Last year it was PWR, MET, and AAI
This Year it's LMG, MAKE and APM!
Don't you just love BORG stocks?
For those of you who don't know about the Borg from the Star Trek Series,
Well.. Borgs are the merciless living nightmares of the vast galaxy that either assimilates
or destroys any sentient race in its path.
And the Borg's favorite pickup line?
Yes. Once the Borg Collective makes a move, resistance will be like a hot knife through butter.
Borg Stocks are just like that.
They usually manifest themselves after a breakout from an ATH (All Time High) Resistance or a Multi Year Resistance. They make gaps as they go through the days, and even defy the natural laws of the RSI Gravity.
The catalyst for this phenomenon is usually unknown especially during the rise.
So how do we play with these bad ass stocks?
Buy on Breakout and Set Trailing Stops.
I don't know about you but this works for me.
There are many ways to set trailing stops.
Find that which suits your trading style best.
There are many ways to set trailing stops.
Find that which suits your trading style best.
APM Chart
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| APM Chart 10.8.2012 |
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| APM Chart 10.9.2012 |
Be sure to SELL when your stop is hit.
Trust me... You don't want to be holding a dead Borg.
nice post boss zee. keep it up
ReplyDeletegood read - jwara
ReplyDeletegreat post. I learned something today. I will try to apply this starting tomorrow. thanks :)
ReplyDeletei'l try this thanx
ReplyDeleteThanks ZF and I would try this >
ReplyDeleteThanks ZF for this... happy to have read this
ReplyDeleteBoss Z, you really are a blessing in disguise!! Thank you for all your blogs.... All are appreciated and will share with my friends...
ReplyDeleteHello. What will i do if my stock with more than 30% loss and has been stucked with me for months already?
ReplyDeleteGot bounty of wisdom here. Thanks Sir.
ReplyDeleteIs the stop loss triggered at the end of the day? Or will you still cut loss even during intraday as long as it goes below the closing of the previous day? Thank you.
ReplyDeleteSame question here Sir Zee, Thanks
Deletesell half on trigger, otherwise, why set it in the first place? you can opt to do half but you need to have a "if i get hit, sell me immediately or i'm gonna make yo ass suffer" stop.
DeleteThis post made my day! Will apply this learning from now on!!!
ReplyDeletewow.... simple buy powerful learning... Thanks
ReplyDeleteHow to be a part of ZFT ? Im so much interested
ReplyDeletethanks ZFT for all the blogs. will forever be grateful. God bless you and your family
ReplyDeleteThis one is such a great read. Another technique for protection. More powers to you master ZFT!
ReplyDelete