July 2012
"Bliss is a constant state of mind, undisturbed by gain or loss."
- Yogi Bhajan
The What’s New at Stock Trading Warrior Newsletter brings you stock trading news, analysis and tips. In this month's newsletter you'll find information on the following:
- When to Sell a Stock
- What Stock Investing Information
Do You Need and Want?
- Market Commentary
- STW Comedy Corner
- Stock Pix - Hot or Not?
Each month beginning in January 2012, the Stock Trading Warrior Newsletter will focus on developing part of a strong,
stock trading system
to help you create or fine-tune your stock trading performance.
Let's make 2012 your best stock trading year ever!
What's New at Stock Trading Warrior is written by the Principal Warrior at Stock Trading Warrior, Natalie Stetz Tobias. Natalie is a self-taught stock market investor who's passionate about sharing investing strategies that work.
The Stock Trading Warrior's Guide
to When to Sell a Stock
Since the June newsletter, I hope you've had a chance to work through Step 6 of your Stock Trading System -
Holding Stocks - Letting Stock Positions Incubate
- which helped us to understand that holding stocks is not a passive "buy and ignore" activity. Monitoring stock positions will give you a better bottom line and is a "must have" part of your stock trading plan.
This month in Step 7, we'll discover when it's a good time to sell a stock holding. Discussed last month in Holding Stocks, there are three general situations a stock performance will fall into: gains, losses or laggards. It's important to your overall portfolio performance to have a plan for selling stocks in any type of situation.
As the quote at the top of page reminds us:
"Bliss is a constant state of mind, undisturbed by gain or loss."
- Yogi Bhajan
Getting to that state of mind is about what this month's topic is about. Stock trading can pull at emotions, but the way to combat that is to have a plan for exactly what to do as a stock's price moves. There's a lot of empowerment that comes from this one aspect of a stock trading plan as we realize we're not at the mercy of the stock markets.
Let's find out how to handle the three main stock holding situations by moving on to
Successfully Selling Stock
which includes:
- When to Sell a Stock That's Going Down
How to Sell Stocks after the Stock Market Fairy Has Smiled Upon You
How to Sell Stock When Emotions Start to Kick In
Next month, we'll cover Step 8 in creating a Winning Stock Trading System by talking about when to buy more of a stock in which you already have a position.
What Stock Investing Information
Do You Need and Want?
As I look to the future, I'd like to ask you what it is that you need or want when it comes to stock trading and investing? Please take a moment and send me your suggestions by using my contact form.
I understand how difficult it can be to be really successful investing in the stock market. For that reason, I want Stock-Trading-Warrior.com to be the "go-to" place as one of the best resources for stock market investors.
Last month I received a question about how to set up scans for particular stock set ups.
StockCharts.com is a terrific website for stock charts and scanning. They have some free chart services as well as predefined scans. If you aren't familiar with StockCharts.com it's definitely a website worth checking out.
Additionally, StockCharts.com offers live conferences on both coasts where they really dive into how to best use the tools and services.
For more about scanning visit
the stock scanner webpage.
Market Commentary
Looking at the S&P 500 Large Cap Index ($SPX) it looks like the markets are attempting a new uptrend.
To recap, at the beginning of April we first saw a market breakdown (A), then an attempt at resuming the trend (B) in late April which ended in a strong downtrend that lasted all of May (C).
This pattern seemed to be repeating in June with the beginning of a new uptrend (D) and a big break down again (E).
Today, July 2nd, the market has resumed an attempt at an uptrend and if the $SPX really moves above the 1370 mark (F) it’s likely it will continue this uptrend. So far, it’s looking good for long-side positions.
If you’d like a daily market directional signal go to the
Stock Trading Warrior's Stock Market Direction webpage.
STW Comedy Corner
Stock Pix
Hot or Not?
American Vanguard Corp. (AVD) was an ADX Double DI Strategy stock pick several months ago and to date has earned a +55.83% return. It's being highlighted as a potential stock pick because after a multi-month base (May-June) the stock price has jumped up to a new 52-week high, along with a very high spike in volume. These characteristics can sometimes preempt a new upward trend. The next entry price is $28.63 which will help to confirm whether a new trend is emerging in the stock's price.
Prospect Capital Corp. (PSEC) is a second ADX Double Di Strategy pick that appears to be breaking out of a base. The strategy suggests a purchase if the price reaches $11.97.
An additional example of a prior ADX Double DI pick is Pharmacyclics, Inc. (PCYC) which was picked in May and currently has a return of +74.72%. The strategy used for all of the stock picks mentioned in "Hot or Not" are the topic of the book,
The Stock Trading Warrior's Guide to Finding the Biggest and Best Stock Market Gainers.
The ADX Double DI Strategy looks for stocks setting up for strong momentum plays to hold for a week or two - up to several months. The ADX Double DI Strategy is described in detail, along with other trading plan strategies in the book:
The Stock Trading Warrior's Guide to Finding the Biggest and Best Stock Market Gainers Using the ADX Double DI Strategy.
Comes with a full money-back guarantee if you're not completely satisfied.
Click here for more information about the ADX Double DI Strategy ebook.
Don't forget to look for next month's newsletter for more current stock market news, analysis and Step 8 of
How to Create Stock Trading Systems.
If you have any stock trading questions at all, please submit them on the
Stock Trading Warrior contact page.
Thank you for reading What's New at Stock Trading Warrior!
For additional stock trading information and tips, please visit
Stock-Trading-Warrior.com
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