A common question I often get from aspiring traders is related to time. More specifically, how much time does it take until one is consistently profitable as a trader.
And how fast will it take to turn a small account into something life-changing…
…like Kyle Dennis who went from $15k to $6M+ in a few short years…or… Nathan Bear who turned a $35k account into almost $2M in three years (since joining MRM).
Heck, since I launched Freedom Trader about a month ago… the portfolio is up around 50%…turning a $100K account into roughly $150K.
Take a look at some of my big winners and losers from the month of June:
(Clients receive my watchlist before I place any trades, as well as my real-time trade alerts, including my entries and exits. Would you like to start receiving them too? Click here to join now.)
As you can see, you don’t need much to make incredible returns if you’re trading momentum stocks.
But here’s the thing…
It took me years to reach this level of trading mastery. I also had a mentor to help me along the way. Furthermore, I’m committed to cutting your learning curve to the shortest time possible.
We’re all running our own race.
First you must educate yourself and learn the process. Then you focus on the profits. Too many times new traders will focus on the profits first, which will almost always trip them up.
However, I love Spencer’s approach:
“Hey Jason. The service has been on point the past two weeks. My small account is up $1,000 dollars since starting your service in late May (2,226.53 to 3,229.80). I’m wondering how I get a free raging bull hat and shirt?” ~ Spencer N.
And of course, your RagingBull hat and tee-shirt are on the way.The Milestones Program was created to celebrate small victories on your way to becoming a millionaire trader.
The first milestone occurs when you reach $1,000 and they go up all the way up to $1M.
The end of the quarter is almost here, and there are several takeaways that I’d like to share with you. In fact, this advice, if taken to heart, should boost your trading performance in the second half of 2019.
Patience is a virtue.
That’s an old proverb that applies to trading…
… especially when you’re trading momentum stocks.
Of course, momentum stocks move fast, but it’s only for a short period… what typically happens with this type of stock is they’ll move up quick… then pull back and stall… before making a move higher.
Sometimes, they’ll just move higher and stall before making another leg higher.
A lot of the time, beginners will buy a momentum stock… and once is just stalls and doesn’t move, they’ll get out thinking they’re wrong.
Most of the time, it’s because they’re impatient.
Let’s face it how often do you see stocks just continue running higher? Not too often.
So if there’s no real reason to get out, like if the stock breaking below a key level, some news hits the wire, or your stop gets hit… what’s the point of getting out?
The whole idea here is to spot the pattern, area of value, and, or, catalyst… develop a trading plan, and be patient and let the stock do its thing.
There was actually one trade I put on last week in which patience was key to success.
How I remained Patient and Locked in $15K Just Trading One Stock
Before we get into my trade in a momentum stock…
… you’ll want to watch Jeff Bishop’s rebroadcast of Total Alpha, as he reveals some of Wall Street’s best-kept trading strategies.
You see, having patience is one thing… but in order to develop and become a successful traders, you need to learn other money-making strategies.
That said, don’t delay because he will be taking this down later today. This is the LAST day you can rewatch it.
Now, let’s get back to my $15K winner in WKHS.
Last month, Workhorse Group (WKHS) was hot after president Trump tweeted that General Motors CEO informed him that GM would be selling one of its plants to WKHS.
With that catalyst, the stock soared 300%.
Now, traders tend to see this news, thinking they missed out on the trade… and just try to find opportunities.
Not me though.
I look for one line – the Horizon line, which gives me an idea of where to buy a stock, as well as stop out.
Here’s a look at the daily chart in WKHS.
You see that rectangular area there?
Well, that’s where the Horizon line showed up… and if you want to learn how to spot the Horizon line and become a Freedom Trader, click here to find out more.
You see, even though the stock is up a bunch since the start of May…
I knew there was going to be another trade in it… all I had to do was remain patient and wait for the stock to reveal where the Horizon line was.
Now, once I got into the stock… things got a bit shaky. A lot of traders will be down in a stock… and end up puking their shares, even if their thesis isn’t broken.
For example, I was actually down $5K in the position at one point… which may seem like a lot to you, but that’s still within my risk parameters.
Not only that, I had a trading plan and clear thesis… and it wasn’t broken yet. Additionally, my stop didn’t get hit.
Sure I was down, but I didn’t panic. I remained patient and actually re-evaluated the situation trying to figure out if I was wrong or not.
After reviewing my plan and looking at the chart, I realized there wasn’t a real reason for me to dump my shares.
What I did see was the stock was still around the Horizon line, and it was actually a good time to add to my position… and I did that, all I needed to do was remain patient and just let the trade work out.
Boy did having patience pay off.
With that one trade and another winner right from my watchlist that I send out to clients… I was able to lock in a $16K+ day, bringing me up to nearly 50% returns on my Freedom Trader account in a short period.
Now, if you want to learn the ins and outs of momentum trading, and how to spot the horizon line… click here or below.