In part 1 of this post we looked at how you can become profitable by using some of the structural tendencies of stocks to extract money from the market. Specifically we looked at momentum and volatility cycles to make money. Today we will look at another very powerful structural tendency of stocks.
Surprising news leads to big moves. Any surprise that leads to change in market participants views about the stock leads to big moves.
Let us look at ICHR from yesterday. It made a 28% plus move yesterday. It was possible to identify this stock ahead of time and buy at open.
These kind of news based moves happen daily. You will see FLNT today was up almost 30% plus . again stock had a surprising news last night. Based on that buying at open was easy money.
These kind of surprising news can lead to stocks making very big one day moves. And in most cases you can find these stocks before market open.
After studying thousands of such moves over the years I have figured out which kind of news has potential to make big moves in stocks. Earnings surprises is the most likely culprit. In biotech stocks it is the release of drug studies.
Based on our studies I use a methodology called NTRT and MTRT for finding such explosive moves stocks and enter them with market on open orders. NTRT and MTRT involves just 15 minutes of work after the close and before the open.
If you want to make lots of money trading stocks master these structural tendencies of stocks and you will find it easy to make money.
In part 3 we will look at some more structural tendencies of stocks.
Surprising news leads to big moves. Any surprise that leads to change in market participants views about the stock leads to big moves.
Let us look at ICHR from yesterday. It made a 28% plus move yesterday. It was possible to identify this stock ahead of time and buy at open.
These kind of news based moves happen daily. You will see FLNT today was up almost 30% plus . again stock had a surprising news last night. Based on that buying at open was easy money.
These kind of surprising news can lead to stocks making very big one day moves. And in most cases you can find these stocks before market open.
After studying thousands of such moves over the years I have figured out which kind of news has potential to make big moves in stocks. Earnings surprises is the most likely culprit. In biotech stocks it is the release of drug studies.
Based on our studies I use a methodology called NTRT and MTRT for finding such explosive moves stocks and enter them with market on open orders. NTRT and MTRT involves just 15 minutes of work after the close and before the open.
If you want to make lots of money trading stocks master these structural tendencies of stocks and you will find it easy to make money.
In part 3 we will look at some more structural tendencies of stocks.
1 comment:
HI, can I learn more about this style of play in the members'site?
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