TRADES ARE UP

Ok, what I did tonight was provide you with some long trades. These trades all have very high short interest, I went through about 200 and looked for the ones, that I personally would be scared to hold if I was short and then I looked at 3C and made sure they showed the tell-tale signs of accumulation. For many of these the accumulation is recent, there's high short interest for a reason, they probably aren't the best long trades in the long run, but we don't care about that because they are for THIS bounce. If I used a limit order it was because there's a chance of an intraday pullback in my view. If I used a market order it's because they closed strong with 3C. However, when thinking about these orders, if you see the market will gap down, you have to consider whether you want to take it at market. Stocks that closed strong today and look as if they will gap up, I would be more inclined to take them at market. A lot of the time, a stock that starts strong in a high momentum atmosphere, will never look back and it will close near it's highs so those , even though they are gapping up at higher prices, often tend to be the ones that just run and don't look back.

You can modify the stops any way you like, if you want them really tight that's fine. Just remember, these are trades that are short term and remember-gifts-double digit moves are worth considering taking some or all of the profits off the table. In an ideal world, you take your initial investment so you are guaranteed a profitable trade and let the rest run. You can also use leveraged ETFs like SOXL which I think is one that should do well or just a market exposure ETF like UPRO.

When you are planning your trades, don't just take for granted or assume that yes we will have a bounce, always think in terms of worst case scenario for risk management. I never consider the gains I might make in a trade at first, I always consider what I have to lose.

If the bounce is strong, start looking for the shorts you want to short INTO STRENGTH, you don't want to wait to get your feet wet until they are already in decline, that is when you want to think about adding to them.

Now, I'm going to spend a little time with my VERY patient wife.

All my best Pack!