How To Buy Stocks In A Santa Rally - Jeff Pierce

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I’m a swing trader of momentum stocks with a holding period of anywhere from a few hours to a few months. I run a number of screens to locate the strongest/weakest stocks out there, using technical analysis to determine my entries and exits. Trying to calculate the intrinsic value of stocks in... More

My company:: Astrology Traders
My blog:: zentrader.ca

How To Buy Stocks In A Santa Rally 0 comments

Dec 12, 2011 12:12 AM | about stocks: ATHN, APA
The following is by the traders behind the site All About Trends. They offer a monthly subscription service where I have negotiated a special 50% off the regular price of $30. You can only receive this discount by following this link and I personally believe this price to be a steal.
In uptrending markets, it’s all about the Pullback Off Highs pattern — in other words, sitting back and letting stocks come to you and buying them at low risk alternative entry points.

That’s exactly what we did with ATHN on Friday. After ATHN cleared resistance at the blue line and got back above its 50-day average, we added this stock to our watch list.

We then patiently waited for ATHN to pullback to support at those levels. Friday, ATHN blasted above the pink Pullback Off Highs line triggering a long side trade at $59.53. By the close ATHN was already over $61!

Now take a look at APA. It looks a lot like ATHN did before it took off to the upside:

Success in today’s market comes from the following game plan:
- Buy leading stocks at alternative, low-risk entry points
- Sell stocks that are retesting recent highs
- Always sell into strength
- Enjoy your profits and wait for stocks to come back to you
Stocks: ATHN, APA

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