Spotting Major League Support & Resistance
In the latest entry to his lesson series, Sami Abusaad builds on last week’s lesson to catch you up to speed on major price support and resistance. He kicks this video off with a review of minor support and resistance, but, if you missed the last episode, do yourself a favor and catch up here. Your P&L will thank you! This lesson focuses on how you can use this concept to exploit the opportunities that present in a sideways trading patterns. The market often gets stuck that way, so understanding when to make your move in this situation is essential. In fact, this concept is so powerful, Sami knows traders who live comfortably by exclusively buying stock at/near support and selling at/near key points of resistance. Sounds crazy, but Sami just gave you the keys to car. Drive your way to comfortable living on one concept now:
Continue Reading -->Options In Play – The Bending Trend In WWE T3 Live
We spent a lot of time focusing on trending stock trades last week and broke down a few different ideas on how to approach those trades. The key to trending trades is knowing when the trend is breaking and WWE looks in danger of doing just that.
Continue Reading -->The Questions a Smart Trader Is Asking Herself Right Now
Sami updates last week’s correct call on the end of the uptrend on the daily QQQ chart, and what he sees coming up this week. Want to move forward like a pro? Then these are the questions to ask right now: Did we break under the long term trendline? (Yes!) Did we break under the moving average? (Correct!) Do we have price below the moving average now? (Absolutely!) Is the moving average now flat or starting to move down? (You bet!) This all points to coming weakness. But, something on Friday contradicts these points… so how should you play it? Watch now to see Sami’s latest game plan so you’ll understand how to play this uncertain market:
Continue Reading -->Swing Trading Game Plan: A State of Flux
Welcome to Sami Abusaad’s latest swing trading game plan! In last week’s video, Sami identified $186.80 as the “line in the sand” for QQQ. We broke it, which means trouble could be on the way. However, Friday’s bottoming tail was undoubtedly bullish, complicating the situation quite a bit. Unless major news hits soon, the market could be a state of sideways flux. So Sami is coming in with a neutral (but slightly bearish bias) — which is not his favorite type of market. Sami has 6 long and 7 short ideas on the radar for this week, including BEST and NUAN. See how he’s looking to play these names in what could be a tricky stretch for traders.
Continue Reading -->Scott Redler’s Reality Check: How to Take Control of Your Trading, and Finally Turn Things Around
Every day is a new day. And that’s the beauty of trading. You can always start over. But if you want to make a fresh start, you need a reality check. Put your ego aside, and take a serious look at what you’re doing right, and what you’re doing wrong. Most traders, especially when they’re losing money, can’t do that. But if you’re ready to take control of your trading, you can start now. Here’s how: 1) Break Down the Last Year This is where the rubber meets the road. Your first step to getting on track and stemming the bleeding is to know where you stand. Take your last 12 months of trade data, and put it in a spreadsheet. What was your P&L for each month? What about each week? And each day? What was your average gain or loss per trade? What were your 5 best and worst 5 days? 2) Connect the Dots Start working your numbers and look for the common threads. Did you let losers run too far? Did you sell your winners too early? Are you having trouble shorting stocks? If you look deep enough, you’re going to see some really interesting things… especially if you think about your life outside of trading. I’ve seen many traders post their worst results when they’re having family, career, or health problems. Something big like a divorce or surgery can really set you back. A lot of traders think they can fight their way through anything. And you do need a little bit of that attitude to get ahead in life. But if a major life event throws you off your mental game, take a break, regroup, and come back fresher. 3) Set New Goals Your #1 goal for the second half should be to break bad habits. Did you hit your daily loss limits too often? Did you keep doubling down on bad trades? Make a list of habits that cost you money, and print it out. Then, post it at your desk and read it every day. Breaking bad habits gives you instant results. For example, let’s say you keep breaking your daily loss limit, which drags down your average daily P&L by $500. If you can eliminate that bad habit and take back that $500, you’re going to have an extra $10,000 a month. That takes care of a lot of mortgage and tuition payments. How do you do this? Start by following the list you just made. 4) Create a Trading Daily Routine Successful people don’t come in to work wondering what they’re going to do. They have a routine. Elite performers like Steve Jobs, Winston Churchill and Benjamin Franklin all used daily routines to stay productive and on track. Trading is no different. So I’m challenging you to make a checklist of 10 things you’re going to do when you get to your trading desk in the morning. This can be stuff you’re already doing. But I want you to systemize it so you flow from one task to the next without getting sidetracked by the news, social media, or TV. It could be checking news, scanning charts, tracking futures, previewing the economic numbers, whatever. Just have a routine and stick to it. 5) Get Some Balance I love trading. But I’d hate it if I never got away to blow off steam. I highly recommend picking up a sport or hobby that forces you to be 100% in the moment. So start running, swimming, playing chess, or even video games to give your trading brain a rest. You’ll work out your stress and come back fresh. Plus, you’ll be taking better care of your body. Your P&L is tied to your health. If you eat well, and get to sleep at a decent hour, you’re going to be a better performer day in and day out. But if you’re coming in on 4 hours of sleep and chugging coffee to stay awake, you’re doing this all wrong! The Bottom Line You’ll never get where you want to go in trading if you can’t see the truth about yourself. Hopefully, you now have some ideas that can help you take that first step towards turning your P&L around. Positions Disclosure: As of 5/10/2019 at 10:56 a.m. ET, Scott J. Redler is long TWTR, TWTR calls, AMRN calls, BRKB calls
Continue Reading -->Options In Play – A DIS Lesson On Knowing The Catalyst
DIS had a solid report last night but isn’t having a very eventful day. Options were pricing in a big move going into the numbers but there is a reason why I was more cautious on near term action.
