Jeff Bishop’s Total Alpha Trading Strategy | How to Make $71,000 in One Trade

I love it when other traders leave early on Friday. The less competition, the better…that leaves more for me! They don’t know what they’re missing.

My highest profit trades often come when no one is looking—and last Friday was no exception.

Despite the anemic trading volume and the slow grind we were experiencing—my money pattern pointed me to an interesting opportunity in Biogen Inc (BIIB).

A setup that doesn’t come across too often… but one I pounce on whenever I see it.

Total Alpha members got to trade alongside me in real-time!

These trades happen all the time…most people just don’t know how to take advantage.

And while it takes discipline, patience, and practice to make them work. They become a lot easier to pull off—once you know what to look for.

But I’m here to tell you that anyone can flip trades like these. Let me walk you through how I analyzed and executed this trade and how you can harvest profits.

Watch for unusual price action

Friday’s trade came off atypical volume for Biogen (BIIB). While the rest of the market went to sleep for the remainder of the day, Biogen saw colossal interest in trading midday.

Shares rallied over 2% in a matter of minutes. That’s pretty unusual given the light volume and size of this stock.

BIIB 5-minute chart

Check out how shares jumped up on a tremendous amount of volume. There are some notable pieces here.

  • Shares spiked and retraced back from $300. Large numbers will often act as support and resistance. It’s no more complicated than people find it easy to place orders there.
  • Before the move, the stock had a strong uptrend. This is important as I wanted to trade with the stock and the broader market, not against them.
  • On the 5-minute time frame, price retraced back into the 13-period simple moving average. This was very close to the 30-period moving average, which should act as support.

I expected price to come off its high and retrace part of the move – then float higher into the end of the day. Ideally, that sucks out a lot of potential orders, leaving those that would mainly shove it higher.

So now that you’ve got the basic outline of the trade, let’s talk about how I set it up.

Scaling made this possible

I’ve said it before, and they’ll write it on my gravestone – risk management is the key to success!

Scaling into this trade is the only reason it worked. While my profits hit $71,000, my drawdown took me down $25,000 at one point.

If the numbers dazzle you think of it this way – I had a total risk to reward of 1 to 2.84. That’s a pretty standard trade. You don’t have to put big money into a trade like this. However, with multiple factors working in my favor, I felt that it had an extremely high probability of success.

Note, I didn’t plan to lose much more than the $25K drawdown in this case.

First, it’s important to note that I never want to do worse than a 1 to 1 risk to reward. Anything worse doesn’t mesh with my trading style and strategies. Scaling the trade lets me improve those odds.

For argument’s sake, let’s say the swing high was $302, and the breakout area was $294. That means I don’t want to enter the trade before the midpoint at $297. From there, I want to scale in all the way down to $294.

However, you don’t always want to stop out at the low point. Oftentimes (as happened here), the stock will pierce through the low before resuming its trend. So, I prefer to use one or two closes below the low on whatever time frame I’m trading.

In this case, you can see how I scaled both into and out of the trade:

My initial entry started at 80 contracts at $2.20. I added 100 contracts at $1.45. My final purchase of almost 100 contracts was about half the capital of the previous two trade sizes.

From there, I did the exact opposite scaling out at $3.20, $4.00, and $4.50. That allowed me to capture more of the move than if I simply sold at $3.20.

Scaling works because none of us know precisely where the stock will stop on the upside or downside. Instead, we assume we’ll get it wrong and adjust our trading accordingly.

Stuff your pockets with cash

It doesn’t matter whether you’re a new trader or have years of experience. Total Alpha will help you become a better trader and find big scores like these.

Click Here to Join Total Alpha (watch this webinar – BEST OFFER HERE!!!)

Source: TotalAlphaTrading.com | Original Link

Jeff Bishop’s Total Alpha Trading Strategy | Your Jump on the Week

Believe it or not, some of the best trading happens during slow periods when everyone expects trading volumes and market volatility to be on the low end.

SPY daily chart

And while I’ll be thinking about family, Thanksgiving, and football this week – don’t think for a second, I won’t jump in and throw some trades down if I see my Money Pattern floating around.

$16,000 in trading profits is pocket change for me. Not a member of Total Alpha, then click here to subscribe

Preparation is key, and I’ve got you covered, as I rundown, the top market-moving catalysts (economic and corporate), as well as, my watchlist (plays that I might enter).

Political nonsense

Several decades ago, the big news came on the Sunday morning talk shows. Major government officials would announce policy and other market-moving events.

