Archive Category: Wednesday Windfalls Alerts

After a brief rally that started late last week, investors came back down to Earth on Wednesday. All three major indexes slipped Wednesday afternoon prior to the Federal Reserve’s latest interest rate decision. As a result, all three of our underlying stocks were down by more than 1%… We will take a net loss on all three of our trades this week. I’ll cover all the details tomorrow in my Weekly Trade Wrap… For now, let’s make an exit from our open positions…

Our October 3 trades saw 118% gains… We made 16% on our October 10 trades… Then on October 24, we had a 108% win… As I showed you in last Thursday’s Weekly Trade Wrap, we’re now on a three-week win streak. And I just want to offer another congratulations to everyone who has made these trades in recent weeks. Before this win streak was a losing streak … and I know all too well how challenging it is to keep on at it through a drawdown.

Congratulations to everyone who made this week’s trades! We’re going “3 for 3” — with big wins on IQ, EEM and IEF. The “fat lady hasn’t sung” just yet, but I estimate we’ll be able to exit this week’s batch of trades with a net profit of over 100%. I’ll cover all the details tomorrow in my Weekly Trade Wrap… For now, let’s exit our open positions…

Chinese stocks opened sharply lower this morning. According to reports over the weekend, Chinese President Xi Jinping has secured the support he needs to claim an unprecedented third term. He’s also stacked his leadership team with “yes men” and kicked to the curb any leaders who lean toward market reforms and a general opening of China’s economy. The market is forward-looking, and investors’ knee-jerk reaction was to yank capital out of Chinese stocks on news of Xi’s next era of power becoming cemented. Many Chinese stocks listed in the U.S. were up on Friday and are now down today. That’s the pattern we seek to take advantage of here at Wednesday Windfalls, so my scanner has been lit up with a slew of Chinese stocks and exchange-traded funds (ETFs) today.

I’m not recommending any Wednesday Windfalls trades this week. This is a rare occasion. In fact, throughout the 77 weeks I’ve been running this strategy (beta and live), I’ve recommended a “skip” week (not including Monday holidays when the markets were closed) … just four times. The reason is simple: We don’t have any valid buy signals this week.