Please REGISTER HERE for Monday's (November 27, 2023) live event from 5:00-6:00 PM Eastern. We will not discuss any bulletin board stocks or stocks that trade less than 500,000 shares per day.

There are some very simple procedures I ask everyone to follow to ensure that the webinar flows smoothly and that your questions get answered.

Please limit your questions so other subscribers have equal access. One question per person will be answered until all the questions have been answered, and then the second question from each person will be answered if there is time. Make sure your first question is the most important one you want answered.

 

  1.  Questions about market concepts should be sent only to 1bshannon@gmail.com If you would like your question answered please be CONCISE. You can send your questions in at any time, but they will only be answered during the live event or in subsequent videos.
  2.  We will discuss your specific stock ideas and use the gotomeeting text chat for those requests, during the meeting I do not monitor other email accounts or the twitter stream for questions.
  3.  All webinars are recorded and posted to the site shortly after their conclusion.
  4. THIS IS AN AUTO-GENERATED AI SUMMARY OF THE VIDEO, I HAVE NOT EDITED IT AT ALL. SHOULD I DO THESE ON A REGULAR BASIS? LEAVE COMMENTS BELOW

    Introduction and Open Position Review
    Section Overview: The speaker introduces the video and discusses the current open positions, focusing on STX. They mention purchasing one third of STX at $72.60 with a stop at $75.49. The speaker also mentions lowering the stop for Dash multiple times and expresses interest in potentially repurchasing some shares next week.

    STX Position
    Purchased one third of STX at $72.60 with a stop at $75.49.
    Considering repurchasing more shares next week if there is further weakness.
    Encouraged by the stock coming down to the anchor from a previous low on the daily chart.
    Dash Position
    Lowered the stop for Dash multiple times.
    Current stop for the final third is $93.05.
    Hoping for a shakeout before potentially getting back involved in the balance of the position.
    LZ Position
    Purchased LZ at $11.30.
    Took off one third with a gain of 14 cents.
    Planning to take another third off if it breaks out above $11.97 or starts to pull back around $11.95.
    AFR M Position
    Purchased AFR M at $26.10.
    Took off with a gain of 40 cents as it hit daily R2 (around $26.55).
    Suggests keeping two thirds position with a stop at $24.99.
    Flex Limited (formerly Flextronics)
    Anchor from a gap in price action is observed.
    Looking to buy above $26.46 per share with a stop at $26.04.
    Frog Position
    Suggests buying above the high of $26.99.
    Recommends placing a tight stop under this level, possibly at around $26.43 or lower.
    MLI Position
    Observes a tight consolidation pattern resembling a bull flag.
    Suggests buying above a certain level (not specified) after the stock settles down.
    03:13 Using Intraday Data for Moving Averages
    Section Overview: The speaker explains the importance of using intraday data for shorter-term moving averages. They discuss how the 5-day moving average on a daily chart would be an average of 4.5 days, while using intraday data allows for more accurate calculations.

    Intraday Data for Moving Averages
    Shorter-term moving averages benefit from using intraday data.
    Explains the difference between calculating averages on daily charts and shorter time frames.
    Highlights the true 5-day moving average as being based on 1,950 minutes of trading.
    04:23 Adjusting Stops and Longer-Term Perspective
    Section Overview: The speaker discusses adjusting stops based on individual preferences and investment goals. They mention that longer-term investors may have different stop levels and emphasize that it is up to each person to decide what is right for them.

    Adjusting Stops
    Provides options for adjusting stops based on risk tolerance and desired trade management.
    Suggests placing stops at different levels depending on personal preference.
    Encourages individuals to make their own decisions based on their investment goals.
    Longer-Term Perspective
    Mentions that longer-term investors may have different stop levels compared to short-term traders.
    Notes that the declining 50-day moving average is not a concern due to upcoming changes in data.
    05:08 Analysis of MLI Stock
    Section Overview: The speaker analyzes MLI stock, identifying a potential bull flag pattern. They explain what constitutes a bull flag and discuss the importance of correctly identifying such patterns.

    Analysis of MLI Stock
    Identifies a potential bull flag pattern in MLI stock.
    Explains the structure of a bull flag and how it should behave.
    Suggests buying above a certain level after the stock settles down.
    Note: The transcript is already in English, so there is no need to respond in another language.

    06:22
    Section Overview: In this section, the speaker discusses the importance of adjusting stop levels based on recent relevant higher lows and a flat to rising five-day moving average. They also mention considering position sizing accordingly.

    Adjusting Stop Levels
    It is suggested to raise the stop level under the most recent relevant higher low if a stock does not sell a third in the midday video. This should be done when there is a flat to rising five-day moving average.
    Adjusting stop levels can help manage risk and protect profits.
    Consider adjusting position size accordingly based on the potential for a pullback and creating a higher low.
    06:47
    Section Overview: In this section, the speaker emphasizes that trading decisions should be based on market conditions and individual responses rather than following specific instructions. They discuss anticipating price movements before earnings reports and keeping an eye on stocks in watch lists.

    Market Conditions and Individual Responses
    Trading decisions should be based on what the market tells us Monday morning and how we respond to that information.
    Instead of using stops at certain levels, consider using stops based on position sizing to buy more shares or adjust risk.
    Anticipate price movements before earnings reports by setting stops or buying stocks a couple of days before earnings are due.
    Keep an eye on stocks in watch lists, analyze their trading patterns, and set alerts for potential opportunities.
    07:10
    Section Overview: In this section, the speaker discusses analyzing weekly charts and identifying potential entry points for stock purchases. They also mention being mindful of upcoming earnings reports.

