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Monday, October 8, 2012

Borg Stocks and Trailing Stops




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.







APM Chart
APM Chart 10.8.2012
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.


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17 comments:

  1. AnonymousOctober 10, 2012 at 6:24 PM

    nice post boss zee. keep it up

    ReplyDelete
  2. AnonymousOctober 11, 2012 at 8:09 PM

    good read - jwara

    ReplyDelete
  3. AnonymousMarch 10, 2015 at 10:55 PM

    great post. I learned something today. I will try to apply this starting tomorrow. thanks :)

    ReplyDelete
  4. UnknownMarch 11, 2015 at 1:10 PM

    i'l try this thanx

    ReplyDelete
  5. AnonymousApril 2, 2015 at 5:38 PM

    Thanks ZF and I would try this >

    ReplyDelete
  6. UnknownApril 11, 2016 at 7:59 PM

    Thanks ZF for this... happy to have read this

    ReplyDelete
  7. AnonymousJuly 21, 2016 at 3:08 PM

    Boss Z, you really are a blessing in disguise!! Thank you for all your blogs.... All are appreciated and will share with my friends...

    ReplyDelete
  8. Tiny bubblesNovember 9, 2016 at 9:16 PM

    Hello. What will i do if my stock with more than 30% loss and has been stucked with me for months already?

    ReplyDelete
  9. JeffOctober 16, 2017 at 10:44 AM

    Got bounty of wisdom here. Thanks Sir.

    ReplyDelete
  10. AnonymousMarch 17, 2018 at 4:57 AM

    Is 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.

    ReplyDelete
    Replies
    1. AnonymousAugust 4, 2019 at 10:59 PM

      Same question here Sir Zee, Thanks

      Delete
    2. Zee FreaksAugust 10, 2019 at 2:14 PM

      sell 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.

      Delete
  11. kellytopMarch 23, 2018 at 4:14 PM

    This post made my day! Will apply this learning from now on!!!

    ReplyDelete
  12. UnknownMay 24, 2018 at 5:06 AM

    wow.... simple buy powerful learning... Thanks

    ReplyDelete
  13. UnknownOctober 26, 2018 at 6:46 PM

    How to be a part of ZFT ? Im so much interested

    ReplyDelete
  14. UnknownJanuary 28, 2019 at 11:10 PM

    thanks ZFT for all the blogs. will forever be grateful. God bless you and your family

    ReplyDelete
  15. AnonymousJune 20, 2020 at 12:02 AM

    This one is such a great read. Another technique for protection. More powers to you master ZFT!

    ReplyDelete