Are you falling for this stock market trap right now? It’s one thing to be in a stock and have it go down because the market went down; that is somewhat easy to rationalize.
You tell yourself that “It was a great idea, but the market’s just weak right now”. But what happens when the market goes up and your stock still goes down?
Everyone else is celebrating their stock soaring and, your stock isn’t moving.
You can learn how to break down the markets and individual stocks that soar every week with this powerful video.
The Dow recently crossed 18,000 again, nearing it’s all time highs; but there are some big name stocks that many desperate traders are clinging to, despite their refusal to move.
Twitter (TWTR), once a $69 stock now sits around $17. Twitter is still very popular among users, but the stock just won’t go up.
LinkedIn (LNKD) was at $264 in the last year, but now it’s at $121, having lost over half of it’s value. LinkedIn while having lost a tremendous amount of it’s value, still won’t go up.
Some big name players poured money into the revolutionary SunEdison (SUNE) as it soared to $33 a share; but now it sits halted, last traded at .34, because it declared bankruptcy.
You might like your stock’s story, but if it’s not moving with the market, then you need to set up your defense.
The best technical trader I know, uses this trick.
Even better, the best technical trader recognizes that stocks that are not moving with the market, can actually become a profit generator. Some of my best trades have come from recognizing stocks that did not go down when the market did… or stocks that did not go up when the market did.
If stocks are resisting the markets, then there are some powerful forces at work. Take a look at McDonald’s (MCD). This stock has been market proof right now.
Even as I write this article, markets across the world are down and MCD is up 1.5%. If the only stock you owned in 2016 was MCD, you’d be up $9 per share.
That’s one of the benefits of focusing on individual opportunities; if you are in the right stock, its going to move regardless of the market. Then, not only can you outperform the market, you can look for the double digit percentage returns that seem like a thing of the past.
A small commitment to your own trading can go a long way towards your financial goals. Check out this video and you will see how my Chief Market Technician breaks down the markets, individual opportunities and the benefits of doing it that way.
Hope this helps and as always, wish you good trading.
P.S. As Billy Joel said, “You may me right, you may be crazy, but it just may be a lunatic you’re looking for.” Let’s make sure that your stocks do not fall into that lunatic category. The best way is to use this video and check. You may be wrong for all I know but you may be right.
Adam Mesh is CEO and Founder of The Adam Mesh Trading Group. For the past 18 years he has coached thousands of students to all levels of success in trading. He is also creator of the revolutionary Full Contact Trading