Profitable trade set-ups from StockTwits leading traders One of the biggest secrets on Wall Street is that to become consistently profitable, you need to specialize in a distinct setup. That is, you need to know how to read the signals that can help you identify an opportunity to buy or sell. InThe StockTwits Edge: 40 Actionable Trade Setups from Real Market Pros, both well-known professional masters of the market and lesser-known individual traders describe their highest probability setups to teach you about an assortment of time frame and asset class-related market methods along the way.
Drawing on the wisdom of some of the top minds at StockTwits, the leading stock market social networking site, this book has something for everyone, giving you exactly what you need to come up with profitable ideas and avoid financial risk, every day.
Includes key trading insights from the experts at StockTwitsExplains which factors of a setup are important, and why
While there are many factors involved in successful trading and investing, the ability to identify profitable situations is paramount, andThe StockTwits Edge gives you everything you need to achieve that goal.
HOWARD LINDZON is cofounder and CEO of StockTwits®an idea network for traders and investors known as the "Facebook of Finance"recently named "one of the top 10 most innovative companies in web" byFastCompany and one of the "50 best websites" byTime magazine. He has over twenty years experience in the financial community acting in both an entrepreneurial and investing capacity; and is the Managing Partner of Social Leverage, a holding company that invests in early stage web businesses. Mr. Lindzon has tremendous insight into new media and is a very active angel investor in the financial and internet business sectors, invested and involved with over thirty companies. He created Wallstrip, and over 400 original web video shows, which was purchased by CBS Corp. in 2007. He has made many successful angel investments including: rent.com, golfnow.com, Lifelock, and Internet Brands. Mr. Lindzon's new media and internet business investments also include: Limos.com, Blogtalkradio.com, Buddy Media, TubeMogul, Bit.ly, and Tweetdeck, to name a few.
PHILIP PEARLMAN is the Executive Editor of StockTwits and an investor in the company. He is a partner at Social Leverage, LLC. Pearlman is obsessed with the psychosocial aspects of user experience and online community development. He ran a hedge fund that focused on behavioral strategies and currently runs a private account. Pearlman loves to buy fear and sell euphoria. He earned a doctorate in clinical psychology from Argosy University and a BA in English from the University of Maryland. Pearlman lives with his wife and two boys in Montebello, New York.
IVAYLO IVANHOFF has been trading stocks and derivatives for his own account on U.S. and European markets since 2003. He participated in the development of a proprietary algorithm that ranks momentum stocks. Ivanhoff writes daily market commentary on Stocktwits50.com. He earned his MBA and MS finance from Webster University in Saint Louis, Missouri.
Introduction xi
PART I TREND FOLLOWING
CHAPTER 1 Find Trends, Ride Them, and Get Off 3
Howard Lindzon
CHAPTER 2 Trade, Trend, Tail 13
Keith McCullough
CHAPTER 3 Dont Quit 17
Michael K. Dawson
CHAPTER 4 Know Thyself 25
Chris Peruna
CHAPTER 5 Insider Information Is Reflected in the Charts 31
Keith Kern
PART II VALUE INVESTING
CHAPTER 6 Margin of Safety 37
Todd Sullivan
CHAPTER 7 The BeanScreen 43
Daniel Miller and Jason Robinson
CHAPTER 8 Fallen Angels 53
Michael Bigger
CHAPTER 9 Dividends Dont Lie 59
Eddy Elfenbein
PART III DAY TRADING
CHAPTER 10 Only Price Pays 67
Brian Shannon
CHAPTER 11 Intraday Earnings Momentum Gap Trade 73
John Lee
CHAPTER 12 Trading the News 83
Mike Bellafiore
CHAPTER 13 Intraday Momentum 93
Steven Spencer
CHAPTER 14 The Underlying Psychology of Large Players 99
Gilbert Mendez
PART IV SWING TRADING
CHAPTER 15 Flags and Wedges 107
Joe Donohue
CHAPTER 16 Breakout from a Tight Base 113
chessNwine
CHAPTER 17 The Base Is Everything 119
HCPG
CHAPTER 18 Trading People, Not Stocks 127
Joey Fundora
CHAPTER 19 The Top-Down Technician 135
Greg Harmon
CHAPTER 20 Identifying Trend Shifts 141
Derek Hernquist
CHAPTER 21 A Chart Will Never Lie to You 149
Sunrise Trader
CHAPTER 22 The Short Squeeze Trade 159
Frank Zorrila
CHAPTER 23 The Price Tells the Story 165
Derald Muniz
CHAPTER 24 Force Confirmations, Not Trades 175
Nick Fenton
CHAPTER 25 The Birth of a New Trend 181
Ivaylo Ivanhoff
CHAPTER 26 The Trend Intensity Breakout Setup 187
Pradeep Bonde
PART V OPTIONS TRADING
CHAPTER 27 Unusual Options Activity 197
Joe Kunkle
CHAPTER 28 Put Ratio Spread 203
Jared Woodard
CHAPTER 29 Know What You Dont Know 213
Adam Warner
CHAPTER 30 There Is Always an Option 217
Steven Place
CHAPTER 31 Selling Premium 225
Darren Miller
CHAPTER 32 The New High Dip 233
Chris Stauder
PART VI FOREX TRADING
CHAPTER 33 They Call Me Mrs. Cable 241
Lydia Idem
CHAPTER 34 The Mind of a Chartist 253
Raghee Horner
PART VII THE ART OF TRADING
CHAPTER 35 Trading Is an Art 263
The Fly
CHAPTER 36 Embrace the Tape 267
Quint Tatro
CHAPTER 37 Macro Setups at the Crest of Structural Change 275
Gregor Macdonald
CHAPTER 38 Broken Butterfly Formation 279
Anne-Marie Baiynd
CHAPTER 39 Always Happy, Never Satisfied 285
Joshua Brown
CHAPTER 40 One Step Ahead of the Herd 289
John Benedict
CHAPTER 41 Change Is the Only Constant 297
Steve Gomez and Andy Lindloff
CHAPTER 42 The Kirk Report 303
Charles E. Kirk
CHAPTER 43 Stick with Names You Know 311
Ronald Roll
CHAPTER 44 Massive Trends and the Trajectory of Noise 315
Phil Pearlman
CHAPTER 45 We Have Met the Enemy, and It Is Us 321
Abdel Ibrahim
CHAPTER 46 A Contrarian at Heart 329
John Welsh
Index 333
