You’ve probably seen or heard the term “technical trading” mentioned a lot around The Oxford Club lately. Although technical analysis may seem like a new trend, many of us have been using it as the backbone of our trading systems for years, even decades.
But I know that for some of you – especially those newer to the world of trading and investing – the term may be quite foreign. So allow me to give you a bit of background…
Technical trading is a form of trading that focuses specifically on chart analysis. Technical traders analyze stock charts for specific patterns that indicate buy or sell signals.
This may seem intimidating, but many of The Oxford Club’s strategists – including me – find it to be one of the most effective ways to identify opportunities in the markets.
My colleague Alexander Green uses technical analysis in his Momentum Alert trading research service. He uses charts to identify the market’s fastest-moving stocks, which he recommends to his subscribers for big gains.
And my colleague Marc Lichtenfeld recently wrote about technical analysis right here in Liberty Through Wealth. Marc even said he “can’t imagine making a trade without it.” Marc’s trading research service Technical Pattern Profits uses chart patterns to identify fast, predictable profits.
And of course, my Oxford Swing Trader research service is based on technical analysis as well. It uses computerized data analysis to identify short-term profit opportunities in the market.
My system looks for “swings” that deviate from a stock’s typical movement. We buy in on the downswing and sell once the stock has resumed its normal upward trend.
This sounds complex, but my system makes it easy for regular investors to get in on the action. In fact, my YouTube series, Swing Trading: Nick’s Picks, is designed to show you exactly how swing trading works and how profitable it can be.
In today’s installment, I’m sharing a recommendation that I made to my subscribers on July 14. It’s a perfect example of exactly the kind of swing trade opportunities I look for.
On August 11, just 20 trading days later, I recommended that subscribers sell this stock for a 15.2% gain and its call options for a 40.4% gain. Quick and easy, right? Click below to watch my video recap for all the details.
I hope you enjoyed today’s Nick’s Picks video and that it gave you an example of how successful swing trading and technical analysis can be.
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