All About Trends'  Instablog

Is the market higher or lower today? Who cares!! We sure don't and here's why:

In today's market, there are only 3 things you need to know:

• Uptrends and how to trade them
• Downtrends and how to trade them
• Changes in trends and how to trade them

A stock can only do 3 things - go up, go down or do nothing. For us, a company is only as good as its stock and its chart. All that matters to us is what's happening on its chart. It's all about chart pattern recognition and trading in tandem with the indexes.

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

Today we are going to spend some time on the Pullback Off Highs pattern - the only Uptrend pattern you'll ever need to know.

The recent action in LinkedIn tells us why:

A big part of our style is to not chase buses and to allow stocks to come to us via pullbacks off highs (POH) be it either in names that are in clearly defined uptrends above the 50-day.

In LinkedIn's case, we had a stock that had pulled back off of its highs (pink line).

A break above the pink line triggers a long side trade - wow!

The chart below best shows LinkedIn's powerful surge.

Did you know that just $500 a week in the market can provide the following returns?

• A 24% return on a portfolio of $100,000
• A 48% return on a portfolio of $50,000
• A 24% return on a portfolio of $25,000

To learn more and receive our free report - "How To Outperform 90% Of Wall Street With Just $500 A Week" - sign up for our free newsletter OR "like us" on Facebook.