Heading  into  the  Bullish  Week  of  the  Year

This is my favourite time of the year.  Yes ... Its the Christmas Holiday season and this year we had a 3 day weekend to celebrate it.  Best of all, the weather in Florida has been a delight.  The high has been in the 70's at daytime and in the 60's at night.  The  air is crisp and cool with low humidity, clear blue skies and beaming sunlight at daytime warming your face and back.  Market is also in a delightful frame of mind with just 3   'distribution days'   in the $NASDAQ.  The week after Christmas traditionally is one of the best weeks of the year in the market.  We all should have been building stock positions gradually since September.  The performance of the 3 major indexex and the 9 main sectors since  August 31st (17 weeks)  is highlighted below:   

• $QQQ   ...   +7.64%
• $SPY    ...   +8.10%    
• $DJI      ...   +12.78%
• $XLU    ...   -2.52%
• $XLV    ...    +1.99%
• $XLP    ...    +3.93%
• $XLB    ...    +9.57%
• $XLK    ...    +9.71%
• $XLI     ...    +10.14%
• $XLY    ...    +10.40%
• $XLF    ...    +13.56%
• $XLE    ...    +14.29%

In my blog post 2 weeks ago, I had mentioned that I was noticing the sector rotation into the  $XLF (Financial Sector)  and  $XLY (Consumer Discretionary Sector).   Heading into the last week of the year, We are seeing that the institutions have been pulling money out of the conservative dividend paying  $XLU (Utilities Sector)  and taking positions in the beaten down  $XLE (Energy Sector).  You would not have noticed this sudden rotation in the energy sector if you were the one consumed by the story of  $BITCOIN this month.  As a trader and an investor, I often remind myself that the baseball game is often won by runs batted in (RBI) and not the home runs.  Profiting in the stock market is all about the discipline of identifying the right stock and having a trade plan in place for profit, loss and time exits well defined and written down.

Performance  of  My  Stocks

Every week end, I track the market by analyzing the 3 major indexes, all the 9 major sectors and the leading stocks that have outperformed the major indexes.  It does take a lot of work but as a retail investor, it's best to follow the lead of the institutions.  It takes them several weeks to build their full position in the stock and in the process, they leave a trail behind for me to follow.  With my rules of trading Growth Stocks, the only stocks to buy are the leading stocks in the leading sector.  They offer the best chance of   "Out Performing the Market".  Here are the results of the 9 stock positions currently.  I have indicated in parenthesis, the date and the price the stock was purchased.

1. $AMZN   ...   (11/15 ... $1122.0)    +4.1%
2. $SIVB    ...    (12/1  ... $227.04)    +6.46%
3. $GGAL   ...    (12/4  ...  $58.62)    +11.69%
4. $NVR     ...    (12/7   ... $3200)     +16.0%
5. $CACC    ...   (12/7   ... $300.0)    +8.34%   
6. $GRUB    ...   (12/13  ... $70.0)     +2.49%
7. $AMTD   ...    (12/14  ... $51.0)     +3.82%
8. $GGG    ...     (12/18  ... $133.0)   +1.20%
9. $VMW    ...     (12/18   ... $126.0)  +1.69%

These stock trades were initiated anywhere from 1 week to 6 weeks ago (average hold period for all 9 stocks is 2.44 weeks currently).  Average performance for all 9 stocks currently is +6.16%.  This averages out to  +2.52%  per week  per stock  (131% annualized).  Some of these stocks may falter but I have a Trade Plan in place to exit for Loss.  They have already reported earnings so that risk has been mitigated.  

Mentoring  Program

Would you like to learn:

• How to  "TIME"  the market?
• How to identify the  Leading Stocks  in the  Leading Sector?
• How to  Plan your Trade for Profit, Loss and Time in the trade?
• How to manage your  Stocks to  "Out perform the Market"
• How to Mitigate  "RISK"  with your stocks?

