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Strategies & Market Trends : Trader J's Inner Circle -- Ignore unavailable to you. Want to Upgrade?

To: Trader J who wrote (56001)	3/3/2024 10:58:24 AM
From: Fast Eddie	Read Replies (2) \| Respond to of 56532

Re: SMCI I went and checked my records for last year. I was into SMCI in Jan '23 around $75 and sold in May for $134. At these prices I could still afford to buy 100's of shares. I reloaded most of my current shares in June for around $220. Blew some of them out in Jan at $425. It's now edged past NVDA as my second biggest position but I'm now limited at it's current prices, to trading odd lots (I'm a minnow). So, good trades, good position size mgmt, but boy do I wish I just held on to my original shares and did nothing. 1/2Fast Eddie

To: Trader J who wrote (56001)	3/3/2024 12:29:20 PM
From: Lou Weed	Read Replies (1) \| Respond to of 56532

Just came across your thread via ST's Art of Investing. Looks great and I look forward to being a part of your community here. I've been around long enough to have many ups and downs but gradually have learned to cull my losses quickly to eliminate the large draw downs. The stop loss is a very powerful weapon! It's ok to be wrong....it's not ok to stay wrong. I've adopted a hybrid strategy based on a few gurus out there and it has greatly improved my success rate. I'm really more a swing trader than day trader. I basically look for stocks that have recently broke out of at least a 6 week consolidation on higher volume, set a stop loss around 10% lower. The risk is therefore set and by rule it can't be any more than 2% of overall equity. The MACD line also has to be above zero & above the signal line. If she doesn't get stopped out, I'll let her run until the MACD line crosses down below the signal and then set the raised stop. I subscribe to Garret Packer at Financialwisdomtv.com and he has his own weekly scanner that casts a net for stocks that I described above. The strategy I use is primarily his but I tweak to include some other strategies to try and refine it. So far, so good. The scanner is his own proprietary product and includes an overall score based on Technical/Momentum/Quality. Quality is a combo of double-digit % requirements for ROE, ROC, Operating Margin and general positivity in revenue and net profit with sensible debt. It's a fantastic tool. Oh yeah, and the other requirement for any buy is that the S&Ps 10 week ema has to be above the 20 week ema. Otherwise, stay on the side line. Only buy in an overall uptrend. For me, max 10 positions at any one time. Here's a home run I hit last week. It wasn't from his scanner but one I had on my watchlist but still adopting the strategy. Normally I wait for the full week bar to play out but because this is a crypto play and momentum was huge, I jumped on the initial break out last Monday. Yellow line was my buy and red the stop loss. Because of the volatility here I'll probably set ~20% trailing stop this upcoming week instead of waiting for the MACD cross down to lock in a profit.