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The Most Important Factor in Finding A Trade

PC + RVI = M ” The Formula for Guaranteed Success

This formula is my way of stating that there are only two important criteria for finding a long or short that really make any difference. The first has to do with price change; if it is a long, the price must be ramping up. That`s often what the gainers and losers in Wizetrade show you: which stocks have gone up the most. If many stocks are going up, it`s difficult to select the best trade, even by looking at the volume. Volume is a relative measure. If Microsoft has gone up 30 by 9:40 (AM) on 100,000 shares, that`s not as significant as some small cap stock, that usually trades 200,000 shares per day on average, trading 70,000 shares in the open.

In reality, it is the small cap stock that will probably make the biggest move on this trading day, maybe become a one-day wonder. It`s not which stock trades the most volume, but which stock has the greatest relative volume that matters. However, there is no way for you to make this judgement in the first few minutes of the market since you cannot compute each stock`s relative volume. As you read on through this e-book, I will actually tell you how to do this, and, by having this information, be able to select the very top stock, or stocks, for the day. You see ,price change combined with an huge increase in the relative volume equals momentum. When you find a stock that has both, you will find charts that have separation and angle, sometimes with the green line standing straight up.

These are the stocks we talk about after the market. These are the ones that move 2, 3, or more points in the morning and climb four points or more during the day. There are many systems in use by traders to find these stocks in a hurry every day. Recently, the message boards have had a lot of chatter about rockets. This system actually works to the extent that you will probably find decent trades. Actually, all of the day-trading systems that are going to be covered by this publication work. However, finding the really BIG TRADES, the screamers, is elusive, and only occasionally did I stumble over them, until recently. As you read on, I will let you in on a system that will bring you PC + RVI = M stocks all day long.

Stocks that are just beginning a rally, at the open, or at any time throughout the day. It`s easy to run gainers and losers or Wizefinder at the open and find trades, but many of these stocks quickly run out of steam. Finding a stock that is just starting a new rally at 10:27, or 12:15, or 2:05 is really tough, unless you park yourself on a stock. The good news is this problem may have been solved, so read on. We address methods of finding trades in the next section.