$CYBR Outperformed Growth Stock Index by +50%
"Worthwhile things are not built in short periods of time. They come from a consistent series of actions"
By Angela Kelly, soccer player/coach
How I traded $CYBR since the "Follow Thru" day of January 7th following the IBD rules of:
- Timing the market (must buy something on a "Follow Thru" day).
- Scaling into position as the stock makes gains of +3% to +5% (Buying High and Selling Higher).
- Staying in tune with the market (keeping track of the "distribution days" and the market pulse).
- Observing the 20 day sma(simple moving average) and its divergence from the 50 day sma (extended stocks).
- Observing the "8 Week Hold Rule".
For study purposes, let's assume an investment of $10,000 investment in a stock at a time. Following are the results of this winning stock that I had originally mentioned in my blog on March 31st (it's archived and can be accessed with a FREE subscription ... investorspotlight.blogspot.com)
- Jan 7th "Follow Thru" day entry at $69.82 (143 shares)
- Jan 16th scale in a 2nd position at $80.75 since the initial entry was +14% within 7 days (123 shares).
- Feb 13th take 1/2 of the position off to avoid a nasty earnings surprise the following day (133 shares at $87.79).
- Feb 15th re-enter with $11676.07 (114 shares at $102.34). Stock surged during earnings and reached +20% within 2 weeks triggering the 8 week hold rule. Plan to hold this stock through May 1st for more gains.
- Mar 11th scale in a 3rd position at $107.65 (92 shares).
- May 13th take 1/2 of the total position off to avoid a nasty earnings surprise the following day (169 shares at $123.35)
- May 15th reenter the day after the earnings report with $20,846.15 (171 shares at $121.54)
- June 10th "Follow Thru" day entry with a 4th position at $130.60 (76 shares)
- July 18th scale in a 5th position at $136.50 (73 shares)
Currently there are 5 positions totaling $49710.31 of investment. Total value at Fridays close is $66,335.40 for a gain of +33.44% in 29 weeks. Concentrating your portfolio into just a few winning leading stocks is the way to dramatically increase the size of your portfolio. Diversifying is not the way to do it but concentrating to just a few stocks is. $QQQ the leading Growth Stock index is +22% and $SPY the proxy for general market performance is +17.60% since the "Follow Thru" day of January 7th. $CYBR out performed the $QQQ by +50% and the $SPY by a whopping +100%.
It seems counterintuitive to be buying stocks and averaging up. IBD (Investors Business Daily) methodology is to continue to scale in with more purchases of the shares as the stock moves up the ladder. $CYBR has been trading along the 20 day sma all year long. It broke out on Monday July 15th with 3 times the daily average volume, confirming the interest of the institutions with this stock. It has been consolidating for the last 4 days at the $140 level. 20 day sma is making a bullish turn away from the 50 day sma. That's a very bullish technical indicator.
Happy Trading!
Amin
How I traded $CYBR since the "Follow Thru" day of January 7th following the IBD rules of:
- Timing the market (must buy something on a "Follow Thru" day).
- Scaling into position as the stock makes gains of +3% to +5% (Buying High and Selling Higher).
- Staying in tune with the market (keeping track of the "distribution days" and the market pulse).
- Observing the 20 day sma(simple moving average) and its divergence from the 50 day sma (extended stocks).
- Observing the "8 Week Hold Rule".
For study purposes, let's assume an investment of $10,000 investment in a stock at a time. Following are the results of this winning stock that I had originally mentioned in my blog on March 31st (it's archived and can be accessed with a FREE subscription ... investorspotlight.blogspot.com)
- Jan 7th "Follow Thru" day entry at $69.82 (143 shares)
- Jan 16th scale in a 2nd position at $80.75 since the initial entry was +14% within 7 days (123 shares).
- Feb 13th take 1/2 of the position off to avoid a nasty earnings surprise the following day (133 shares at $87.79).
- Feb 15th re-enter with $11676.07 (114 shares at $102.34). Stock surged during earnings and reached +20% within 2 weeks triggering the 8 week hold rule. Plan to hold this stock through May 1st for more gains.
- Mar 11th scale in a 3rd position at $107.65 (92 shares).
- May 13th take 1/2 of the total position off to avoid a nasty earnings surprise the following day (169 shares at $123.35)
- May 15th reenter the day after the earnings report with $20,846.15 (171 shares at $121.54)
- June 10th "Follow Thru" day entry with a 4th position at $130.60 (76 shares)
- July 18th scale in a 5th position at $136.50 (73 shares)
Currently there are 5 positions totaling $49710.31 of investment. Total value at Fridays close is $66,335.40 for a gain of +33.44% in 29 weeks. Concentrating your portfolio into just a few winning leading stocks is the way to dramatically increase the size of your portfolio. Diversifying is not the way to do it but concentrating to just a few stocks is. $QQQ the leading Growth Stock index is +22% and $SPY the proxy for general market performance is +17.60% since the "Follow Thru" day of January 7th. $CYBR out performed the $QQQ by +50% and the $SPY by a whopping +100%.
It seems counterintuitive to be buying stocks and averaging up. IBD (Investors Business Daily) methodology is to continue to scale in with more purchases of the shares as the stock moves up the ladder. $CYBR has been trading along the 20 day sma all year long. It broke out on Monday July 15th with 3 times the daily average volume, confirming the interest of the institutions with this stock. It has been consolidating for the last 4 days at the $140 level. 20 day sma is making a bullish turn away from the 50 day sma. That's a very bullish technical indicator.
Happy Trading!
Amin
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