I have a lot of clients. If you were a fly on the wall you’d hear clients say, “…5-10% rinse and repeat” and “…green is better than even, even is better than red” but what does that really mean to the untrained trader?
Tonight’s tip is to lock half the position +5% and close the other half +10%.
This means a good swing trade, over 1 – 4 days, will be reported +7% if the desired outcome is met.
I always say I’m a teacher first and trader second. So let’s examine.
Think of my trading strategy as a spiral curriculum. We go up and down the spiral revisiting and applying lessons that consistently deliver results on Wall Street.
I don’t think trading needs to be complicated but you do need a solid foundation to come out on top consistently.
So say I’m +5% +$2,000 on a swing trade, I lock half +$1,000 like clockwork and let the other half ride looking for +10%. If the trade starts to slip I might sell the other half +3% or worst case even.
Call it what you want, I call it discipline.
Probably seems like a small gains to you but following this very strategy in 2013 I’ve made $131,513 verified profit placing only a handful of trades each week.
Today I sold GEVO for 11% on the full position. Best part, I bought GEVO while on vacation. Chart below bought at $1.80 Friday sold today on the news at $1.99 +11% or $3,775 overnight.
It’s not like I just guess either, GEVO was on Friday’s watch list well before I bought at $1.80 while traveling with my wife on vacation.
Again, sold a day later for 11% profit or $3,775. See chart below, sold Monday at $1.99.
“GEVO – Working support above $1.70 looks like a pretty good base is building there. There’s a lot of Moving Average resistance just ahead so it could be choppy in the $1.90′s so I’ll watch that area close if I take the trade.”
Last week I did the same thing on AAMRQ making 10% as seen in the chart above.
Don’t get me wrong, I’ll definitely let a bull run like I did recently with LQMT +45% +$12,100 and MEET +15% +$8,100 but in general I’m picking off 5-10% rinse and repeat and building the portfolio.
Yup, I’m a grinder and from time to time I go for the big score just like Matt Damon in rounders.
That’s how I make a living and it’s led to a 41% return in 2013 compared to the S&P 500 +16%.
And as more and more traders buy into my strategy my service grows bigger each month because it works.
“In GEVO at $1.85, out GEVO at $2 for a profit of $730, thanks Jason.” ~ Cynthia S.
“Hi Jason, I really need to thank you. Since I resumed trading with you my portfolio is up already 20% in less than a month. These past 3 weeks have been amazing. Best investment ever.” ~ Jorge O.
My service is designed to make money without being chained to your computer and we have Wall Street’s biggest chat just in case you like more action.