The Investors Watchlist team scans over 2000 stocks every day to find high probability Trade Ideas for our members. Stock patterns we scan for include Base Breakouts, Continuation Patterns, Channeling Stocks, and Bear Patterns. We focus on stocks under $10 setting up in technical patterns and post them before they make their move. The majority of our Trade Ideas are short term setups with hold times from 1 day to 2 weeks, ideally suited for Day Traders and Swing Traders.
Our top priority is to keep the Watchlist updated with actionable Trade Ideas. The Current Watchlist tracks stocks that are still in their base and have not triggered. Each symbol links to the Trade Idea for that particular stock. The Watchlist is managed throughout the week. Failed patterns are removed once they no longer meet our criteria. Stocks that broke out or resumed their trend will be moved to Open Trades and monitored for up to two weeks. If a stock triggers a buy signal and then continues to trade in the buy zone it will be listed on both the Current Watchlist and Open Trades.
Trade Ideas are organized by date with the most recent setups appearing first. They include a business summary, key statistics, and fully annotated charts. Entry, exit, and target prices are provided for general guidance and are based on support and resistance levels. These price levels should be adjusted according to each individual traders objectives. Each stock also has a live chart to track current performance. Active Trade Ideas are updated as conditions warrant and remain in the system for up to eight weeks.
Low priced stocks are fun and exciting to trade, but you still need to take some precautions when trading them. We’ve all heard that cheap stocks are “cheap for a reason”, and for the most part that’s true. There are many more risks associated with these companies over higher priced stocks. These stocks should be treated as trading vehicles and not long term investments.
It’s important to educate yourself, but don’t pay someone thousands of dollars to “teach” you how to trade. Virtual trading is a great way to test the waters and hone your skills before risking your hard earned capital. Study chart patterns and find a trading style that suits you. The bottom line is that you are going to be the person responsible for whether or not you’re successful. Only you can make the final decision to take a trade.
Our team tries to find the best setups in the market. It certainly doesn’t mean every one is going to work out, that’s just reality of trading. But it allows you to focus your time developing a trading plan rather than scanning thousands of stocks just to find setups. New traders should check out our 10 Rules for Trading Cheap Stocks to help avoid some common pitfalls. Remember most importantly to position-size properly and obey your stop loss, the rest will take care of itself.
Investors Watchlist Team