Schedule a  FREE  30 minutes of   'Discovery Call'   with us.  Let us help you become a profitable investor with our individualized mentoring.  It will be a  New Year  next week and make a resolution now to learn to trade an invest in your education.  You have already missed out on profiting handsomely in 2017.  Don't procrastinate.  Learn from the best educator in the business.  We have just a few spots left for our January calendar.

Contact us at:

investorspotlight@gmail.com

Happy Trading!

Amin

Market  Conditions

Friday we got the confirmation from the institutions that they are committed to the market in a very bullish way.  We haven't seen that sort of trading volume since the start of the bullish signal we got in March of 2009  "Folllow Thru"  day.  The two leading index,  $QQQ  and  $DJI  had trading volume that was 2 times the volume from the previous day.  I have been saying all along that institutions are the ones responsible for over  75%  to  80%  of the volume in the US stock market.  You just have to follow the foot prints that the institutions leave behind.  They spoke very loudly on Friday.  I just fail to understand why every trader I came across last week was talking about Bitcoin.  What a waste of energies when instead they could be spending that time and efforts to searching for Growth Stock opportunities.  I did just that on Saturday morning at 5.00 am.  Headed out to Disney Epcot center in the afternoon to celebrate the  "Candle Light Processional Show"  followed by the spectacular Fireworks.  I was going to treat myself and spend some money from the profits I have made this year so far.  That is something Mr. Jesse Livermore (the greatest stock trader of our time) did every year after doing a post mortem of all his trades for the year.  He stuffed his pockets full of cash from the bank and spent his profits.  That is something every investor ought to do.  

Market  Performance

Currently we have a total of 5  "Distribution Days"  between the  $NASDAQ  and the  $SPY.  We haven't gone through much of a correction in the market in 2017.  We had less than  -3%  correction during the 4 weeks in late March to mid April and 4 weeks in early June thru early July.  We had a slight scare for 4 weeks from July 27th thru August 27 with the  leading index  $QQQ  when it sliced thru the  50 day simple moving average.  The index still didn't lose any where close to  -3%  during that time.  Market has managed to quickly recover within days after correcting during these 3 periods that I outlined. 

The  3  major indexes that I follow have their year to date performance for the last 50 weeks as follows.  My goals that I have set for the year end for these 3 indexes are highlighted in parenthesis.  They are the same ones that I projected 2 weeks ago at the start of the month of December.  This is not a prediction but probabilities of what typically occurs during the rally the last 2 weeks in December.

• $SPY   ... +18.43% (270)
• $DJI    ...  +24.23% (25,000)
• $QQQ  ... +31.81% (160)   
• 
  

Trade  of  the  Week (11/19  Blog  Post)

I had 2 trades highlighted for educational purposes.  One of them is a winner currently and the other one was a loser.  The results are as follows:

1. $MFGP ... Trade was filled 1 week later on 11/27 according to the Trade Plan outlined on the blog post at $34.15.  It was closed out for a loss of  -3.40%   at  $32.99  on 12/1  (1 week in the trade)  according to the Trade Plan for Loss Exit.
2. $RHT   ...  Trade was filled 2 weeks later on 12/4 according to the Trade Plan outlined on the blog post at $122.43.  It is still trading above the 8 day ema (exponential moving average).  It's currently showing a profit of  +5.19%.  This stock position is continuing to show strength and will have to be managed next week with trailing stops to protect the profits in the trade.  They have earnings being reported the following week.  It will be best to close out the position prior to earnings to avoid the risk of an ugly earnings surprise. 

Important lessons to learn from this exercise is:

• Have a detailed Trade Plan for  Loss Exit, Profit Exit  and the  Time in the trade Exit.
• Mitigate your losses during earnings report by closing out the position prior to earnings report to avoid ugly earnings surprises.
• You could be losing 1/2 of all your trades and still be ahead in your portfolio by limiting your losses. 
• You can Out Perform the Market by following your Trade Plan as outlined in this example.  You lost  -3.40%  in the losing trade but gained  +5.19%  in the winning trade so far.   Average performance with these 2 trades was  +1.79%  while the leading index  $QQQ  has performed  +0.64%  per week this year.  You Outperformed the leading index  $QQQ  by  2.8  times.

