In Superior Profit Way, we have three standard Trade Set Ups. Apart from these, traders may combine Superior Profit Trade Signals in innovative ways. And they indeed do that. Example of such improvised trades are plenty in the Trading Community. For now, we focus on the three standard Trade Set Ups. Detail of all the Set Ups are available in the Superior Profit Books. Here are three example of actual trades of each type - these were posted in Traders Community in the recent past by Superior Profit Traders.
Go With Flow Trade Set Up: This is a Trend Following Trade Set Up. It catches the swings up or down of a stock as it is trending. One actual trade is explained in snapshot below. This trade made 100% profit within one week.
Headwind Trade Set Up: This is a Trend Reversal Trade. Superior Profit's CUE Trading System attempts to find out if the prevailing trend is entering friction or headwind. And alerts us with the Headwind signal. At that time traders may take a Trend Reversal Trade. Below is an actual recent trade example. This trade made 40% profit within one day.
Bounce Trade Set Up: This is an exhaustion based trade set up. Whence, a stock moves up or down with heavy Activity and encounters Memory line (smart calculated trend lines that come from the past - like our memories). If the stock reverses, we may take a Bounce trade. Here is an actual trade example from recent times. This trade made 140% profit in three trading days.
As we can see, there are Superior Profit Trade Set Ups covering almost every market conditions. And it yields profitable trade setup that are Unambiguous and Easy to enter/exit using the color coded Superior Profit charts.
These were all Swing Trade Set Ups. Where the traders enters and exits trades within few days.
Superior Profit Trading System may also be used equally profitably for Day Trades or for Longer Term Investment. Example of those trades can be seen in Traders Community.
Is it really possible to do that?
Yes. It is indeed possible. And it was actually achieved as the snapshots prove. And the steps of entry / exit were taken based on clear and simple guideline. Without ambiguity.
First, let us quickly think about the "direction" of a stock.
Even if a very strong stock like AAPL is up significantly on a day, that is from a "Daily" perspective. Within that day, there are ups and down on a lower time frame; say on a 5 minute chart. And if a trader has clear guideline on when to enter and exit a trade, it is possible to take Short trade (in this case it was taken using Weekly Put Options) and book profit quickly.
Here is the actual trade ...
1) In the first snapshot, we review the entry and reaching of 20% profit in less than half hour. The Short trade was taken using the Stretch Release entry mechanism which is a Low Risk High Probability trade set up. At this point Bulls were overstretched (Stock was Overbought) and then Bulls gave up (Stock started to decline). We could catch the very top using the Stretch Release mechanism.
2) After that, AAPL continued to fall - to the extent it had a Bears in stretched (Stock was Oversold) condition. By this time, profit had reached 50%. One could start to book profit somewhere between 20-50% profit range and use Protect Profit Stop on the remaining position.
3) AAPL fell further. And came close to Early Range High. At this time profit was 75% and the entire position could be exited. Alternatively, Protect Profit Stop could be tightened. This allowed one to capture significant profit from a Bearish trade on a day when AAPL was significantly up.
What is the general conclusion from a traders' viewpoint?
The conclusion is that the "direction" of a stock is very much dependent on the "viewer's time horizon". And with clear guideline on when to enter trade, when to book profit and when to tighten stop, one may be able to trade profitably on either direction of the market. Long or Short.
That is the Superior Profit Way of Trading Profitably !
Citizen of Main Street.