Trading Help

 

Trading Strategies

Here are some strategy suggestions that will help you to trade smartly.

Stop Loss

  • Always use the stop loss right after you place every trade.
  • If the stock breaks the stop loss, always close your position right away and find another better trade opportunity before you lose more money.
  • The first loss is the smaller loss you might have.

Take Profits before You Lose it

  • Draw a trend line on the stock movement after you are in the money. Change the stop loss between your entry price and where the trend line may breaks so that exit price for stop loss becomes profit exit.
  • Trading is different from buy-and-hold long term investment. If you wait longer to exit, your trade might turn from profit to loss.
  • Exit your position "at" or "near" the target exit price, because sometimes the stock reverses earlier if more people start early to enter their trades on the opposite side. You want to lock in your profit before it is too late.

Stock Pick Help

Let us explain our stock pick information:
  • We may be the first stock pick web site to provide daily predictable "Market Open" stock picks with precise entry, target and stop loss price before the market opens.

  • Within the first hour after market open, we suggest to trade the stock pick at or near the Suggested Smart Entry Price only after the stock has touched the Trigger Price and trade one stock at a time. We will trade a second stock pick if its Suggested Smart Entry Price is reached after we have exited the previous pick.

  • We may make price adjustment sometimes to take early profit or give a little more room for the entry. The price adjustments usually are around $0.10.
  • We suggest to use trend line after the stock pick is in the money. Change the stop loss to a profit stop and consider to exit if stock price breaks the trend line.

  • Stock price may sometimes move oppose direction before and after the market open. We don't suggest to enter any trade in the "after-market" and "pre-market" period.

 
Stock Trigger Price 

Trade

Suggested Smart Entry Price Stop Loss Price Estimated Target Price Status Result
U.S. Stock Symbol Consider to enter a long trade at the Suggested Entry Price after the stock price has touched the Trigger Price.

Consider to enter a short sell trade at the Suggested Entry Price after the stock price has touched the Trigger Price.

Long or Short trade suggestion Enter the trade if stock price reaches this Suggested Entry Price.

**

Exit the trade if stock price touches this Stop Loss Price to minimize the loss.

 

We calculate the profit exit price so that you know when to take maximum profit before the stock changes direction.

**

See Below *** Risk / Reward ratio.

Percentage of the loss between the Suggested Entry Price and the Stop Loss Price v.s. percentage of the profit between the Suggested Entry Price and the Estimated Target Price.

Example: NVLS $48.64 Long $48.54 / $48.58* $48.38 $49.38* Wait (0.53% / 1.52%)

* Price adjustment. Usually the price adjustment is between $0.05 to $0.20. We may adjust the Suggested Entry Price or Estimated Target Price sometimes so that we will not miss the entry or miss profit with early stock direction change. We are not longer to make price adjustment to stop loss price.

** You are free to consider to enter or exit a trade at different price on your own will and risk.

*** Status Explained:
Wait: The stock price has not reached the trigger entry price.
Open: The stock price has reached the trigger entry price.
Profit Exit: The stock price has reached the estimated target price.
Stopped: The stock price has reached the stop loss price.
Avoided: We should avoid to enter a stock pick in some cases when the stock moves unfavorable to our expectation and strategies before the stock reaches the Trigger Price. Move detail explanations are posted in the Members Area
Removed: The stock pick will not be traded because the stock price has move away from the trigger price over a certain amount time or price distance.
Market Close Exit: The stock price has not reached the stop loss or estimated target price when the market is closing. We recommend to exit the position at least 5 minutes before market close to avoid the risk of margin call after next day dynamic stock price move.

Note:

  • Please note: We cannot update the "Status" from "Wait" to "Open", "Missed with Gap Open", "Avoided", "Removed", "Profit Exit", "Stopped" or "Market Close Exit" when the stock pick prices are triggered in real time. Therefore, we will only update the stock pick results AFTER the market close.
  • We recommend to close all intraday stock positions by the end of each day to avoid the risk of margin calls after next day dynamic stock price move.
  • We recommend to buy call and put options instead of stock shares for swing trades to avoid the risk of margin calls after dynamic stock price move.
  • Move detail explanation of our trading strategies and techniques are posted in the Members Area for Members to review. You may join the 7 days free trials to see those information.

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