Sami Abusaad | Black Room LessonsIn theory, only patterns with no major flaws should be playable. However, such patterns are rare, and limiting one’s trading to picture perfect patterns will virtually guarantee missing out on most days. As such, some patterns that are not considered “flawless” should become playable if the stock makes a move that fixes the problem. We call that a Secondary Sign of Strength (SSS or SSW when playing short).
Continue Reading -->P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season ** In this special video, Nightly Game Plan Moderator Sami Abusaad walks you through his open swing trade positions so you can see how an expert trader manages an active trading portfolio. Sami goes through: A breakout/1-2-3 combination in American Outdoor Brands (AOBC) A climactic play in Newell Brands (NWL) Maiden Holdings (MHLD), which Sami is retargeting after a $5,449.09 profit two weeks ago The Weekly Sell Setup in Unisys (UIS) The Earnings Play in Twitter (TWTR) And MORE! By the way, have you seen last week’s video, which shows Sami’s actual account statements with $78,059.89 in profits since October 16? Watch it here: Watch this video and see: Sami’s $78,059.89 in total gains realized this earning season, which you can see in his actual online account statements The exact chart setup in MTSI that delivered a $4,506 profit in one day Another successful trade in Universal Corp. (UVV)
Continue Reading -->In this special video, Sami Abuaad of the Strategic Swing Trader Program takes you through an Earnings Play in insurance company Maiden Holdings (MHLD). This is a great example of just how lucrative trading during earnings season can be. Just before the market close on Wednesday, MHLD showed an “awesome” Weekly Sell setup, and Sami went short at $8.40 into earnings. The stock gapped down and Sami got out at $6.525 for a fast gain of 22%. In real dollar terms, Sami made a profit of $5,449.09 — a nice paycheck for 30 minutes of work. But this was just one of Sami’s great trades this earnings season. Watch the video and get a look at Sami’s actual account statements so you can see his $72,867.08 in total gains from this earnings season. (click here to join the Strategic Swing Trader Program and join Sami in these incredible trades!) Watch this video and see: Sami’s $72,867.08 in total gains realized this earning season, which you can see in his actual online account statements Why the MHLD daily chart showed a potential gap down after earnings Sami’s actual statements from his trading account this week How Sami also made highly profitable trades in names like TripAdvisor (TRIP) Mallinckrodt (MNK), and Textainer Group (TGH) Interesting in getting Sami’s next big swing trade? Click here to learn about Sami’s Nightly Game Plan P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season
Continue Reading -->In this special video, Strategic Swing Trader Moderator Sami Abusaad walks you through his earnings season swing trading watchlist. With volatility so low, not many trades triggered this week, so Sami’s going to take you through the 32 stocks Sami is watching for potential opportunities this earnings season: Watch the video and learn about: Why Sami is so excited about earnings season How you can take earnings plays alongside Sami The 11 bearish, and 21 bullish play on Sami’s Earnings Watchlist The weekly sell setup in Antero Resources (AR) Why Dr. Pepper (DPS) looks so good for a possible long-term short The climactic run-up in Sociedad Quimica (SQM), which may set up a great shorting opportunity The sub-$3 gold stock Sami is targeting for a long-term swing long The key level to watch in the Gold Miners (GDX) Plus analysis of more than a dozen other stocks! Click here to learn about Sami’s Strategic Swing Trader P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource: The Ultimate Guide to Trading Earnings Season
Continue Reading -->In this special video, Sami Abusaad, Director of our Nightly Game Plan program walks you through a trade in fast-moving biotech stock Endo International (ENDP). ENDP dropped about 50% in 3 weeks, providing Sami with an opportunity to go long with his proprietary Climactic Buy Setup. This swing trade returned a profit of over $1,570 in under 3 days, giving you an important lesson: when everyone’s trying to get out, it may be time to get in. (click here for an explanation of how we calculate profits and losses) But that’s easier said than done. So Sami’s going to walk you through the trade step by step so you can understand exactly how he spotted a near-term bottom in this stock. Watch the video below and you’ll learn: How Sami used volume to spot capitulation Parameters for risk-reward and trade management Fear, greed, and how they helped Sami trigger the trade Why Sami went long at $7.93 How his targets of $8.75 and $9.50 were selected Here’s the video: Click here to learn more about Sami’s Nightly Game Plan.
