Trade Like the Pros

The method from Secrets for Profiting in Bull and Bear Markets. Buy stocks breaking into Stage 2 uptrends with rising moving averages and relative strength leadership.

• Price above rising 30-week MA (Stage 2)
• Relative strength vs. market in top quartile
• Volume expansion on breakout
• Structural stops below trend support

Pure technical, no narratives. Find stocks in mature corrections where sellers are exhausted, higher lows prove accumulation, and a breakout is imminent.

• Mature correction (10-50% pullback)
• Higher lows forming a base pattern
• Breakout above resistance on volume
• Tight stop below last swing low

Trade the three core setups: momentum breakouts, episodic pivots, and parabolic shorts. Focus on liquid leaders, explosive volume, and tight asymmetric risk.

• Breakouts from orderly consolidations in top leaders
• Episodic pivots: 10%+ gaps with heavy volume
• Parabolic short setups on overextended names
• Tight stops, small losses, large winners

The method behind every modern stage analyst. Read the tape to find where institutions are accumulating (Springs) or distributing (Upthrusts) — then trade with the Composite Man.

• Springs: false breakdowns that recover (long)
• Upthrusts: failed breakouts that reject (short)
• Volume confirms the structure
• Trade with the Composite Man's intent

The dancer who turned $10K into $2M in 18 months from Barron's and telegrams. Pure mechanical breakouts: 52-week highs + 3-day consolidation = a "box" to trade.

• New 52-week high is the only trigger
• Box forms after 3 days below the high
• Buy breakout on volume expansion
• Stop just below box top (not bottom)

Inspired by Mark Minervini's SEPA framework. Quality-first: the Trend Template qualifies a stock before you consider it, then the VCP pattern signals when institutions are done absorbing supply.

• Trend Template: 8 criteria must pass
• VCP: progressively tighter pullbacks
• Buy breakout above pivot on 2x+ volume
• Cut losses at 7-8% — always

The CAN SLIM system from How to Make Money in Stocks. Combine fundamental quality (earnings, sales growth) with classic chart patterns for high-conviction entries.

• Current quarterly earnings acceleration
• Cup-with-handle or flat base pattern
• RS Rating > 80, industry group strength
• Buy at pivot point on 50%+ volume