Archive Category: Max Profit Alert Archive

It’s been 14 trading days since the July 11 Consumer Price Index report that effectively prompted us to jump into our two most recent trades… On July 11, I recommended buying the $41-strike calls on the Direxion Small-Cap Bull 3x ETF (NYSE: TNA)… Then, on July 23, I recommended buying the $41-strike calls on the SPDR Real Estate Sector ETF (NYSE: XLRE). As I write, those positions are now showing open gains of 75% and 9%, respectively.

Thank you to all who attended our monthly Max Profit Alert live session this morning! It was great chatting with you and answering your questions in real-time. We covered a lot in today’s session:

One of the great things about using a well-defined investment strategy is that you know what you will do and what you won’t do in almost any situation. The crux of our trend-and-momentum system can be boiled down to a four-quadrant table, which defines the types of trades we’re willing to take and the ones we aren’t.

If you missed my note last week, you can review it here. I’ve had my doubts that the current rally in the Nasdaq 100 is sustainable, given how it’s been driven by only a small handful of stocks — what we analysts call “weak breadth.”

Even as so-called “stock pickers,” it helps to have a read on the broader market. When the broader market is trending higher in a sustainable way … stock picking becomes something of a “shooting fish in a barrel” situation.