Here's why: there's a little-known but extremely accurate stock market investment technique that actually eliminates the guesswork and uncertainty that accompanies online stock trading by telling exact stocks to buy, at what price you should buy them, and the exact price you should sell these stocks to ensure that you make a profit off of each and every trade that you make.
What's this technique called? It's called stock channeling and it may quite simply be one of the best ways to be truly successful at online stock trading.
Here's how stock channeling works: When a stock repeatedly moves up and down in waves between two parallel lines it is said to be a channeling stock. The upper trend line, or high price point, acts as resistance, and the lower trend line, or low price point, acts as support. The area between the two trend lines is the channel.
So all an investor has to do is buy a channeling stock when its price is near the bottom of the channel and sell it when its price rises to near the top of the channel. And since channeling stocks repeat their movements, investors can buy and sell and profit from a stock over and over again.
So why is stock channeling such a reliable investment technique? Because it relies on the market's natural tendency to trend. You see, when a stock starts to go up in price, some investors will always say that the stock price has gotten too high and they will sell their shares and take their profits. At the same time, other investors will also be inclined to say a stock is too high and they will decide to short the stock.
Then when a stock starts to go down, some investors will decide to start adding to their position and if it really goes down in price either the same people who were averaging down will load up on it or value investors will step in and say the stock is cheap, it's time to buy. Also at this time, those who shorted the stock may cover their short and take their profits.
All of these types of investor behaviors often work together to keep a stock channeling back and forth in price. However, channels don't last forever. Eventually a channel will be broken and probably a new one will be formed.
But until that happens, a channel can last for years and provide an investor with tremendous profits in the meantime. The key is finding stocks that are channeling so that you can invest in them and profit from them over and over again. Here is an example trade that shows the profit potential of investing in channeling stocks:
Let's say that an investor knows the stock of ABC Company is currently channeling so he buys 100 shares at the low price of $15 and then sells it at the high price of $18. Then this investor waits for the price to go back down to $15, where he buys it again and then he sells it again at $18. He does this two more times and in no time he's made a nice little profit of $1,200!
I'm sure I don't have to tell you that greed and fear are two of an investor's worst enemies and to be truly successful in the stock market you need to be able to keep your emotions out of it. Stock Channeling helps investors profit from the stock market by giving them strict buy and sell signals to follow for specific stocks that are channeling.
Stock channeling is by far one of the best ways to consistently profit from the stock market regardless of what kind of condition the market is in. It is the only investment strategy in existence that provides a clear and concise road map to exact stocks that you can profit from over and over again.
The best trading newsletters encompass all the fundamentals of great trading in their service that in turn helps you form top-notch trading habits. Besides making money, forming great trading habits taught by professional trading newsletters (and not all newsletters are taught by professional traders) can be one of the most valuable things you pick up from your subscriptions.
And just for the record stock trading newsletters or option trading newsletters are also called stock trading advisories or option trading advisories, or stock pick newsletters, option pick newsletters, stock trading membership site or option trading membership site etc. you get the picture.
The question is, "How do you find a good Options trading newsletter or Stock trading newsletter?"
Well first all, what kind of trading style do you want to trade? Here are the varieties that are available: - Swing trading stocks and options
- Intraday trading stocks
- Pivot point position trading on stocks and options that aim for explosive five day to one month moves with well-defined stop losses
- Trend trading that takes advantage of two to four week trends and three to six month trends - trading stocks and trading options
- Then you have the various options strategies, complex option combinations, credit spreads, covered calls etc.
The best services first focus on stock price movement. These top-performing services combine technical analysis, chart pattern set ups, anticipation of opportunities on the charts in addition to combining other price motivational factors such as earnings season cycles, stocks splits, seasonal runs, trends of the indices etc.
The best services have a decent track record. That said don't get too caught up in a track record because some services may fake their track record. Bottom-line is that the philosophy of the service must make sense and must meet common sense. In other words their approach to capturing trading profits must make sense. Ultimately, if you like what you see, the best test will be to take a trial and paper trade their service. Don't use real money but pretend like you're trading in real time with real money.
When you're testing a stock trading newsletter or option trading newsletter make sure you give it a fair shot. Remember, once you find a good service that service could make you a lot of money. In fact, through known acquaintances that wish to remain anonymous, some subscribers to certain newsletters say they have made millions of dollars trading stocks and options through those particular newsletter trading ideas. So keep positive about the potential of some of these trading newsletters. There are actually good newsletters out there.
Really, the key to finding your Stock trading or option trading newsletter 'golden goose' that lays the 'golden eggs', is to search in the search engines, search through blogs, forums and review sites. Often when you read review, that person may be a little biased because they may be promoting a particular newsletters affiliate program but it's worth checking out. Additionally there are many advisories listed in trader magazines you'll find in your local bookstore.
The bottom line is that you see something that looks interesting you must give it a shot. Don't trip over pennies on your way to thousands of dollars. If something looks good sign up, receive their updates and paper trade. This way we'll be doing complete research and you won't leave behind something that could have even provided you financial freedom.
Paper trading, which is pretending that you are really trading but without the use of real money, is definitely the best way to get started with any trading service, especially if it is in active trading service. Using real money can cloud your judgment because real money pulls strong emotions into your evaluations.
Start doing your research for your 'golden goose' stock trading newsletter or options trading newsletter today. Imagine the possibilities if you find one!
Both Daniel Millions & Chris Viscaya are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Daniel Millions has sinced written about articles on various topics from Lose Weight, Cars and Writing. Every stock trader that is ready to needs to check this out!. Daniel Millions's top article generates over 301000 views. to your Favourites.
Chris Viscaya has sinced written about articles on various topics from Investing and Trading, Finances and The Internet. Chris Viscaya is a head trader at OPIVO Trading specializes in trading a unique pivot point strategy on stocks with. Chris Viscaya's top article generates over 4400 views. to your Favourites.