Art & Science of Active Trend Trading–Free Report Dec 21st, 2014

A little less than 2 weeks before we enter 2015. I want to thank all the Active Trend Trading and Early Warning Alert members for helping us launch and refine both service in 2014. We will continue to refine the outstanding training provided every week in the Mid-Week Market Sanity Check and how alerts and trade management updates are broadcast! A separate email will be provided that highlights our planned improvements and training syllabus for 2015!

The training this past year has been great and the addition of Text Messages have been great features. I am continuously looking for ways to refine our services to make them clearer and simpler. Here are some of the focus areas for 2015.

– Enhance timeliness of Alerts and Trade Trigger Notification
– Standardize time of day when updates are provided
– Provide more video market updates and trading alerts (specific how to)
– Updated Training Video
If you have not had a chance to check out the research Mike Trager and I have done to start the EWA service you can find a short 10 minute preview at: http://youtu.be/MgC9GMAWh4w

If simplifying your life by trading along with us using the index ETF is of interest you can get the full background video at: http://activetrendtrading.com/etf-early-warning-alerts-video/

Remember if you are a premium or Early Warning Alert member you can receive Text Alerts and Trade Notifications if you send us your mobile phone number. Sent us your number with NO HYPHENS please and we’ll get you on the Text Notification List.

We will be taking a break from the Mid-Week Training and The How to Make Money Trading Stocks through the end of the year and will start back up the first full week in 2015.

To get notifications of the newly recorded and posted Market Stock Talk every week subscribe at the Market Tech Talk Channel: https://www.youtube.com/channel/UCLK-GdCSCGTo5IN2hvuDP0w


General Market Observation:  The first thing to remember as we move into Christmas week is that Wednesday will be a shortened trading day. Friday will be a full day. There is a tendency for the Indexes to demonstrate an upward bias during holidays and with the momentum gained last week this may continue through the next two weeks. With the market’s still in correction if a follow through day takes place over the next 2 weeks it may not be as meaningful as a follow through in a non-holiday environment.

SPX:  On Friday the S&P finished at a resistance zone after an impressive move after Wednesday’s Fed meeting. The indicators are lagging price action and thus showing negative divergence. Given the holiday environment this factor may not be of any consequences and the Index may push higher and set new highs. In the last 10 trading days the Indexes has corrected and completed a roundtrip rebound erasing the 5% loss from the correction. If this does prove to be a too fast too much scenario we may get a pull back to a level of lateral support or the 20 or 8 day moving averages. At this point if trading Index ETFs this would be the zone to plan an entry or a breakout above 2079.50.

NDX:  As with the SPX the longer term uptrend remains intact but not quite as powerful as the S&P. Resting right on the 20 day SMA, this could serve as either trigger for a trade in either direction depending on what type of momentum comes in next week. I’ll be watching the daily and hourly intraday chart for potential trades in the Index ETF’s either QQQ or TQQQ.

RUT:  The Russell reacted very well with the promise of continued low interest rates. Price rebounded past resistance at the highs of September and looks to have a bead on the highs of the year. I’ll be looking for a pull back to around 1180-1183 for a potential long entry if the 8 0r 20 day moving averages catch up with price action.


Summary of Monthly Closed Trades as of the Dec 19th since June 1, 2014:

We are totally flat the market. The TSLA demonstration trade was closed on Friday.

Cum 12-21

Total Booked Profits since June 1 when the timing service began: $15.0K

_______________________________________________________________

Current YTD Account Returns
Margin Account: Up Net 28.1% YTD; Gross Up = 30.9% (no commissions costs)
IRA Account: Up Net 55.4% YTD; Gross Up = 57.3% (no commissions costs)

For those just joining Active Trend Trading, the reason for the difference between the Margin and IRA account returns is because the Margin account up until June of this year was used as a test account for various strategies. On June 1st we have only made trades using the ATTS system in this account along with a demonstration trade with TSLA. This account is up 15.1% net since June 1, 2014.

Active Trend Trading’s Yearly Objectives:
– Yearly Return of 40%
– 60% Winning Trades
For a complete view of specific trades closed visit the website at: http://activetrendtrading.com/current-positions/

Updated at the beginning of each month.


Outs & Ins:  CALM makes its debut on the IBD 50 this weekend. This brings the total of stocks on the Running List up to 217 for the year. On January 1st we’ll reset the Running List to include only the first 50 stocks from the first IBD 50 of the year. Over New Year’s I will do the assessment of the original IBD 50 from 2014 and add this to the standing research covering the IBD 50 & IBD 100 since 2007.

As usual the stocks moving back on the IBD 50 list this week are not ready for action with the exception of SNCR. SNCR is basing and may be moving towards an 8-20 moving bullish cross. In addition it may be worthwhile to watch these additional stocks: CMPR, NOAH, BIDU, ALK & ABC.

in-out 12-21


 

Comments and opinions written below this line of text may be provocative and only obliquely related to trading. Some may find these “Off the Wall” comments challenging to their outlook on life. I will not post any comments made on subject matter below this line, so if you disagree blast away.

OFF THE WALL

wallstreet
Off the Wall: “Success is nothing but a few DISCIPLINES, practiced every day!” What a great quote from Jim Rohn the late inspirational speaker. Jim was renowned for quotes that all seemed so simple yet so deep. Over the next few weeks we will take a look at some of these and apply them to trading. Today’s quote is so appropriate for trading regardless what level a trader is currently at. Failure to follow a few simple disciplines every day leads to a trader undisciplined with a tendency towards impulsive trading. Our challenge as traders is to find the “Right” Disciplines! That’s what we want to do with the Active Trend Trading System. Clarify and Simplify down to the basics of the system and then practice those every day. It is a very simple concept that is often challenging to apply because of “Discipline.” Remember—just a few disciplines practiced every day!


 

Share Your Success: Many of you have sent me notes regarding the success you are having with the Active Trend Trading System. Please send your stories to me at dww@activetrendtrading.com or leave a post on the website. Thanks!

 

Bookmark the permalink.

Comments are closed