Monday, January 21, 2019

+14.66%  Within  2  Weeks


I have quite often mentioned the importance of a  "Follow Thru"  day in my posts.  An average investor n a trader doesn't quite grasp the importance of this very critical signal in the market.  Those of us that have become experts at reading the market and all its nuances know that one can very quickly make up +15% to +20%  within a 1 week to 3 weeks from a successful  "Follow Thru"  day.   $QQQ  the leading growth stock index had dropped by  -23%  by Christmas eve from its all time highs achieved in September 2018.  It had a severe drop of over  -15%  in the first 3 weeks of December alone.  That was quite alarming.  50 day sma(simple moving average) had already sloped down below the 200 day sma.  It was scary and it seemed like we were heading for a  -50%  drop like we had in the market crash of the year 2000 and 2008. 


Market took a rapid bullish turn as soon as we came back from our Christmas holidays.  On December 26th,  $QQQ  surged  +6.25%  with trading volume that was twice the average daily trading volume.  This was a wake up call to retail investors.  Institutions had already exposed their intentions that they were willing to support the market.  We still had to wait for a confirmation of the attempted rally in the market.  It was critical to have a ready list of leading growth stocks prepared.  Most of us were in a holiday spirit with family around and travelling.  The ones that continued with their discipline and their daily routine of looking over the leading stocks were about to hit the gold mine with a  confirmed "Follow Thru"  day on Friday January 4th.  If you didn't do your critical home work during the Christmas and new years holidays, you lost out on an opportunity to make quick profits within the first two weeks of a  "Follow Thru"  day.


Results  of  My  Top  10  Stocks


There were 18 stocks that I had listed in my post last week that one should have taken a small test position on January 7th at the market open.  These were the stocks that I had consistently highlighted in my weekly posts in October and November months.  These stocks were holding up above the 50 day sma while the market was crashing below the 200 day sma.  The top 10 stocks of the 18 have a performance of  +10.53%  on the low side to  + 17.70%  to the high side in the last 2 weeks since the  "Follow Thru"  day.  

Here are the results of those 10 stocks.  I have also highlighted the performance of the 3 indexes that I follow:


Indexes:
  1. $DJI      ... +5.25%
  2. $SPY    ... +5.45%
  3. $QQQ   ... +5.56%  Leading Growth Stock Index

Stocks:
  1. $BEAT    ... +17.70%
  2. $ALRM   ... +17.42%
  3. $TTD      ... +15.90% 
  4. $VEEV   ... +15.77%
  5. $MEDP   ... +15.52%
  6. $TWLO    ...+15.34%
  7. $EW        ... +13.68%
  8. $CYBR    ... +12.46%
  9. $NFLX     ... +12.25%
  10. $FIVE      ... +10.53%
Growth Stocks tend to do 2 to 2.5 times better than the average performance of the market as measured by  $SPY.  Above 10 stocks had a performance of  +14.66%  on average.  That is 2.69 times the performance of the  $SPY.


Mentoring  Program


"There will always be challenges, obstacles and less than perfect conditions. So what? Get started now. With each step you take, you will grow stronger ... and more and more successful"

By Mark Victor Hansen (author)


2018 will be a very challenging year in the market.  We are still not out of the woods yet.  We still need the 50 day sma to punch through the 200 day sma.  There is no guarantee that the market will continue it's bullish rally.  We could get the indexes to consolidate and possibly retest its Dec 24th lows. 

Schedule a  FREE  30 mins of  "Discovery Call"  with us and learn:

  • How to find the winning Growth Stocks?
  • How to Buy the Stocks Right?
  • How to Sell your Stocks Right?
  • How to TIME the market?
  • How to protect and harvest your Profits?

Contact us at:

investorspotlight@gmail.com


Happy Trading!

Amin


 

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