Continue Reading -->If you want to be an expert swing trader, then you have to understand the Foundation of stock movement, broken down into 4 clear stages: Ambivalence Greed Indecision Fear In our latest swing trading tutorial (scroll down to see it), T3 Live’s Director of Education Sami Abusaad breaks down each of these 4 stages so you can understand The Foundation — or the entire life cycle — of price movement. Most traders are not even aware these stages exist. But once you understand how they work, you’ll start viewing the market action through a clear new prism. You’ll see how greed and fear show their hands through price and trend action. So watch this video today and learn: Which market stage offer the highest reward relative to risk How to pick the best stocks for swing trading The single most important trading picture you may ever see Why Sami doesn’t try to buy at the exact bottom and sell at the exact top The right time to start putting on buy setups What to do when a stock goes climactic to the upside What to do when a stock goes climactic to the downside The danger of the “Fear of Missing Out” Why you can’t wait to be 100% sure to get in The type of behavior that leads to climactic tops
Continue Reading -->As a swing trader, one of the most important decisions you’ll make is choosing which stocks to trade. You can learn all the winning swing setups in the world, but if you trade the wrong stocks, you’re going to lose money. So we’ve put together 9 simple tips that can help you steer clear of the ticking time bombs, and keep you focused on the winners. (if you’d like to learn about our swing trading program, click the green button) Click to Learn About Sami’s Strategic Swing Trader Program! 1) Don’t Get Hyped Over Hype. Price Action Is What Really Matters to Swing Traders.Many swing traders focus exclusive on companies that are always in the news with product announcements, press releases, and CEO interviews. That’s great for entertainment purposes, but we make our money on price action. For example, IBM (IBM) puts out a lot of news, but its stock doesn’t move all that much. IBM has a beta of 0.95, meaning that if the market moves 1%, IBM will move just 0.95%. So why trade it? Focus on stocks that make significant moves on multi-day to multi-month time frames. So if you want to trade a stock that moves faster than an IBM, you could look at high-beta names like Beyond Meat (BYND), Uber (UBER), Snap (SNAP), Amazon (AMZN), Advanced Micro Devices (AMD), or Netflix (NFLX). According to swing trading expert Sami Abusaad, “momentum is important. I look for high-momentum stocks that I believe are set to move in the next day or two.” Sami’s also not afraid of international stocks from regions like India and China. “It’s all about the chart, as long as the stock fits my volume requirements” says Sami.”2) Watch the Calendar for Trading OpportunitiesWhile price action is more important than news, news can drive price action. So if you’re long or short a stock, know what’s on the calendar. It’s good to know if your names are reporting earnings, appearing at conferences, have executives appearing on TV, unveiling new products, or can be impacted by economic news. For example, if you’re long Apple, you better know when it’s reporting earnings and when it’s showing new products. As you can see in this chart, Apple gapped up big on earnings (the circle), and it had a wide-range bar on the iPhone 8 release. Being aware of the calendar would have kept you on alert for big moves: And these days, more and more corporate executives are getting chatty on Twitter (TWTR) — perhaps most notably Tesla’s (TSLA) Elon Musk — so you should be monitoring their Tweets too! In August 2018, Elon Musk sent Tesla’s stock pricing skyrocketing after saying he was considering taking the company private.Am considering taking Tesla private at $420. Funding secured.— Elon Musk (@elonmusk) August 7, 2018 3) You Can Swing Trade Penny Stocks, But Be CarefulMany traders, particularly beginners, are attracted to penny stocks and small caps. While these kinds of stocks can give us the volatility we need to make real profits, they offer less liquidity than better-known large-cap stocks. They may also subject to manipulation and negative one-time events like secondary offerings. However, the fact that they can move so much so fast may make the potential reward worth the risk, particularly for advanced traders. Sami will trade any stock with a price above $1 with average daily volume around 500K shares a day, so long as there is a quality pattern. Keep in mind that Sami is a highly-experienced trader with a disciplined approach to risk management. Sami recently produced a video about swing trading penny stocks which you may find interesting:4) Be Aware of Your Typical Holding TimePick stocks to trade that match up with your intended holding time. We recommend going through your trading history to see the time frames of your most profitable trades. If you tend to make the most money on a 1-month time frame, then focus on stocks that make large moves on that time frame. The same goes for 1-week trades… and 1-year trades.5) Follow the Leading Stocks… and the LosersQuite often, the best-performing stocks in the market can go a lot farther and move a lot faster than the critics claim. Therefore, always know which stocks are crushing the market on an extended basis, because they’ll give you regular trading opportunities on both pullbacks and breakouts. Chipmaker Nvidia (NVDA) has been one of the best performing stocks of the post-crisis bull market. It has regularly led both the technology sector and broader markets, so it has been a go-to stock for swing traders: And on the flip side, track the worst names in the worst sectors. The laggards that look “cheap” often get cheaper since they typically suffer from bad earnings and negative news. According to Sami, “stocks showing relative weakness to the market and multiple time frame alignment (bearish daily/weekly/monthly charts) work best on the short side.”6) It’s Okay to Be Late to the PartyYou don’t have to arrive at the party perfectly on schedule. You can be a little late and still capture most of the fun. Don’t try to time exact bottoms (or tops if you’re going short). When a stock makes a major move, you can miss the first 20% and still make a lot of money. Take a look at this weekly chart of Facebook: In an ideal world, you would have bought it under $20 in late 2012: But you could have bought it much higher — at $40, $50, or $60 — and still made money. It’s better to wait for a setup to fully complete and give you a strong signal than rush in early, trying to catch the absolute lowest price.7) Be Careful with Falling KnivesOne of the single biggest reasons traders blow up their accounts is that they rush to catch falling knives. They’ll see a leading stock gap down 20% after earnings, and buy it right on the open. Then, the stock will drop another 20% in a week, and the trader is left asking “what now?” Resist the urge to throw your money at stocks posting big declines. Commonly, these names need to settle a bit before offering a fresh buy setup. Taking a look at Twitter, you can see how many times the stock gapped down huge,
Continue Reading -->