    Analyzing Weekly Charts
    Analyze weekly charts to identify longer-term trends and potential entry points for stock purchases.
    Look for stocks with longer-term bases built, higher lows, pre-tested resistance, and strong upward momentum.
    Consider purchasing stocks above specific price levels, such as above Thursday's high, with appropriate stop levels.
    Be mindful of upcoming earnings reports and avoid holding stocks beyond the reporting date.
    07:57
    Section Overview: In this section, the speaker discusses buying stocks before earnings if they are a couple of days away and anticipating others to buy ahead of the earnings. They emphasize the importance of keeping an eye on watch list ideas and making informed trading decisions.

    Buying Stocks Before Earnings
    Consider buying stocks a couple of days before earnings if there is potential for others to buy ahead of the earnings report.
    Use watch lists to keep track of potential trading opportunities and set alerts.
    Analyze how stocks hold anchor points from previous pullbacks and observe their trading patterns before making a decision.
    Make informed trading decisions based on market conditions, personal analysis, and individual preferences.
    09:01
    Section Overview: In this section, the speaker emphasizes that watch list ideas are meant for observation and analysis. They discuss the importance of monitoring stock movements, identifying entry points, and being aware that no one can predict future market movements accurately.

    Watch List Ideas
    Watch list ideas are meant for observation and analysis rather than immediate action.
    Monitor how stocks hold anchor points from previous pullbacks and observe their trading patterns.
    Look for potential entry points after shakeouts or consolidation periods.
    Keep in mind that no one can accurately predict future market movements, so it is essential to stay vigilant and make informed decisions based on available information.
    11:21
    Section Overview: In this section, the speaker discusses stocks with potential room for growth based on weekly charts. They mention rising moving averages as indicators of positive trends.

    Stocks with Potential Room for Growth
    Identify stocks with rising moving averages (10, 20, 30, 40-week) as indicators of positive trends.
    Consider these stocks for potential investment opportunities if the fundamentals align after conducting research.
    Monitor their price movements and look for low-risk entry points.
    Highlight IVA and JBL as examples of stocks with potential room for growth.
    12:09
    Section Overview: In this section, the speaker emphasizes the importance of waiting for low-risk entry points and avoiding holding stocks that are not performing well. They discuss the purpose of Alpha Trends and making informed trading decisions.

    Waiting for Low-Risk Entry Points
    Wait for low-risk entry points instead of holding stocks that are not performing well.
    Alpha Trends focuses on finding low-risk entry opportunities rather than extended holding periods.
    Analyze previous exits to understand the importance of waiting for setups and low-risk entries.
    Make informed trading decisions based on market conditions and individual preferences.
    Note: The transcript provided does not include any timestamps beyond 729 seconds (12 minutes and 9 seconds).

    12:57 Anticipating and Preparing for Market Moves
    Section Overview: The speaker discusses the importance of anticipating market moves and being prepared for different scenarios. They mention the potential for a quick recovery in a specific stock and suggest considering options strategies based on individual risk tolerance.

    Being Ready for Market Moves
    It is important to anticipate market moves and be prepared with "if then" scenarios.
    Mention of a specific stock that can potentially recover quickly once it starts moving.
    Investors may choose to hold the stock or consider buying call options as part of their strategy.
    Emphasize the need to understand personal risk tolerance and set appropriate stop levels.
    Options Strategies
    Buying call options can be a strategy, but it is not recommended without proper knowledge and qualification.
    Encouragement to make investment strategies personalized and suitable for individual preferences.
    Different ways to implement ideas, such as spread options or combining stock trading with occasional options trades.
    13:24 Considering Stop Levels and Call Options
    Section Overview: The speaker discusses the concept of setting stop levels based on stock behavior. They also mention the possibility of using call options as part of an investment strategy, but emphasize that they are not qualified to provide options advice.

    Setting Stop Levels
    Suggests basing stop levels on what the stock is doing rather than arbitrary timeframes.
    Highlights common mistakes made by people when buying options with short expiration dates.
    Personalized Investment Strategies
    Encourages individuals to make investment decisions based on their own preferences and risk tolerance.
    Acknowledges that they mainly focus on stock trading but occasionally consider taking positions in options contracts.
    13:48 Making Investment Decisions Based on Risk Assessment
    Section Overview: The speaker emphasizes the importance of making investment decisions based on personal risk assessment. They mention the potential strategy of buying options for longer timeframes and caution against seeking options advice from them.

    Personal Risk Assessment
    Making investment decisions based on personal risk assessment is crucial.
    Suggests considering longer-term options contracts if it aligns with individual strategies.
    Caution against seeking options advice from the speaker, as they are not qualified to provide such guidance.
    Implementing Ideas
    Encourages individuals to implement investment ideas in ways that suit their own preferences and goals.
    Highlights the speaker's focus on stock trading but acknowledges occasional involvement in options trading.
    14:09 Analyzing a Chinese Stock Chart
    Section Overview: The speaker analyzes a chart of a Chinese stock and expresses positive sentiment towards its performance. They discuss price movements and suggest keeping an eye on the stock despite its inherent risks.

    Positive Chart Analysis
    Expresses enthusiasm about the analyzed Chinese stock chart, describing it as great-looking.
    Mentions previous price movements, including reaching an anchor point from IPO and experiencing some pullback.
    Indicates ongoing price action that may require further observation before making any conclusions.
    Risky Nature of Chinese Stocks
    Acknowledges that the analyzed stock is considered risky due to being a Chinese company.
    Advises caution when dealing with such stocks but suggests monitoring this particular one closely.