Mentoring  Program

I would be opening up a few limited spots for the classes in January.  Would you like to learn:

• How to identify the  Leading Stocks  in the  Leading Sector?
• How to look for  Signals  that institutions leave behind during  "Follow Thru Days"  when the market just rockets ahead in a very short time for a quick profit in the trades?
• How to manage your stocks  to  "Out Perform the Market?
• How to mitigate  "RISK"  with your stocks during the earnings report?

Schedule a  FREE  30  minutes of  "Discovery Call"  with us and find out how best our individualized mentoring program can make you a profitable investor.  2017 was a banner year and this bull market may extend for another 5 to 7 years.  Make 2018 your year to profit so don't procrastinate.  Make an investment in your education and learn from one of the best in the business. 

Contact us at:

investorspotlight@gmail.com.

Happy Trading!

Amin

Market  Performance

Technology Sector  ($XLK)  which had been the leading sector all year long, began giving up their leadership in the last two weeks.  There were distinct signals left by the institutions leading me to conclude that they were harvesting their profits from the leading chip stocks and taking positions in the Financial Sector  (XLF)  and Consumer Discretionary Sector  (XLY).  As a Growth Stock investor, it makes sense to be invested in only the leading stocks in the leading sector.  That is my formula for profiting in the market by Out Performing the Market, as measured by the performance of  $SPY - an index of measurement of the performance of the general market.

Performance of the 3 major indexes and the 9 Major Sectors of the market last week are highlighted below:

• $QQQ   ... +0.14% (Technology market index of 100 companies except Financials)
• $SPY    ... +0.40% (General market Index of 500 large US companies)
• $DJI     ...  +0.40% (Dow 30 index of 30 mature companies) 
• $XLV   ...   -0.35% (Health Care Sector)
• $XLE    ...  -0.57% (Energy Sector)
• $XLU    ...  -0.96% (Utilities dividend paying Sector)
• $XLK   ...   +0.14% (Technology Sector)
• $XLB   ...   +0.61% (Materials Sector)
• $XLY   ...   +0.66% (Consumer Discretionary Sector)
• $XLP   ...   +0.71% (Consumer Staples Sector)
• $XLI   ...    +1.47% (Industrial Sector)  
• $XLF   ...   +1.56% (Financial Sector)

Performance  of  Stocks  on  My  Watch  List (Listed in My Blog of 12/3)

1.   $WMT   ... - 0.82%

2.   $ICE     ... - 1.58%

3.   $MCD   ...  + 0.16%

4.   $MCO   ...  + 0.72%

5.   $WLK   ...  + 1.37%

6.   $SIVB   ...  + 1.80%

7.   $BGCP  ... + 2.02%

8.   $AMTD  ... + 2.09%

9.   $NKE   ...  + 2.37%

10.  $ODFL ... + 2.43%

11.  $AMP   ... + 4.55%

Total losses from 2 losing positions was   - 2.40%

Total profit from 9 winning positions was  +17.51%

Total profit from all 11 positions (2 losing and 9 winning) was

+15.11%

Average returns from all 11 positions (2 losing and 9 winning) was  + 1.37%  for the week (+71.2% annualized)

$SPY  was + 0.40%  for the week (+20.8% annualized)

Stocks on My Watch List Outperformed the General Market by 3.42 times.  Investing in the leading Stocks in the Leading Sector is the way to consistently Out Perform the General Market.

Mentoring  Program

Would you like to learn:

• How to identify the  Leading Stocks  in the  Leading Sector?
• How to Look for  Signals  that institutions leave behind during Sector rotation?
• How to manage your Stocks to  "Out Perform the Market?"
• How to Mitigate  "RISK"  with your stocks?

Schedule a  FREE  30 minutes of  "Discovery Call"  with us and find out how best our individualized mentoring can make you a profitable investor.  There are limited number of spots left for the New Year.  You have already missed out on 2017 bullish year where you could have more than doubled your returns as compared to the  $SPY (General Market Performance).  Make 2018   your year to profit so don't procrastinate.  Make an investment in your education and learn from one of the best in the business.