Continue Reading -->How a Top Professional Trader Locates Support & Resistance on Any Chart
Traders often talk about support and resistance — typical concepts you’ll find in any technical analysis book. But how do you actually turn support and resistance into a trading profit? Or into the avoidance of a loss? In this extended video (adapted from a Strategic Day Trader coaching session), top professional trader Sami Abusaad takes you inside his process for drawing support and resistance. And more importantly, he takes you inside the mental tricks you can play on yourself while analyzing support and resistance. The tricky think about trading is that you tend to get exactly what you try to avoid the most — like giving back profits. This lesson, which combines technical analysis and psychology, will help you understand where traders are most likely to go wrong when managing charts based on price action.
Continue Reading -->Trading Earnings for a $4,200 Profit the Easy Way
It is completely impossible to trade earnings, right? Can’t be done, right? Wrong. In this video, Sami gives you an exclusive sneak preview of his Earnings Engine class. Earnings Engine is a unique class centered around getting long and stocks ahead of earnings. You learn simple, easy-to-identify patterns that “tip you off” to where the stock will open the next day. How easy is it? Well, as you’ll see in this video, an Earnings Engine graduate earned $4,200 trading earnings… in his first week. Crazy stuff! In fact, this strategy is so valuable that Sami was hesitant to teach it! Thankfully, Samy loves to teach, so he was generous enough to share this strategy with the world. Check out the video, then learn about Earnings Engine right here. P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season
Continue Reading -->Scott Redler: What Is a “Special” Stock?
FYI – I discussed the broader market action with CNBC yesterday. Click here to read the article. ****** If you follow me, then you probably know I have my own trading language. It’s easy to understand once you get the hang of it, but I sometimes get questions about on particular term I use: ‘special’ As in, there are special stocks and not-so-special stocks. So what is a special stock? To me, a special stock is trending above the 8 & 21 day moving average (or an earnings gap) and showing relative strength vs. its sector and the market. These are the names I want as swing longs. I typically start them as Tier 1 positions (which is essentially a foothold), so I can add when these names break to near-term or all-time highs. (I discuss the Tier System in the Path to Profits program) This is a daily chart of Diebold (DBD), one of my picks from the 2019 Market Outlook Report:As you can see, it held the 8, 21, and 50 day to start the year. Then it gapped up big on earnings and reclaimed the 200 day moving average. Then it held the gap and didn’t fill it at all. This is ‘special’ behavior because it held the moving average, then held post-earnings highs with no trouble whatsoever. So what does a ‘not-so-special’ stock look like? Well, Lyft (LYFT) is a good example. It hasn’t been able to hold a high, and it’s below its brand-new 8 & 21 day moving averages.And Apple (AAPL) recently lost special status when it couldn’t hold its post-earnings gap.Want to learn more about my system? Check out Path to Profits.Positions Disclosure: As of May 8, 2019 at 10:49 a.m. ET, Scott J. Redler was long TWTR, PSN, BABA, TWTR calls, AMRN calls, BRKB calls
Continue Reading -->QQQ: Where Is the Line in the Sand?
Welcome to Sami Abusaad’s latest swing trading game plan — one you should listen to on a pretty crazy week. Sami explains why the market’s been in an unbreakable ‘super trend,’ but also explains the 3 ways in which the trend can end. And to make it easier, Sami actually lays out the specific QQQ level he calls “the line in the sand.” Also see which stocks he’s targeting for swings, including CIEN, CVLT, PHUN, and YUMC. Sami also gives an update on Bitcoin, which just reached Sami’s target after his first entry at $4,000.
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