Tuesday, October 31, 2017

How To Deal With Negative Divergences

It has been the same song and dance for the last couple of weeks, many stocks are not triggering and those that are triggering are not showing much follow through. You can see that on the chart below that looks at the number of stocks up 13% or more in the last 34-days versus those that are down 13% in the last 34-days.


In the VIDEO below I discussed the stocks on my watchlist and a way to deal with negative divergences/narrow rallies.

$CWBR $VERI $EHIC $TGT $FIVE $TTD $GWRE $SQM


STOCK OF THE WEEK RECAP



Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Sunday, October 29, 2017

10/30 IBD WEEKLY RECAP

On the video below I did a quick recap of Investors Business Daily weekly paper.

We found $YY $NVDA $TTD $GWRE as stocks of interest on the long side for tomorrow.

YOUTUBE LINK.


STOCK OF THE WEEK RECAP



Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Thursday, October 26, 2017

Same Theme, Different Day

Stocks are not triggering, there is a lack of follow through, and fresh 1-month new lows are rising.




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Wednesday, October 25, 2017

Swing Trading Ideas

In this short video, I discussed what has been happening lately with some individual stocks and I also highlight some stocks that may be actionable today.


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Tuesday, October 24, 2017

Dead Period

The market for individual stocks is going through a dead period, fewer stocks are triggering and the ones that are, are not following through.

 

STOCK OF THE WEEK RECAP


Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Sunday, October 22, 2017

How To Look For This Week's Big Winner

In this video, I discussed how you can scan and find stocks that more than likely are going to be this coming week's biggest winners.

1. You rank the stocks based on momentum, high to low and or you can look at the top 250 stocks that are up the most year to date.

2. Flag the stocks that are consolidating for 10-15 days and get ready for them to breakout again.

3. $HMNY $ANAB $ZGNX $MBTC $FSNN $ALNY $CRC $SGMO $BGNE $JUNO are the stocks of interest on the long side if and only if they can get through Friday's high plus .10-cents.




STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.

Friday, October 6, 2017

Your Watchlist Is Everything

My rolling five-day watchlist is my best barometer to measure the health of the market for short-term swing trades. My watchlist is everything, it tells me more than watching the indices ever will. As a matter of fact, I don't even have the indices on my screen, I have no idea during the day what the market is doing. I encourage you to take the indices off your screen and allow your watchlist to do the talking.

Your watchlist is everything, it will tell you;


  • Are you looking at the right stocks?
  • Are you flagging them at the right time?
  • Are they moving immediately in your favor after the buy trigger is hit?
  • What sectors, industries, etc are in play.
  • It will tell you whether you should be aggressive or not.


The performance of your rolling five-day watchlists is also very telling.

  • It tells me whether or not gains are sticking.
  • It tells me if I should take profits sooner or hold a little longer for more significant gains.
  • Whether I should be aggressive or not.
This type of post analysis work will tell you all sorts of things about your trading, and at times it will have you second guess your approach. The key is to find a happy medium.

We flagged $JP on 9/28, the buy trigger was $12.41, the stock immediately started to move immediately,  the stock was up 20% two days later, enough gains in such a short period to lock in profits. However fast forward four days later and the stock is now up 40% since our trigger was hit. These type of situations always leave you second guessing, should hold onto a piece until the stock break the previous day low, and hold on to another piece until it closes below its 10-day moving average, etc.?



But then you come across a situation like $AVEO, technically the stock looks great, it hits our buy stop and immediately goes up 8% the same day. The next day it pauses beautifully, and then it takes off in the after hours on the back of some FDA trial news. The stock was up 30% from our buy stop in the after hours, I was counting the ka-chingas, we rang the register on a few shares but wanted to hold onto a bulk of it looking for a $JP type move. Well, that move did not come, the stock faded all day today trading back to our buy price. So on one trade left us with sellers remorse and the other bag holders remorse. Welcome to trading.



The point is to find a happy medium, your watchlists and trades will help you get there. If your entries are strong, maybe you can consider sizing up more than usual on your entries to take advantage of your good timing. If you see that stocks are moving longer than usual then maybe you start leaving a piece on until the stock breaks the previous day low or closes below its 10-day moving average.

Here's how our rolling watchlists performed;




Some of these stocks triggered, some didn't, some had gains initially and then faded. What you want to do is to look at the tracking dates of the names and see how the stocks looked technically that day, I can assure you that if you do that you will find some commonalities that you can reproduce yourself.

STOCK OF THE WEEK RECAP

Frank Zorrilla, Registered Advisor In New York. If you need a second opinion, suggestions, and or feedback in regards to the market feel free to reach me at fzorrilla@zorcapital.com or 646-480-7463. 
We live in a world in which we are bombarded with information, tweets, blogs, etc., content is the new salesman, content is the new marketing, content is the new networking. With information being so readily available, bloggers try to differentiate themselves with their writing skills, volume, and consistency, putting out blog posts to meet quotas. We are seeking to stand out from the crowd by showing performance, by taking all the information and seeking alpha, that’s the sole purpose of the blog. It won’t always be pretty; it’s never easy, and performance is spotty, but we seek superior risk-adjusted returns, not notoriety for our writing skills.  If this is something you can relate to, then this blog is for you.