Contact us at:

investorspotlight@gmail.com

Happy Trading!

Amin

Market  Performance

Technology Sector which has been the leading sector this year, retraced on Wednesday Nov 22.  $QQQ  the leading index exhibited a  "distribution day"  in volume  2.5  times the normal average daily volume.  Similar thing happened on June 9th.  The only difference is that in June,  $QQQ   went into correction within 4 weeks and began to slide down below the 50 day sma (simple moving average).  It took down the technology sector along with it.  This time however,  $QQQ  index as well as the $XLK (Technology Sector), recovered the next day and stayed above the 21 day ema(exponential moving average).  That is a healthy sign for the market.  Quite a few of the leading technology stocks however were sold off by the institutions.  That is a normal correction to be expected when stocks such as   $YY(+61.11%),  $IPGP(+42.06%)  and  $CTRL(+30.04%)  were showing profits within  8  to 10 weeks.   

Market  Outlook

Currently we have a total of 5  "distribution days"  with the  $NASDAQ  at 4 and  $SPY  with 1.  Market is still in a  "Confirmed Uptrend"  according to IBD(Investors Business Daily).  Performance of the 3 indexes and the 3 leading sectors for November is:

• $QQQ ... +1.55%
• $SPY  ... +2.84%
• $DJI   ...  +3.65%
• $XLP   ... +5.84% (Consumer Staples Sector)
• $XLY   ... +5.02% (Consumer Discretionary Sector)
• $XLF   ... +3.68% (Financial Sector)

What we are witnessing is a  Sector Rotation  in the market.  Institutions have exited some of the leading Technology Stocks while building defensive dividend paying stock positions in the Consumer Staples.  They have also started building positions in the Consumer Discretionary and Financial Sector as well.  

My projections for the  $DJI  and  $SPY (just a hair shy) that I highlighted in my post of Nov 26th were met.  Market continues to exhibit a bullish trend.  We are heading into December which is one of the best performing months of the year.  My year end projections for the 3 indexes are:

• $SPY  ... 270
• $QQQ ...160
• $DJI    ... 25,000

Stocks  On  My  Watch  List

• $SIVB
• $BGCP
• $WLK
• $ODFL
• $AMTD
• $ICE
• $AMP
• $MCO
• $MCD
• $NKE
• $WMT

Mentoring  Program

Would you like to learn:

• How to  "TIME"  the market?
• How to Identify the Leading Stocks in the Leading Sector?
• How to  Plan your Trade  for Profit, Loss and Time in the trade?
• How to Manage your Stocks to  "Out Perform the Market?"
• How to Mitigate  "RISK"  with your stocks?

Schedule a  FREE  30 minutes of  "Discovery Call"  with us to see how best our individualized program can make you a profitable investor.  We have just a few spots left for December.  Don't procrastinate and be left behind.  You have already missed Out Performing the market this year.  Enroll in our program now so you can double your portfolio while the market continues to be bullish.

Contact us at:

investorspotlight@gmail.com

Happy Trading!

Amin

Market  Conditions

These are the kinds of markets that every investor and trader is searching for.  Currently the market is in a   "Confirmed Uptrend".   We have only 7   "Distribution Days"   between the  $NASDAQ  and   $SPY.  I had highlighted in my previous posts that November and December are traditionally the best performing months of the year.  Retail investors and traders should have been 100%  in the market as of beginning of October.  Here are my projections for the year end for the 3 major indexes and the leading Technology Sector:

• $SPY  ... 265
• $DJI    ... 24,100
• $QQQ ... 162
• $XLK   ... 67

Performance  of  My  Stocks

I am a Growth Stock Investor and as such I  TIME  the market.  July 12th was a signal to me to start building my positions in stocks gradually.  By the end of September, we had a very clear signal that the market was reaching higher highs and higher lows.  That was a bullish sign to start concentrating stock positions into the leading stocks and harvesting profits from the laggards.  Technology Sector was clearly the leading sector at that time.  With my rules of trading Growth Stocks, the only stocks to buy are the leading stocks in the leading sector.  They offer the best chance of   Out Performing the market.   Here are the results of the  19 stock positions currently.  I have indicated in parenthesis, the date and the price the stock was purchased.

