How to Trade the Parabolic Stop and Reverse (SAR)

Two Simple Tools to Spot Reversals in the Fear Gauge

2018 and 2019 will go down in history as one of the most volatile periods on record.

But believe it or not, one of the most consistent ways to make money on the market is by trading excessive fear, as dictated by the Volatility Index.

5 Ways to Exploit Herd Mentality

Buy low and sell high.

In other words, buy when a stock is in the dumps, and sell it at a peak.

It’s the best investment advice ever given. The problem is most people do the exact opposite. They sell low. Then, they buy high. They just sucked into the psychology and begin to trade on raw emotion instead of basing decisions on rational thought.

Williams’ %R: One of the Most Powerful Indicators We Use

One of the best ways to improve your trading is to experiment.

It’s how I found that a combination of Bollinger Bands (2,20), MACD, relative strength (RSI), Williams’ %R, and Money Flow (MFI) can help lead to success as high as 80%.

Price Expansion and Retraction: The Rubber Band Effect

If you pull a rubber band too far, too fast, what happens?

It snaps back, right? The same thing happens with stocks, indexes, and currencies. If they’re pulled too far in one direction, eventually they’ll snap back and revert to back to the mean. In fact, we see it happen all the time.

Boeing (BA): How to Successfully Trade a Falling Knife

Boeing was one of the top stocks to avoid in 2019.

The stock fell more than 35 points in two days on news that an Ethiopian Airlines flight crashed, sadly leaving no survivors. That came just comes after another deadly crash involving the same model in Indonesia, which also left no survivors.

How to Spot Overbought Pivots up to 80% of the Time

With the incredibly popular Avengers: Endgame film, shares of Disney Co. exploded from a low of $107.50 to $142.50 in April 2019.

After the film grossed $1.2 billion in its opening weekend (biggest in history), analysts were still seen raising price targets. JP Morgan noted the stock could run to $150 a share by the end of the year. The firm also increased its full-year earnings estimates to $6.80 a share from $6.69 thanks to better than expected film performances in the year. For 2020, the analysts hiked their estimates to $6.50 from $6.35 a share, as well.