We have discussed Candlesticks and certain simple strategies in my previous posts. I am now going to discuss some of my trading strategies using examples, that help identify the stocks that I watch for the day. Once I have established the rules for identifying the stocks that I watch, I will explain further on the simple strategies that I use for the same. Below are a list of stocks that I will be looking at today and I will later follow up with another brief later to explain the strategies used. So here is the list :
ZOOM : has risen quite a bit in the premarket hours, and has positive news over the last few days. The stock will be a good buy at the previous close price, however it should be considered a short term investment of a day or two, and my advice would be to lock in the profits within the week. The mean and median target prices are 8, so I would ideally sell it before it reaches 8, at around 7.8. So for an investment of let's say $3000 I could make around $600 if I am lucky! Lets see.
ICLDW : need to keep a watch, as it has already reached it's high in last two weeks of November. A second peak could be possible.
ADAT: is a buy as well, it has recently reported profits and is a very cheap stock. However, the target currently is $2, which means that it has a significant upper curve in the next few days.
Now that we have listed a few stocks that we have sorted out to watch for the day. we will revisit them, after the market opens, and follow up with strategies used to oversee these stocks.