|When the market is a rockin’…
|April 3, 2007
Man, the market was flying today! I love days like this — just about every stock we’ve got in the Trending123 portfolio was on the move. And after a couple of weeks of listening to me go on and on about buying pressure, my subscribers finally got to see the bullish momentum I’ve been talking about really start to break through.
As good as today was, I can tell you the buying pressure I’m seeing shows no signs of slowing down, which means there are plenty of opportunities out there for us right now!
Money Management and the Word “Dumb”
Believe it or not, it becomes stressful for people to have stocks that actually move up fast. Take my current trade GSS, for instance. It was in the upper $2s or low $3s, and then it shot up to the $4s. There were a lot of gains on the table. But it actually caused panic for some people. It really did.
Why does that happen? Well, everybody knows how to manage losers. We all know what to do: hold. It’s winners that we have the biggest issues with—because we’re not used to a lot of them. So I want to go over just one more thing: money management and the word “dumb.”
First and foremost, I believe that no position should ever be more than 5% of your portfolio. People get into the biggest trouble when they hear excitement about a stock or are excited about it themselves, and they think for sure it’s going to skyrocket. They think, “It’s got to go to the moon, because did you not hear how he talked in that update? Oh my gosh. It’s got to go to the moon.” But even though the majority of positions in a portfolio may be winners, some will be losers. That means you can’t allocate too much to any single position, because you could ruin a portfolio of winners by doing so.
But why did I mention the word “dumb”? That’s simple: because from this point forward, we will never be as dumb as we are right now, including myself. Five minutes from now we’re going to learn something new. And that makes us smarter. Tomorrow we’re going to learn more. And that’s going to make us even smarter. The next day you’re going to learn even more. And we’re going to be even smarter.
So as far as dumb goes, we’ve officially bottomed as the human race, because tomorrow, and the next day, and the next day, we’re going to keep learning new things. But don’t forget what you have already learned, because the last thing you want to do is make dumb moves in your portfolio management.
At Trending123, we’ll help you learn smart portfolio management. Click here to join Trending123 and see how we can help you find — and manage — winners.
If you’re not making money in this market…
…You need to get in on one of these trades. Just last week I put out an update for my subscribers, recommending three new plays I wanted them to make for some fast and furious gains. We just closed out of one of them, CEGE, today for 96% gains in one week! You missed that one, but I’m reiterating my buy on the other two trades for you now. Click on the links below to watch and listen to my update on all three of the stocks.
AMREP Corporation (AXR)
AMREP Corporation (AXR) together with its subsidiaries, engages in the real estate, fulfillment services, and newsstand distribution businesses. It develops homesites, commercial lots, and office buildings. AMREP provides subscription fulfillment and related services for publishers and other customers, as well as distributes periodicals.
Of course, what I really like about AXR is not what they do, but that I can see the stock is getting ready to break out of its bullish continuation wedge, and when it does, we are going to rake in the profits!
Microvision, Inc. (MVIS)
Microvision, Inc. (MVIS) engages in the design and marketing of scanned beam display and image capture products for professional and consumer applications. It provides Nomad Expert Technician System, a wireless and wearable computer with a head-worn see-through display; and prototype color scanned beam displays, including hand-held, head-worn, and projection versions.
Sounds pretty cool, right? Even cooler is that fact that it is showing massive bullish divergence in the PPO, which means big gains for us. I want you to buy MVIS now to hold for a pretty quick triple from current levels.
This is such an exciting time to be in the market. We’re loading up on new picks to maximize our profits from the massive buying pressure we’ve got going on right now. And you can get in on all of them too — absolutely free! You can try Trending123 free for two weeks. Get all of my buy and sell alerts and updates. Check out my message boards and trading chat room. Access everything a paid subscriber can get — free for a limited time. Click here to start your free trial.
P.S. Technical analysis can be enough to scare a seasoned trader. There are so many forms of technical analysis from candlesticks to patterns to Elliott Waves. Anybody who claims they’ve learned it all is doomed for failure! I will flat-out tell you that the day I learn it all I will be six-feet underground. But that is why I created Trending123. We are a community of traders helping other traders. Join our community today and discover the benefit of helping others profit while you profit! Click here now.