1. $VMW ...   (8/18 ...  $ 95.75)   + 29.73%
2. $CRM  ...   (8/28 ...  $ 93.00)   +15.22%
3. $CDNS  ... (8/29 ...  $ 37.50)   + 21.60%
4. $RHT    ... (8/29 ...  $105.00)   + 22.25%
5. $ALGN ... (8/30 ...  $173.00)   + 47.26%
6. $PYPL  ... (8/31  ... $ 61.30)    + 28.17%
7. $IPGP   ... (8/31  ... $170.39)   + 42.06%
8. $ASML ... (9/1   ... $ 156.50)   + 19.09%
9. $MA     ...  (9/1   ... $ 133.30)   + 14.58%
10. $ANET ... (9/1   ...  $176.00 )   + 37.53%
11. $YY     ...  (9/5   ...  $ 74.50  )   + 61.11%
12. $OLED ... (9/6   ...  $ 129.00)   + 48.02%
13. $CGNX ... (9/22 ... $ 111.80)   + 29.14%
14. $CTRL  ... (9/25 ... $ 27. 50)    + 30.04% 
15. $NVDA ... (9/25 ... $ 170.20)   + 24.12%
16. $LRCX  ... (9/25 ... $ 171.00)   + 26.80%
17. $AMAT ... (9/28 ... $  48. 85)   + 18.55%
18. $PYPL ...  (10/24 ... $ 70.00)   + 12.24% (Second position)
19. $RHT   ...  (11/6   ... $121.22)  + 5.89%

Average performance of these 19 stocks is  +28.07%  for stocks that are held in the last 14 weeks.  The performance of the leading index  $QQQ  in the same time frame has been  + 10.64%  and the leading Technology Sector  $XLK has been  +13.02%.   These 19 stocks have  Out Performed  the leading index and the leading sector by at least two times.

Mentoring  Program

Would you like to learn:

• How to   "TIME"   the market?
• How to Identify the Leading Stocks in the Leading Sector?
• How to  Plan your Trade for Profit, Loss and Time in the trade?
• How to Manage your Stocks to  "Out Perform the Market"
• How to Mitigate   "RISK"  with your stocks?

Schedule a  FREE  30  minutes of   "Discovery Call"   with us to see how best our individualized program can make you a profitable investor.  We have a limited number of spots for December.  Don't procrastinate and be left behind.  You have already missed  Outperforming the Markets  in the last 12 months.  Don't procrastinate and Learn from the best in the business.

Contact us at:

investorspotlight@gmail.com

Happy Trading!

Amin

Happy  Thanksgiving

Every year at this time of the year, we all take stock of the blessings that has been bestowed upon us.  It is the time of the year we offer our gratitude for being blessed with a wonderful family, prosperity with our jobs and career and profitable returns on our investments in our retirement funds.  We are experiencing the best of the times in the stock market.  There is always going to be political turmoil in the world, spread of deadly diseases, poverty and environmental pollution.  The world has however become a better place.  More people in the world are prospering, having an access to better healthcare, getting educated and living a good life.  More people in the world have gotten out of poverty in the last 20 years than ever before in our human history.  I would personally like to offer a very special gratitude this Thanksgiving Holidays for sharing your comments on how my posts have helped you get an insight into the market and profit from it.

Market  Performance

We have been in a secular bull market as of Nov 8th 2016   "Follow Thru"  day.  It is a world wide event and not just a US stock market phenomenon.  Here are the year to date results of the best performing markets in the world as compared to the US markets.

• South Korea ... +43%
• India            ...   +35%
• China          ...   +33%
• Hong King  ...   +31%
• USA            ...   +30% Leading Growth Index $QQQ
• $XLK          ...   +31% Leading Technology Sector.

