by SP Joe

Anything that runs up fast and strong has to come back down and that is where we get Parabolic Shorts.  A parabolic move is when a stock basically comes from nothing and just runs straight up without trying.  We saw this kind of move in GY.  The best way to know when something is parabolic is to throw bollinger bands on it and see if it is completely outside of them.  When something is far outside its bollinger bands it is going to want to pullback.  Another good key is a weaker volume as the run up goes on.  This is when we look to short these babies!  Parabolic shorts make good day trades but even better swing trades because the pullback will usually last 2-3 days.  

by SP Joe

In this video we look at how we played the intraday setup on GALT this morning scoring a huge win in our portfolio +4% in 15minutes.  These stocks that gap up in the mornings can be HUGE runners and make for some epic trades!  Find the stocks that are going to gap up and keep them on your watchlist and wait for the setup.

by SP Joe

In my market analysis video from last night I laid out a bullish case with us making new lows and then pushing higher throughout the day.  We pretty much saw that happen when the market went down almost 1%, reverse, and finish in the green.  

So I had my plan for the market.....check!

Yet when I came out swinging today I was coming up with nothing.  I was both long and short various positions and ended up with losses across the board.  The chop on the intraday level killed my trading today.  

I did take my own advice and kept my positions small and thus my risk small so the portfolio will continue to live another day.  Next time the market is choppy have to remember to take profits QUICKER!!!!

This market has not been easy to trade.  A lot of intraday chop and volatile swings make it difficult to all trades.  The traders doing the best right now are day traders and scalpers which can stay nimble and pick apart this market.