tag:blogger.com,1999:blog-20374666.post1595408035222289938..comments2024-03-05T07:50:04.017-05:00Comments on Stockbee: What are Episodic Pivots and how to find themPradeep Bondehttp://www.blogger.com/profile/16750002566366368685noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-20374666.post-55782360671762905442010-09-30T15:36:22.768-04:002010-09-30T15:36:22.768-04:00Because we track earnings daily most of the time w...Because we track earnings daily most of the time we enter these kind of trades in pre market or at open. In such cases the stop is the low of last 2 days before entry. The exits are in 4 parts with profit target of 20% plus.Pradeep Bondehttps://www.blogger.com/profile/16750002566366368685noreply@blogger.comtag:blogger.com,1999:blog-20374666.post-18980367664081431262010-09-30T15:31:10.109-04:002010-09-30T15:31:10.109-04:00I tried finding in the articles on Episodic Pivots...I tried finding in the articles on Episodic Pivots about setting stops, however could not find anything. The entry criteria are pretty well definied, such as running the scan and looking at what news item caused the move as well as what was the chart action prior to the move. However, I could not find anything about a stop. <br /><br />What sort of exit strategy should one follow if trying to trade the EP method?ANShttps://www.blogger.com/profile/13986369328340451004noreply@blogger.comtag:blogger.com,1999:blog-20374666.post-53704872398795275722010-09-30T15:11:27.601-04:002010-09-30T15:11:27.601-04:00Going by past experience and research typically a ...Going by past experience and research typically a stock which makes 85 plus kind of move on earnings tend to do well.<br />I also use a monthly EP scan to find stocks that breakout later after earnings. Besides that i also use a screen for stocks which had 50% plus earnings surprise last quarter. So there are many ways in which this concept is traded.Pradeep Bondehttps://www.blogger.com/profile/16750002566366368685noreply@blogger.comtag:blogger.com,1999:blog-20374666.post-12949876757553217362010-09-30T14:52:07.006-04:002010-09-30T14:52:07.006-04:00Pradeep,
Why do you use 8% and not 6, 10 or some ...Pradeep,<br /><br />Why do you use 8% and not 6, 10 or some other number? What's the reasoning behind the selection criteria being a rise of 8%. <br /><br />PEAD basically says that a company with earnings surprises will good stock price appreciation in next few quarters, so it's possible that a company with good earnings surprise may not have immediate price action and hence may get missed in the scan.<br /><br />Thanks for all the info.ANShttps://www.blogger.com/profile/13986369328340451004noreply@blogger.comtag:blogger.com,1999:blog-20374666.post-58416379233782022372010-02-22T08:52:37.147-05:002010-02-22T08:52:37.147-05:00I buy less than 1% stocks from that scan. Tere are...I buy less than 1% stocks from that scan. Tere are additional criteria like eps growth, sales growth, extent of neglect, nature of catalyst which are used to narrow the scan candidates further. So it is not a pure mechanical method.Pradeep Bondehttps://www.blogger.com/profile/16750002566366368685noreply@blogger.comtag:blogger.com,1999:blog-20374666.post-79794139688237679782010-02-21T20:17:25.203-05:002010-02-21T20:17:25.203-05:00Hello Pradeep,
I recently discovered your site th...Hello Pradeep,<br /><br />I recently discovered your site through the Kirk Report, and was especially interested in your EP scan for Telechart. <br /><br />I tried to reproduce the scan using Amibroker, and using its built-in backtester, didn't find the result ecouraging (about 6% CAR). However, when I modified the scan to also detect the subsequent flag after the breakout, as described in the Earnings Flag pattern on p893 of Bulkowski's book, which you also referred to, the results for the period 2000 to the present were about 50% CAR. <br /><br />This scan is a purely mechanical buy/sell backtested system, so I would expect better results in real-life.<br /><br />Thanks for building this site. I intend to subscribe.<br /><br />Paulppmoorehttps://www.blogger.com/profile/08545305261431449950noreply@blogger.com