.67%
- $ABMD ... + 14.21%
- $BCOR ... + 18.97%
- $CRC ... + 44.67%
- $FIVE ... + 37.50%
- $INGN ... + 2.59%
- $SHAK ... + 13.52%
- $SIVB ... - 8.94%
- $TCMD ... + 15.92%
- $THC ... - 3.48%
- $TTD ... + 82.06%
- $TTGT ... + 29.91%
- $TWLO ... + 6.89%
- $WWE ... + 70.98%
- $ZTO ... + 19.05%
Average performance (13 winners n 2 losers) was + 23.97% since the 'Follow Thru' day 3.5 weeks ago. Average performance per week is + 3.20%. (+166.40% annualized). My stocks outperformed the leading index $QQQ by 10.65 times.
Our schedule for mentoring new students is full for July and August. I am however opening up a few slots on a first come first serve basis. Summer time is the time to learn and sharpen your skills. Traditionally October through January are the best performing months in the market. Secure your spot now before those slots fill up.
Mentoring Program
Our schedule for mentoring new students is full for July and August. I am however opening up a few slots on a first come first serve basis. Summer time is the time to learn and sharpen your skills. Traditionally October through January are the best performing months in the market. Secure your spot now before those slots fill up.
Would you like to learn:
- How to select the winning stocks like $ABMD that have gained + 118% year to date?
- How to Time the market with 'Follow Thru' Days?
- How to scale into the stocks as the stock continues to profit?
- How to scale out of the stocks during market correction ?
Schedule a FREE 30 minutes of 'Discovery Call' with us and let us help you profit in the market. Don't continue to lose money in the market and fail to out perform the market. Let us show you how to look for Growth Stocks and how best to profit from it.
Happy Trading!
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