With the 24-hour news network and an inflated sense of self-worth, we’re constantly bombarded by every political machination.

At some point traders gave up and began ignoring commentary. Now they focus on actual events.

Trump’s threats of tariffs seem to make no difference to the market. Money refuses to take the bait, instead waiting until actions happen. No one knows the outcome. But, history tends to favor politicians not hurting their standing before elections.

That doesn’t mean we won’t see a lot of posturing before then. It just means no one is investing until they get actual resolution.

In the same vein that’s why impeachment hasn’t jolted the markets. Even if it passes the house, no one believes Trump will be convicted by the Senate. That leaves all of 2020 as a giant question mark.

Across the pond you see the exact same thing. It became painfully obvious when a crowd gathered for a debate with Boris Johnson and Jeremy Corbyn laughed them both off stage.

The best bet here is to ignore the headlines entirely. They can derail stocks intraday. But until markets change their trend, they’re nothing more than a bump in the road.

This could just be a midpoint

While bulls would have you believe the economy is turning, not everything looks rosy. The Fed recently published forecasts for 2020 that suggested the U.S. economy would only grow at 1.8%.

Everyone also says we’re out of the woods since the yield curve steepened. But exactly how does this chart make you feel any better?

The real problem happens once rates starts to normalize. Debt levels in the U.S. and around the world are unsustainable. Current public debt exceeds 100% of GDP and continues to remain elevated.

What scares me most is the amount of corporate debt taken on. If and when rates go up, or really bonds take a dive driving up borrowing costs, plenty of this debt resets to higher rates. Zombie companies (ones that remain unprofitable but are propped up by cheap money) could cause a wave of defaults.

My take

We’re nowhere out of the woods. Unless we’ve rewritten hundreds of years in economic theory (which technology has in some areas), then our path remains unsustainable.

However, the day of reckoning remains far away until another economic behemoth stands out in the world with better prospects than the U.S.

Until then, there’s plenty of trading…you just need to know how to capitalize.

So why not get yourself an early Thanksgiving treat with Total Alpha?

Click here to learn more.

On watch…

Call spreads

NFLX, IWM, AMZN, TEAM, FB, CVNA, AAPL, AMD

Put spreads

TWTR, DIS, WYNN, SHAK, ROKU, MTCH, FANG, EXAS, TPX, BIIB, COST, NKE, GLOB, TSLA, FL, PBR, ULTA

Next Week’s Calendar

Monday, November 25th

  • 10:30 AM EST – Dallas Fed Manufacturing Activity for November – An early look for manufacturing rebounds
  • Major earnings: A (Allegiant Technologies), AMBA (Ambrella), HPE (Hewlett Packard), PANW (Palo Alto Networks), PVH (PVH Corp)

Tuesday, November 26th

  • 7:45 AM EST – ICSC Weekly Retail Sales – Last look at retail before the holiday rush
  • 10:00 AM EST – New Home Sales MoM for October – Look for housing to remain strong
  • 10:00 AM EST – Consumer Confidence for November – What’s the state of consumer’s views on the economy?
  • 4:30 PM EST – API Weekly Inventory Data – Will crude continue its metoric rise?
  • Major Earnings: ADI (Analog Devices), ANF (Abercrombie & Fitch), BBY (Best Buy), BURL (Burlington Coat Factory) DKS (Dicks Sporting Goods), DLTR (Dollar Tree), ADSK (Autodesk), BOX (Box), DELL (Dell), GES (Guess), HPQ (HP Inc), VEEV (Veeva Systems), VMW (VMware)

Wednesday, November 27th  

  • 7:00 AM EST – MBA Mortgage Applications – Are consumers refinancing their homes?
  • 8:30 AM EST – Gross Domestic Product (GDP) QoQ for Q3-S – Lots of juicy data on the U.S. economy
  • 8:30 AM EST – Personal Consumption for Q3-S
  • 8:30 AM EST – GDP Price Index for Q3-S
  • 8:30 AM EST – Core PCE QoQ for Q3-S
  • 8:30 AM EST – Durable Goods Orders for Oct-P
  • 8:30 AM EST  – Durable Goods Ex-Transportation, Oct-P
  • 10:00 AM EST – Personal Income for October – Great data on how the consumer continues to support the economy
  • 10:00 AM EST – Personal Spending for October
  • 10:00 AM EST – Pending Home Sales MoM for Oct – Will inventory constraints lower sales?
  • 10:30 AM EST – Weekly DOE Inventory Data – I want to see if inventory comes in lower than expectations again
  • Major Earnings: DE (Deere)

Source: TotalAlphaTrading.com | Original Link

Jeff Bishop’s Bullseye Trades Reviews | WIN-DAY

You may have heard me talk about the power of options and my uncanny ability to pick the right contract for maximum gains…

Want irrefutable proof?