Trades  of  the  Week

Currently we have  9  distribution days.  Market is in a confirmed uptrend and it has been consolidating the gains for the last 4 weeks.  Thanksgiving week will be a short week with markets being closed on Thursday.  Friday would be a light volume day.  This week it would be a good idea to review your trailing stops and adjust them before market opens on Monday.  Here are the  2  stock trades that I am considering for this week.

1. $RHT   ... Entry $122.43   Profit Exit ... $134.68   Loss Exit ... $116.31  (Add on position)
2. $MFGP... Entry $  34.15   Profit Exit ... $  37.57   Loss Exit ... $  32.29  (New Position)

Mentoring  Program

Would you like to learn:

• How to go about selecting the right Winning Growth Stock? 
• How to Buy the Stock Right?
• How to Sell the Stock Right?
• 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.  We have a limited number of spots for December.  Don't procrastinate and be left behind while the market continues to move forward.  

Contact us at:

investorspotlight@gmail.com

Happy Trading!

Amin

 

"Follow  Thru"  Day

Can you  TIME  the market? 

ABSOLUTELY

We had a  "Follow Thru"  day on November 8th 2016 which is a signal that tells us that the new bull market has begun.  This is the day when according to Mr. William J. O'Neil (founder of Investors Business Daily) one must start buying the leading high rated growth stocks.  This is the day that the market status changed to a  "Confirmed Uptrend".  Its like a Green light to the retail investors to start deploying their cash into quality stocks.  Highly rated stocks break out of their bases and they rise rapidly within days from their 50 day sma (simple moving averages) to 10 day sma.   

Every bull market starts with a  "Follow Thru"  day.   Not every  "Follow Thru"  day triggers a new bull market though.  However, no bull market has occurred without a  "Follow Thru"  day.  On Friday Sept 9th, we had a major   "distribution day"   when the 3 major indexes   $SPY, $QQQ  and  $DJI  traded below their  50 day sma.  Market status changed to  Market in Correction.  This was the signal to go into  CASH  and to preserve the capital from eroding.  Within 4 weeks, the market changed on Wednesday Nov 9th and those that knew how to  TIME  the market, were rewarded handsomely by outperforming the market.

Market  Results 

Its exactly a year since we entered the new bull market on Nov 8th 2016.  Here are the results of the performance of the 3 major indexex as well as the performance of all the 9 major sectors of the US stock market:

Major Indexes

1. $SPY ...  +20.81%  
2. $DJI   ...  +28.50% 
3. $QQQ  ...+31.40%

Major Sectors

1. $XLK   ... +34%      (Technology Sector)
2. $XLF   ... +32%      (Financial Sector)
3. $XLB   ... +24.08% (Materials Sector)
4. $XLI   ...  +23.70% (Industrial Sector)
5. $XLV  ...  +19.25% (Health Care Sector)
6. $XLY  ...  +16.49% (Consumer Discretionary Sector)
7. $XLU  ... +13.20%  (Utilities Sector)
8. $XLE  ... +1.21%    (Energy Sector)
9. $XLP  ... +0.87%    (Consumer Staples)

Technology was the leading sector for the last 12 months.  17  of the  21  stocks that I had highlighted in my post last week, were in the Technology Sector.  As a retail investor of growth Stocks, one must identify the leading stocks in the leading sector to  Out Perform the Market.

Mentoring  Program

You have seen the results of all the trades and stocks that I have shared with you for the past year.  I consistently Outperform the Market every month.  Retail investor are much more nimble than the institutional investors like hedge funds or mutual funds.  Retail investors that study the markets ought to do better than the institutional investors. 

Would you like to learn:

• How to  TIME  the market?
• How to read the signals that the market gives you so you can mitigate losses?
• How to identify leading Growth Stocks in the leading Sector?
• How to create a Trade Plan for Loss Exit, Profit Exit and the Time in the Trade Exit?
• How to enter into a stock position with a Low Risk?  

Schedule a FREE 30 minutes of  "Discovery Call"  with us to see if you qualify for our program.

Contact us at:

investorspotlight@gmail.com

There are limited spots for the class.  Don't procrastinate and take action now by contacting us.  Invest in yourself and take control of your financial future.

Happy Trading!

AMIN