Short- versus Long-Term Trading

May 30, 2015 at 7:59 am Leave a comment

Dear Fellow Trader,

Actual topics for June 2015:

  1. Watch our feature presentation: Activity Based Trading Success at Experience why following institutional footsteps and protecting your trades are key essentials for your trading success. Just register and you get access to 20 presentations.
  1. Status of the Market and Trade Focus: Short- versus Long-Term Trading

Why is currently long-term positioning trading more difficult and what to do as a trader?

Let us check the S&P 500 as the core market index for stocks on a weekly chart and it shows that the US-stock-markets are in a Purple Zone (time period of directional ambiguity) since the end of January. So far we had no close of a candle outside the price containment area set in the week of December 15, 2014. Yes, we pointed a new high, but closed the week right inside the price containment area.

SPY Weekly Chart 2014 to YTD

SPY 2015

What to do?

Rather trade shorter-term!

Swing Trades: Expect to be in the trade 1-5 days

From daily charts, focus on stocks that make an independent move (check your NLT Correlation Coefficient, a NLT Top-Line lower study ). By the current cyclic nature of the market, for every swing trade you start, prepare to apply trade adjustment methods rather than taking stops. Here is a calculation example what this will do to your trading. The following example is calculated on a 60% win rate and compares methods of reducing the risk to half and eliminating the risk by applying trade adjustment methods, we teach in our mentorships.

Trade Adjustment Methods Calculated

Further actions:

  • Trade from the 4-Hour chart, when weekly signals are surpassed.
  • Build a 4-Hour Watch List by weekly signals and trade confirmed signals

Day Trades: Your premier focus for the time being.

  • Trade from the 1-Hour chart when daily signals are surpassed.
  • Produce a 1-Hour Watch List from daily signals and trade confirmed 10 a.m. onward signals.
  • Use your 10-Minute trading strategies for strong NLT Pre-Market Movers Alerts and the NLT HF Trading Alerts.

The NLT Alerts provide you with selected assets, with ready to trade setups. Select an Alert of your choice, write us an email and receive it Free for 1-Week:

Experience how NeverLossTrading works live: Schedule your personal consulting hour:

Call +1 866 455 4520 or

If you are not yet part of our trading tips and free webinars, please sign up here and we keep you up-to-date….sign up here.

We are looking forward to hearing back from you,

Good trading,


Entry filed under: activity based trading, Day Trading, Stock Market, Swing Trading, Trading plan. Tags: , , , , .

I am in the Mood for Trading Activity Based Trading

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