Right now in my paid research services, we almost always trade market extremes; the more extreme the move, the bigger the profits – like the 200% gain we made on VIAB the other day.
But the kinds of extremes we play depend in large part on the market's "narrative," the prevailing sentiments driving stock prices – up or down. That's why we align the bulk of our trades with that narrative.
At the moment, we're mostly looking at strong stocks, in quality companies, caught up in broader mechanical pullbacks. When the stock "snaps back" we see gains on the price and even bigger profits on trades we make on those shares.
It sounds simple, and it's tough to argue with the profits. All this is happening because the market is telling us that it favors moves higher right now, and so a bullish overall stance is the right one to take.
But there are some troubling signs out there – some gray clouds out in the distance – that every investor needs to know about…
About the Author
D.R. Barton, Jr., Technical Trading Specialist for Money Map Press, is a world-renowned authority on technical trading with 25 years of experience. He spent the first part of his career as a chemical engineer with DuPont. During this time, he researched and developed the trading secrets that led to his first successful research service. Thanks to the wealth he was able to create for himself and his followers, D.R. retired early to pursue his passion for investing and showing fellow investors how to build toward financial freedom.