Last week I alerted WDAY to my Bullseye members. Here’s part of the exact email I sent on Monday morning:

 

I want you to take notice of the chart and the “breakout line” in this email.

Look carefully for me.

Now, check out the same chart 2 days after this alert..

WDAY busted through the breakout line, just like I said it would.

There’s something that I want you to understand, though.

The move from $166 – $174.34 is a 5% move in the stock price.

Meaning, if you had bought the stock where I alerted it, you’d have a 5% gain on your hands.

But.

Of course, my members chose to get into the options contract that I hand picked to maximize gains.

It’s safe to say they made the right choice.

David locked in half of his profits when he was up 270% just like a pro.

Heath snagged a 147% gain in a matter of 2 days.

Randy has an extra $1,526 to play around with this weekend thanks to my Bullseye Trade!

The point is, that 5% move in WDAY stock yielded a triple digit percentage winner on the options contracts that I alerted to my members.

When you’re hitting wins like this every week, that $399 price tag for an entire year looks like a drop in the well, doesn’t it?

My next Bullseye trade could be sitting in your inbox bright and early Monday morning.

You know you want it…Join NOW!

Kyle Dennis FAST Five Trades Review – Trading Made Simple

The problem so many traders have when they first start out is filtering through the best setups out there… and I don’t blame them, I went through the same thing.

We’re constantly bombarded by news… and that forces you to take every single trade you see that looks juicy… but ultimately, you end up churning your account.

Sure, I’m a multimillionaire now and am up more than $7M in career trading profits. However, it wasn’t all glitz and glory… and it was definitely not an overnight success story. In fact, I lost nearly 50% of my trading account real quick.

Basically, I was overtrading and did not have a clear-cut edge in the market… and that’s one of the quickest ways to lose your shirt.

Of course, I was scared after I damaged my account… I was a UCLA graduate fresh out of college with $80K in debt, working at a real estate firm…

Like many college graduates, I wasn’t sure what I was doing… but I studied biology… and that’s when I found my edge in the market. The healthcare sector is filled with opportunities for me to take advantage of… and I’ve actually made it ultra-simple for us to attack healthcare stocks.

Today, I’m living the life… consistently raking in profits with my highest conviction trade ideas.

So how can you simplify your trading… and make it as easy as just one trade a week?

Trading Doesn’t Have to Be Complex

Let me tell you something about trading biotechs and pharmaceuticals… it’s not as complex as you think. In fact, you don’t really even need to know the lingo.

You see, there are specific patterns I look for when I look for my Fast 5 trade every week, and I simply look to the charts and a calendar.

Let me show you how simple it really is.

All I do is filter for healthcare stocks that meet specific criteria.

Source: Finviz

I like to use Finviz because it’s free to use, and you could filter for average volume, market cap, sector, and price — what I use all the time.

Once I find the perfect pattern, I head on over to BioPharmCatalyst and look at the FDA calendar.

If there’s an upcoming catalyst, I quickly develop a plan and that’s it.

But don’t worry about all this… I actually do all the heavy lifting for you… and just send an alert with a simple trading plan.

For example, here’s what I send out to Fast 5 members:

Nov. 11, 2019

Here’s our first trade idea!

The company is DMPI – and they have some data coming November 22nd. It should make a move up higher into that event. So, the details for the trade are below!

This is my favorite play of the week!

DelMar Pharmaceuticals (DMPI)

Catalyst Dates: Phase 2 data updates November 22nd

Buy Zone: $.65 to $.75

Profit Zone: $.85 or higher

Stop Zone: $.50 or below

Look at the date I sent that out… November 11.

Check this out now…

The stock went right to my target… and that’s really how easy it is.

You plan the trade and trade the plan. No need to try to understand the inner-workings of biotechs. All you need to do is know there’s an upcoming catalyst and pair it with a bullish chart pattern (but don’t worry, all the work will be done for you).

Fast 5 may be the perfect solution for you to simplify your trading… it’s literally one trade a week, every week… and the goal is to get in on Monday and take profits before Friday.

If you haven’t done so already, watch this short clip — the next 100 people who watch will receive an exclusive deal.

Click here to watch.